To apply “Indexing” to the market for New Listings globally.
Here at IPOX Schuster, our philosophy is to classify New Listings (IPOs, Spin-offs and respective M&A) into a separate equity sector for a limited, but substantial period of time after “going public” because New Listings share unique empirical dynamics.
Dr. Josef Schuster
Dr. Schuster is the founder of Chicago-based IPOX Schuster LLC and chief architect of the IPOX® Indexes. Before founding IPOX, he pursued his academic work on European IPOs in the Financial Markets Group (FMG) at the London School of Economics (LSE), where he completed his MSc and PhD and conceived the idea to start IPOX. He regularly appears in the media as an expert in global New Listings and respective investment products..
Our international team consists of employees with highly specialized skills in the area of New Listings, Data Mining & Analysis and Software Engineering.
What is the dissemination frequency of the IPOX Indexes on IPOX.com?
The value of the IPOX Indexes highlighted on our IPOX.com are updated ca. every seven seconds. This helps visitors to follow the IPOX Indexes vis-à-vis other major indexes to better gauge overall market sentiment on an intra-day basis and determine if your IPOX-linked Financial Products track accurately.
What is the IPOX Deal Calendar?
The IPOX Deal Calendar tracks global deal flow and provides general descriptive information about a respective upcoming deal. It is updated dynamically and can be easily synchronized with your Google calendar to keep you up-to-date with the status of a respective New Listings.
Is what you do economically significant?
We believe that the market for global New Listings as defined by IPOX is economically significant. Since 2000, for example, around 14,450 companies went public on the global exchanges. In the U.S. alone, for example, every four years, the size of the New Listings Market (IPOs and Spin-offs) equals 60% of the total market cap of the Russell 2000 Index. With its 4,800 constituents’ stocks as of January 2019, the IPOX Global Composite – the underlying for the IPOX Indexes – pools around $6.4 trillion worth of global stock market capitalization and between 10-20 percent of daily trading volume on the major global exchanges. New Listings (IPOs, Spin-off and respective M&A) also form the basis for index addition activity into the major equity benchmarks.
What do New Listings have in common?
New Listings are subject to unique empirical dynamics up to at least four years after “going public”, on average. Some of these empirical features concern underpricing, short-run overperformance, a highly skewed long-run return distribution with few extreme winners driving positive performance, significant return differences when measuring returns of sub-groups of companies and the link between pre-listing accruals management and long-run stock price performance.
What are the advantages of applying indexing to New Listings IPOX-style?
Indexing New Listings IPOX-style provides investors with a turnkey solution to access the potential asset allocation benefits associated with investing in New Listings. Moreover, there is a limited overlap between the IPOX portfolios and the conventional major benchmark portfolios.
How can people invest in what you do?
Various types of IPOX-linked products are originated by a number of leading Financial Services firms in the United States and abroad and distributed through the various channels. Financial Products linked to IPOX include Exchange-traded-Funds, Mutual Funds, Separately Managed Accounts and Hedge Funds. Please contact us to receive more detailed information.
When was your first ETF launched?
Linked to the IPOX 100 U.S. Index, the first IPOX-linked ETF launched on April 13, 2006 on the American Stock Exchange under the ticker symbol “FPX”. It has contributed to changing the way how advisors think about investing in New Listings. Assets tied to the “FPX” ETF, a 5-star (10 year) fund, have recently exceeded USD billion 1. Since launch, “FPX” has more than doubled the performance of the S&P 500 at only slightly higher level of risk.
Has the Media noticed what you do?
Yes. IPOX-linked products have been features in the major media. Please see our media page for details. Team members also often appear in the media to provide expert advise related to the New Listings markets and respective deal flow.
What does “IPOX” stand for?
“IPOX” stands for Initial Public Offering Indexes.