The IPOX® Week, December 13th, 2021

  • IPOX® Indexes record strong gains as blue chips soar ahead of expiration.
  • Nasdaq selects key IPOX 100 U.S. (FPX) portfolio holding to the Nasdaq 100 (QQQ).
  • IPOX® SPAC (SPAC) declines anew. 20 new SPACs launched in the U.S.
  • IPO market sentiment bounces as 29 deals launch across global regions.

Ahead of Futures and Options expiration week, most IPOX® Indexes staged a solid rally, recovering some of the previous week’s sharp losses. Amid big intra-week gyrations in index spreads which pushed the blue-chip focused S&P 500 Index (SPY) to a fresh all-time closing high Friday, the IPOX® 100 U.S. (FPX), for example, added +2.40% to +3.17% YTD, markedly better when compared to most innovation-focused equity indexes. Here, 73/100 stocks gained, with the average (median) equally weighted stock adding +1.98% (+1.86%), less than when compared to the applied market-weighted index. While the IPOX® International (FPXI) lagged for yet another week, gains extended to other regions, including the IPOX® Europe 100 (FPXE) which recovered by +2.20% to +6.86% YTD. IPO M&A as measured by the super-liquid IPOX® GINDEX rose +2.99% last week. 

IPOX® 100 U.S. (IPXO) Investing with the “FPX” ETF since 2006

Nasdaq adds key Ipox® 100 U.S. Index (FPX) Portfolio Holdings to Nasdaq 100 Index (QQQ): With a combined weight of ca. 6%, we are pleased to note the addition of key IPOX® 100 U.S. Index (FPX) holdings 12/2020 IPO online travel platform operator Airbnb (ABNB US: +8.20%) and infrastructure software makers 09/2019 IPO Datadog (DDOG US: +6.30%) and 03/2018 IPO infrastructure software maker Zscaler (ZS US: -2.43%) to the NASDAQ 100 Index (QQQ). 

IPOX® Portfolio Holdings in focus:  Amid short covering and the big rally in the traditional benchmarks, including Chinese equities, some of the previous week’s big decliners ranked on top of last week’s IPOX® leaderboard. Companies in focus included leading Chinese real-estate services provider Country Garden Services (6098 HK: +16.29%), U.S. dating site operator Bumble (BMBL US: +14.27%), sporting goods stores operator Academy Sports and Outdoors (ASO US: +13.67%) and Brazil payment processor PagSeguro Digital (PAGS US: +13.06%). We also note a fresh all-time high in IPOX® 100 Europe (FPXE) holding European car dealer and Moleskin owner D’Ieteren Group (DIE BB: +8.74%). Big selling after adverse reports or weak earnings pressured Canadian payment processor Nuvei (NVEU US: -34.02%) and German online food delivery platform operator Hellofresh (HFG GY: -11.35%).

Select IPOX® Indexes Price Returns 2020 Last Week YTD
IPOX® Indexes: Global/International
IPOX® Global Super Liquid (IPGL50) (USD) 66.63 1.80 -5.31
IPOX® International (IPXI) (USD) (ETF: FPXI) 72.15 0.23 -13.71
IPOX® Indexes: United States
IPOX® 100 U.S. (IPXO)* (USD) (ETF: FPX) 47.32 2.40 3.17
IPOX® M&A (GNDX) (USD) n/a 2.89 n/a
IPOX® ESG (IPXT) (USD)  42.29 0.83 -0.12
IPOX® SPAC (SPAC) (USD) 48.52 -0.57 -14.53
IPOX® EV (IPEV) (USD) n/a 0.20 29.12
IPOX® Indexes: Europe/Nordic
IPOX® Europe (IPOE) * (USD) (ETF: FPXE) 35.14 2.20 6.86
IPOX® Nordic Core (IPND) (EUR) 59.89 4.05 16.87
IPOX® Indexes: Asia-Pacific/China
IPOX® Asia-Pacific (IPTA) (USD) 47.50 -0.27 -6.35
IPOX® China Core (CNI) (USD) 88.02 3.36 -37.42
IPOX® Japan (IPJP) (JPY) 25.75 -1.30 8.22

* Basis for CME-traded e-mini IPOX® 100 U.S. Futures (IPOH2). *also available In UCITS format in Europe in EUR (EFPX IM,), USD (IPXE LN), and GBP (FPX LN). 

IPOX® SPAC INDEX (SPAC):  The index fell -0.57% to -14.53% and +26.95% since Its 7/30/2020 launch. SPAC news include: 1) 6 SPACs Announced Merger Agreement include a) Virgin Group II (VGII US: +0.82%) with sustainable consumer products sell Grover, b) Oaktree II (OACB US: -0.20%) with biopharma Alvotech and c) CC Neuberger II (PRPB US: +0.00%) with pictures marketplace Getty Images. 2) 7 SPACs Approved Business Combinations include a) Decarbonization Plus III with Ford-backed battery maker Solid Power (SLDP US: +5.51%); b) dMY Technology IV with earth imaging company Planet Lab (PL US: +0.11%) and c) Dragoneer Growth III with event management platform operator Cvent (CVT US: -11.79%). 3) SPACs terminated merger agreement include a) Pathfinder Acquisition (PFDR US: +0.00%) with field service management vendor ServiceMax and b) FAST Acquisition (FST US:           -0.00%) with restaurant and casino group Fertitta Entertainment. 4) 20 new SPACs launched last week in the U.S.

WEEKLY GLOBAL Deal-flow Review and Outlook:  29 IPOs launched globally last week, with the average deal adding +4.09% based on the difference between the final offering price and Friday’s close. Key deals in the U.S. included the IPO of Brazil’s Nubank (NU US: +31.67%) and software group HashiCorp (HCP US: +7.13%). Abroad, Saudi Exchange Saudi Tadawul Group (TADAWULG AB: +20.00%) and Germany’s Daimler spin-off Daimler Truck (DTG GR: +9.05%) rose.  U.S. industrial Samsara (IOT US) and Japan’s payment services provider Net Protection (7383 JP) are key IPOs lined up for this week. Other IPO news include: a) Volkswagen mulls Porsche listing; b) Saudi food delivery startup Jahez and Russia’s car dealer Rolf consider IPO and c) Intel set to spin-off self-driving unit Mobileye.

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