Diversified FANG-free IPOX 100 U.S. (linked ETF: FPX) Has Best Ever Start to New Year
IPOX is pleased to note strong January returns across its range of IPOX® Indexes, including its flagship IPOX 100 U.S. (IPXO). Highlights include:
- The FANG-free diversified IPOX 100 U.S. gained +11.88% during January, recording the best start to a year ever, and outperforming the S&P 500 (SPX) by +401 bps.
Outsized and unique returns were driven by continuing massive M&A activity for companies trading in the IPOX holding period window, i.e. the first four years of public trading of a firm after its listing on a public market.
Examples of respective January corporate actions involving IPOX 100 U.S. members include the buyout of P/E-backed 10/2015 IPO of payment processor First Data (FDC US: 45.51% during Jan.) and specialty chemicals maker Versum (VSM US: +35.48%), the consummation of the Takeda/Shire/Baxalta takeover (TAK US: +18.73%), as well as the merger between internet infrastructure solutions provider Twilio (TWLO US: +29.41%) and infrastructure software maker SendGrid (SEND US: +30.16%).
Including Dividends, the IPOX 100 U.S. (IPXUOTR) has returned +637.59% vs. +243.20% for the S&P 500 (SPXT) between launch of the IPOX 100 U.S. on 8/6/2004 and 01/31/2019.
Financial Products tracking the IPOX 100 U.S. include the USD billion 1 First Trust IPOX® U.S. Opportunities ETF (ticker: FPX), an exchange traded fund listed on the NYSE.