Will the Vanguard S&P 500 ETF Invest in SpaceX Stock? It's Complicated.

Space Exploration Technologies (NASDAQ: SPCX), better known as SpaceX, has officially hit the market, and now that at least some of the hype has settled, many investors are wondering what it might mean for their index funds and ETFs.

While SpaceX is not yet included in the S&P 500 (SNPINDEX: ^GSPC) for now, that could change. For those investing in the Vanguard S&P 500 ETF (NYSEMKT: VOO), here's what that might mean for your investment.

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When is SpaceX coming to the S&P 500?

Whether a particular ETF includes SpaceX depends on its underlying index. The stock recently joined the Vanguard Total Stock Market ETF, for example, which tracks the CRSP U.S. Total Stock Market Index and allows new stocks to enter after just five trading days.

SpaceX is also expected to soon join Invesco QQQ after the Nasdaq Composite (NASDAQINDEX: ^IXIC) changed its rules to allow fast entry into the Nasdaq-100 after 15 trading days.

The S&P 500 is a little different, though, and has more rigorous entry requirements. Stocks must have been trading for at least 12 months before they become eligible to join, at which point they'll also need to pass a profitability screen. The absolute earliest SpaceX can enter the index is mid-2027, but that assumes the company is consistently profitable by then.

SpaceX incurred $4.94 billion in net losses in 2025, according to its S-1 filing with the Securities and Exchange Commission, and its AI segment is particularly unprofitable. A rumored merger with Tesla could complicate matters further, so at this point, it's anyone's guess where SpaceX might be financially in a year or two.

Is it still safe to invest in the Vanguard S&P 500 ETF?

The Vanguard S&P 500 ETF is generally still a safe investment, but whether you want to continue investing going forward will depend on your personal preferences.

The S&P 500 itself has become much more tech-heavy in recent years. Technology and communication services stocks make up nearly 50% of the Vanguard S&P 500 ETF, and the "Magnificent Seven" stocks account for more than one-third of the S&P 500's overall value as of June 2026.

If tech stocks still have plenty of growth potential ahead, the S&P 500 could benefit from this tilt toward tech. But many investors choose the Vanguard S&P 500 ETF for its stability, and tech stocks are notoriously volatile. With more mega-cap IPOs like OpenAI and Anthropic potentially joining the index in the coming years, it could lead to even more intense price swings.

There are still plenty of unknowns around SpaceX, but it will likely pop up in more ETFs over time. By determining your risk tolerance now, it will be easier to decide whether the Vanguard S&P 500 ETF remains a good fit for you if or when SpaceX eventually joins.

Katie Brockman has positions in Vanguard S&P 500 ETF and Vanguard Total Stock Market ETF. The Motley Fool has positions in and recommends Tesla and Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy.