Subject: File No. S7-18-22 — Index Providers as Investment Advisers — SpaceX IPO case study
From: Gustavo Canales
Affiliation:

May 30, 2026

Dear Secretary, 

I write to support reopening File No. S7-18-22 (Information Providers Acting as Investment Advisers) in light of the SpaceX IPO. 

Three index providers -- Nasdaq, FTSE Russell, and CRSP -- adopted methodology changes in March-May 2026 that materially shortened seasoning periods (to 5-15 trading days), eliminated minimum-float thresholds, and waived effective profitability tests. Reuters has reported that SpaceX conditioned its Nasdaq listing on fast-track Nasdaq-100 inclusion. These changes will mechanically force passive funds -- including funds held in 401(k), 403(b), 457, IRA, and public pension plans -- to purchase SpaceX shares immediately upon listing. 

The aggregate effect is that index-methodology decisions, made by private committees outside the federal securities laws, are now functioning as binding investment-advice decisions for tens of millions of American retirement savers. That is the precise activity that requires Adviser-Act registration and fiduciary duty. 

Specific asks: 
1. Reopen S7-18-22 for further comment with SpaceX as a case study. 
2. Coordinate with DOL/EBSA on ERISA fiduciary implications of forced inclusion. 
3. Require enhanced S-1 disclosure of the share of IPO proceeds dedicated to related-party debt repayment. 
4. Review the SOC Investment Group letter dated May 6, 2026 raising financial-disclosure and auditor-independence concerns. 

Sincerely, 
Gustavo Canales 
San Francisco, CA