Snap Included In IPO ETF
Another ETF where Snap will likely feature prominently is the $682 million First Trust U.S. Equity Opportunities ETF (FPX). FPX buys stocks of companies that recently went public, hoping to capitalize on the rapid growth that new public companies often see.
FPX holds a basket of the 100 largest IPOs, with an aim to keep them in its portfolio for their first 1,000 trading days, or about four years. Current top holdings include Kraft Heinz, AbbVie, Shire, PayPal and Facebook.
Snap is already a holding for FPX, representing a tiny 0.28% of the fund's portfolio, according to the issuer website. That figure is likely to increase substantially at the next quarterly rebalancing later this month.
A smaller rival IPO product, the $14 million Renaissance IPO ETF (IPO), doesn't include Snap as a component yet, but it's expected to become one at the quarterly rebalancing later in March. The ETF keeps its holdings for two years. Top components currently include First Data, TransUnion, Shopify, Univar and Blue Buffalo.
YTD Returns For FPX & IPO
Contact Sumit Roy at [email protected]