IPOX Indexes extend big YTD gains as Markets catch up, select Indexes close at highest weekly level on record. Most IPOX Indexes extended their YTD gains during expiration week, as low yields & risk and smooth FED action propelled the heavily-traded equity benchmarks. Amid the big rally in China-linked exposure, most upside focus was recorded by the IPOX Global (IPGL50) and IPOX International (ETF: FPXI) which both outperformed their respective benchmarks. In the U.S., the FANG-free, diversified IPOX 100 U.S. (ETF: FPX) lagged after recording losses towards the week-end, as large-cap U.S. Technology (NDX: +3.34%) continued to play catch-up. The IPOX 100 U.S. (ETF: FPX), however, managed to close at yet another weekly All-Time High. In individual exposure, big upside was recorded by enterprise software developer Appian (APPN US: +22.31%), solar energy Sunrun (RUN US: +12.52%) and health care IQVIA (IQV US: +12.29%), as well as IPOX International (ETF: FPXI) holding Singapore’s online e-commerce payment platform provider Sea Ltd (SE US: +14.99%). (Perceived) corporate action activity also contributed to big moves in IPOX 100 Europe (ETF: FPXE)-held vehicle auction services firm BCA Marketplace (BCA LN: +26.39% – jumping after confirming takeover talks with private equity firm TDR Capital LLP) and automation software maker Blue Prizm Group (PRSM LN: -20.32% – declining after weak results and announcing the acquisition of Thoughtonomy), as well as Japan-traded Sushiro Global (3563 JP: -17.65% – falling after calling off merger talks with fellow sushi chain Genki Sushi).
IPOX 100 U.S.-Style Investing with the “FPX” ETF since 2006.
IPOX-linked Fund Performance: Amid continuous flows into the fund, the IPOX 100 U.S. (IPXO)-linked, 5-star (10-years) $1.2 billion First Trust IPOX® U.S. Equity Opportunities ETF (FPX) advanced to +27.04% YTD, while the IPOX International (IPXI)-linked 5-star (3-years) First Trust IPOX® International Equity Opportunities ETF (FPXI) and the IPOX® 100 Europe (IPOE)-linked First Trust IPOX® Europe Equity Opportunities ETF (FPXE) closed the week at +20.94% YTD and +24.15% YTD, respectively. Amongst actively managed IPOX-linked funds, the Catalyst IPOX® Allocation Fund (OIPAX) rose +25.07% YTD.
|Select IPOX® Indexes Price Returns (%)||Last Week||2018||2019 YTD|
|IPOX® Indexes: Global/International|
|IPOX® Global (IPGL50) (USD)||2.58||-11.37||23.89|
|IPOX® International (IPXI)* (USD)||3.25||-13.41||19.02|
|IPOX® Indexes: United States|
|IPOX® Composite U.S. (IPXC)*||2.74||-7.59||19.64|
|IPOX® 100 U.S. (IPXO)*||1.78||-8.80||26.63|
|IPOX® 30 U.S. (IPXT)||1.91||-10.28||22.57|
|IPOX® Indexes: Europe/Nordic|
|IPOX® 30 Europe (IXTE) (EUR)||1.19||-13.46||23.45|
|IPOX® Nordic (IPND)||1.05||-15.45||23.27|
|IPOX® 100 Europe (IPOE)* (USD)||2.17||-16.60||20.59|
|IPOX® Indexes: Asia-Pacific/China|
|IPOX® Asia-Pacific (IPTA) (USD)||1.43||-3.21||5.06|
|IPOX® China (CNI) (USD)||4.64||-22.83||10.37|
|IPOX® Japan (IPJP)** (JPY)||-1.86||-13.70||0.32|
* Basis for ETFs: FPX US, FPX LN, FPXE US, FPXU FP, FPXI US, TCIP110 IT and CME-traded e-mini IPOX® 100 U.S. Futures (IPOM9). ** Live since 07/18. Please contact [email protected]pox.com for other IPOX® Indexes.
IPO Deal-flow Review & Outlook: Unicorns Slack (WORK US) and Sansan (4443 JP) surge on debut. Luxury goods e-commerce marketplace RealReal (REAL US) and Germany’s transport service company Traton (8TRA GR) ready for stock market debut. At least 15 firms debuted last week across global regions, with the average (median) equally weighted stock adding +23.92% (+23.13%) based on the difference between the final offering price and Friday’s close. Amid the good debut for direct listing application software maker Slack (WORK US: +43.15%), most upside focus in the U.S. was on small-caps including biotech’s Personalis (PSNL US: +77.94%), Stoke Therapeutics (STOK US: +51.61%) and CA-based discount retailer Grocery Outlet (GO US: +30.00%). Abroad, while CSSC Group’s ship-leasing unit Hong Kong-traded CSSC (HK) Shipping (3877 HK: -17.91%) fell, European deals were well received, including Swedish medical products maker Mentice (MNTC SS: +33.67%) and London’s online train ticket retailer Trainline (TRN LN: +17.91%). We also note a strong first week for Japan-traded contact management unicorn Sansan (4443 JP: +24.22%). Ahead of the July 4th U.S. holiday week, global deal flow is expected to remain strong with firms including Brazil’s software developer Linx SA (LINX US), Il-based wireless broadband firm Cambium Networks (CMBM US), luxury goods consignment e-commerce marketplace RealReal (REAL US) and biotech Bridgebio Pharma (BBIO US) set to debut in the U.S, while Germany’s Volkswagen (VOW GR) Truck unit Traton SE (8TRA GR) plans to raise 1.65 billion EUR in an IPO in Germany. We also note the addition of AI-enabled business payment platform J.P. Morgan-backed (JPM US) bill.com, as well as Budweiser Brewing Company APAC – a unit of Anheuser-Busch InBev (ABI BB) – to this summer’s global IPO pipeline.
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