Special Purpose Acquisition Companies (SPACs) are one of the most exciting & disruptive capital markets themes over the past several years. Along with an increase in the number of SPAC IPOs, larger deal sizes and high-profile sponsor teams are drawing investors to this once underfollowed market. However, with little research and information available on publicly-traded SPACs, investors are often left wondering how they can efficiently access a market that has traditionally been dominated by institutional investors.   

The solution? The SPAC and New Issue ETF (Nasdaq: SPCX), the first actively-managed SPAC ETF. SPCX gives investors exposure to a broad portfolio of SPACs with the familiar attributes of an exchange traded fund’s diversity, tax-efficiency and liquidity.

A sponsor team raises a blind pool of cash to combine with a private operating company. The structure gives public investors access to a top tier sponsor that is highly incentivized to generate excess value through sourcing a unique business combination opportunity.

(Source: Bank of America)

(Source: Citi)