How to Find Out If Your 401(k) Already Holds SpaceX Stock

Investors who sat out the Space Exploration Technologies (NASDAQ: SPCX) initial public offering had a variety of reasons for doing so.

They could have had concerns about valuation, believed that the business is overly complicated, or worried about the cost of building out artificial intelligence (AI) infrastructure in space. Some investors may also be interested in investing in SpaceX but want to see it trade for a little longer, waiting for it to find a stable price range before making a move.

Those same investors, however, may be surprised to find that SpaceX could still end up in their 401(k)s. Whether you're concerned or just curious, there's a simple way to find out if SpaceX is in your retirement account.

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First steps

To learn if SpaceX is in your 401(k), you can log in to the website of your retirement plan provider to access your account. When looking at your portfolio, you can see the exchange-traded funds (ETFs), target-date funds, or mutual funds that the 401(k) is invested in.

Depending on your retirement plan provider, you may be able to view the holdings of those investments directly in your account. If not, you can find information online.

After reviewing the holdings, you'll know whether SpaceX is in your 401(k).

Where SpaceX is included

On June 26, SpaceX was added to the Russell 1000 index, which tracks the performance of the 1,000 largest U.S. publicly traded companies. If an ETF that tracks the Russell 1000 index, like the iShares Russell 1000 ETF, is in a 401(k), that means the 401(k) has exposure to SpaceX.

Also, on July 7, SpaceX will be included in the Nasdaq-100, which tracks the largest nonfinancial companies listed on the Nasdaq Stock Market. Included in that index are Apple, Intel, Microsoft, Amazon, and Nvidia. The Invesco QQQ Trust is a popular ETF that tracks the Nasdaq-100, so if Invesco QQQ is in a 401(k), that 401(k) also has exposure to SpaceX.

Is there a massive cause for concern?

For investors worried about SpaceX in their 401(k), the good news is that it was not fast-tracked for inclusion in the S&P 500. If a 401(k) account has an investment that tracks the S&P 500, there is no exposure to SpaceX.

In addition, even if there is an investment in your 401(k) that now or soon will hold SpaceX, it will likely play a relatively small role within that ETF. Circling back to that iShares Russell 1000 ETF, SpaceX's weight within the ETF is 0.1%, while Nvidia's weight is 6.5%. That's just one example, but it shows the limited impact SpaceX has on that ETF.

If SpaceX faces a prolonged slump, it will have only a minimal impact on an ETF, especially one with hundreds of thousands of holdings.

Jack Delaney has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Apple, Intel, Microsoft, and Nvidia. The Motley Fool has a disclosure policy.