ETFs following newly public companies are capturing the centerstage as the U.S. IPO market picks up steam. The Renaissance IPO ETF (NYSE:IPO), which follows U.S. IPOs that have listed during the previous three-year period, has increased over 35% in the last six months. The First Trust U.S. Equity Opportunities ETF (NYSE:FPX) has risen more than 42% in the last six months, with the First Trust International Equity Opportunities ETF (NASDAQ:FPXI) seeing 25% returns over the same period, extending exposure beyond America.
These funds are taking advantage of a market environment that is increasingly favorable towards new listings. Bespoke Investment Group noted that approximately 125 firms with market capitalizations above $500 million have IPO’d since the “AI bull market” started in October 2022. This pace has picked up in 2025, highlighting increasing demand for IPO-related strategies.
