Before SpaceX Goes Public, a Scramble To Get on Bandwagon

As SpaceX prepares its long-awaited stock market debut, investors everywhere are scrambling to get a piece of the action - through investment funds, related company stocks, and even online prediction markets. “$14 billion has poured into SpaceX linked funds since Musk confirmed the IPO...The hype is unlike anything I’ve seen,” said an X post from Gagola Value Capital, run by two British amateur investor brothers.

But not everyone can get in yet. Until the IPO, which is expected on June 12, the only people who can buy SpaceX shares directly are large financial players such as banks and pension funds, or very wealthy individuals. Everyone else has to find workarounds. 

One option is the so-called secondary market, where employees and early investors who already own shares in SpaceX can sell them to others privately, at whatever price the two sides agree on.

Another option is exchange-traded funds, or ETFs - investment vehicles that anyone can buy on the stock market. Some of these funds have found ways to invest in SpaceX. By buying into the fund, an ordinary investor gets indirect exposure to SpaceX’s performance.

“We’ve increased assets under management by five times, and I’m fairly certain we have the largest percentage weight in SpaceX now of any ETF,” said Joel Shulman, founder of ERShares, whose XVOR fund has roughly 15 percent of its holdings in SpaceX.