PANews, June 10 – Massachusetts Democratic Senator Elizabeth Warren has become the latest person to question this proposed initial public offering, arguing that the plan could expose individual investors to risks. In a letter sent on Tuesday to U.S. Securities and Exchange Commission Chairman Paul Atkins, she urged regulators to pause SpaceX’s listing process. She said the IPO “appears likely to bring significant risks to ordinary investors and their retirement savings.” The senator worries that Wall Street is eagerly pursuing the listing, and that Nasdaq and FTSE Russell also plan to speed up the inclusion of SpaceX in their indices—this would effectively force index funds into passive buying of the company’s stock, overnight pushing millions of Americans’ investment portfolios into holding SpaceX.

This letter is unlikely to achieve the goal of delaying the listing, but it raises several risk concerns, specifically as follows: SpaceX has set up multiple classes of equity structure, with the voting power of shares held by Musk being 10 times that of publicly traded shares. The company estimates its valuation could reach $1.77 trillion, while some analysts’ valuations are far below this level. Whether the SEC can accurately evaluate SpaceX’s grand objectives remains to be seen. Warren’s valuation of SpaceX is particularly…