The euphoria surrounding SpaceX’s initial public offering and market debut tonight (Friday on Wall Street) is hardly surprising.
The circa USD75 billion ($106 billion) IPO is the biggest in the history of financial markets as measured by both the amount raised — trouncing Saudi Aramco’s USD29 billion in 2019 — and the market capitalisation of the listing company. As of now, SpaceX’s equity is worth an eye-watering USD1.8 trillion.
But the tens of thousands of local retail investors who scrambled to secure their slice of the Nasdaq debut via CommSec may want to check their history books.
“There’s been some work done on IPOs and how they trade on the day and how they trade over time,” said Nick Healy, portfolio manager of Wilson Asset Management’s international growth fund WAM Global.
