Tesla makes it onto the S&P 500 index as stock prices skyrocket

Stocks in Tesla have increased by 11% to $408 per share as of Monday evening, increasing the company's net worth by an estimated $40 billion (€33.6 billion) this week.

The electric vehicles company is now worth around $400 billion (€336.7 billion) and have finally cemented its place in the S&P 500 list - a stock market index that lists shares in the top 500 companies listed on the US stock exchange.

CEO Elon Musk's personal fortune reportedly increased by $15 billion (€12.6 billion) over the week as he is set to overtake Facebook CEO Mark Zuckerberg as the world's third-richest person.

Musk's personal fortune has increased by $90 billion (€75.7 billion) throughout 2020 is higher than any of the other top-500 billionaires listed on the index.

To appear on the S&P 500 list companies must be listed in the US, be highly liquid and must have at least half of their shares available to the public.

Tesla is also set to be ranked among the 10 most companies in the US as its push for the increased commercialisation of electric vehicles is considered essential to the curbing of global carbon emissions.

Tesla has dedicated itself to finding cheaper ways of developing lithium car batteries and recently announced a new facility in Australia for this very purpose.

Musk has previously made news for vowing to halve the costs of Tesla batteries within three years in a bid to make their EVs more affordable.

These commitments could go some way to explaining why Tesla has been consistently performing well this year, despite the effects the coronavirus pandemic has had on the automotive and transport industries.

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