SpaceX, led by Elon Musk, is preparing for what is expected to be the largest initial public offering (IPO) in history. Recent changes by index operators will speed up SpaceX's inclusion in major stock indexes, prompting many passive exchange-traded funds (ETFs) to buy its shares soon after the IPO. This means that SpaceX stock will likely become a common holding in many investors' retirement plans, even if they do not actively choose it. The move highlights the growing influence of index funds in shaping investment portfolios.
SpaceX's S-1 filing reveals that its AI segment operates with deeply negative margins and relies heavily on external financing and counterparties. The AI ecosystem is increasingly interconnected, with large hyperscalers investing in private AI firms ...
The ERShares Private-Public Crossover ETF (XOVR) provides investors access to SpaceX shares before its IPO, holding about 23% of its assets in SpaceX. Despite this unique exposure, XOVR has underperformed the S&P 500 by over 7% this year due to valua...
ProShares UltraPro QQQ (TQQQ) lost about 80% in 2022, far worse than the Nasdaq 100's 34% drop, due to its daily 3x leverage reset mechanism. This daily reset compounds gains or losses off the new NAV, not the original price, causing significant deca...
The NEOS Nasdaq-100 High Income ETF (QQQI) offers a headline yield near 14% through monthly payouts, but 98% of a recent distribution was classified as return of capital (ROC). This means investors are largely receiving back their own money, not just...
