Baron First Principles ETF Assets Surge from $240M to $1.5B on SpaceX Bets
RONB•Baron First Principles ETF saw assets climb from under $240 million to $1.5 billion since end-March as investors hunted SpaceX exposure ahead of its IPO. Heavy inflows pushed SpaceX weighting down from roughly 13% of the portfolio to about 2.5% despite the ETF’s growing size.
1. Rapid Asset Growth
The Baron First Principles ETF saw its assets surge from under $240 million at the end of March to $1.5 billion by mid-June as investors sought indirect exposure to SpaceX ahead of its IPO.
2. SpaceX Allocation Decline
SpaceX’s share of the ETF plunged from nearly 13% at the end of March to roughly 2.5% after new capital inflows outpaced additional purchases of the private company’s shares.
3. Impact of SpaceX IPO
Despite the massive inflows, the ETF’s diversified holdings mean any initial IPO pop for SpaceX will likely have only a modest impact on its overall performance, and continued inflows could further dilute the position.
