# Professor Jeffrey Wurgler comments on the impact of a stock's addition to a high profile index on its price

1 Faculty News March 30, 2017 ![](/sites/default/files/styles/246w/public/assets/images/con_032740.jpg?itok=88_p1azV)>

Excerpt from [Newsmax](http://www.newsmax.com/Finance/AndrewPacker/Biggest-Danger-Portfolio-Largest/2017/03/30/id/781644/) -- "On average, a stock being added to the S&P 500 Index gains 9 percent, according to NYU professor of finance [Jeffrey Wurgler](http://www.stern.nyu.edu/faculty/bio/jeffrey-wurgler). That means that, in an overvalued market, stocks that are also in an index are likely to be even more overvalued. It’s where money is passively going, whether it’s a good investment decision or not."

[Read more](http://www.newsmax.com/Finance/AndrewPacker/Biggest-Danger-Portfolio-Largest/2017/03/30/id/781644/)