Who Gets To Buy SpaceX IPO Shares? Global Investors Are Scrambling For Access

Investors around the world are racing to gain access to SpaceX as the company moves closer to its long-awaited stock market debut.

The excitement surrounding Elon Musk's aerospace giant has sparked a surge in demand from both institutional and retail investors, many of whom have spent years waiting for an opportunity to gain exposure to one of the world's most closely watched private companies.

According to an X post from Gagola Value Capital, run by two British amateur investor brothers, '$14 billion has poured into SpaceX-linked funds since Musk confirmed the IPO...The hype is unlike anything I've seen.' Yet despite the enthusiasm, direct access to SpaceX shares remains out of reach for most investors.

Until the company officially goes public, only a select group of large financial institutions and wealthy individuals can buy shares directly. As a result, ordinary investors are turning to alternative routes, from specialist investment funds to related aerospace stocks and even prediction markets, in an effort to benefit from the growing frenzy.

Alternative Routes To SpaceX Exposure

For investors unable to purchase SpaceX shares directly, several workarounds have emerged, as per reports. One of the most common routes is the secondary market. This allows employees and early investors who already own SpaceX shares to sell them privately. Transactions are negotiated directly between buyers and sellers, often at prices agreed by both parties rather than through a public exchange.

Another increasingly popular option is exchange-traded funds, better known as ETFs. These investment funds trade on stock exchanges and can be bought by ordinary investors. Some ETFs have developed structures that allow them to hold exposure to SpaceX, giving investors an indirect stake in the company's fortunes.

Joel Shulman, founder of ERShares, said interest in his firm's XVOR fund has surged as investors seek access to SpaceX. The fund reportedly has around 15 per cent of its holdings linked to SpaceX.

'We've increased assets under management by five times, and I'm fairly certain we have the largest percentage weight in SpaceX now of any ETF,' Shulman said.

He added: 'This is by far the most exciting IPO that we've seen.' However, not everyone is comfortable with the structures used to gain exposure.

In some cases, the investment is held through legal entities that own the actual SpaceX shares, creating a layer of complexity that some investors find difficult to navigate.

The intense demand reflects years of anticipation. Despite becoming one of the most influential companies in the world, SpaceX has remained privately held throughout much of its growth, limiting opportunities for public investors to participate in its rise.

Ludovic Phalippou, a professor at the University of Oxford's Said Business School, believes that is one of the key reasons for the current surge in interest.

'What is unusual about SpaceX is the scale of the enthusiasm and the fact that such a large and influential company has remained private for so long,' he said.

Worries Grow As Valuation Soars

While excitement around the IPO continues to build, some experts are urging investors to proceed carefully.

Phalippou noted that investors are effectively competing to gain access after much of the company's growth has already taken place.

'Today, investors are competing intensely to buy access to a company after much of the growth has already occurred,' he said.

That dynamic differs from the early days of companies such as Google or Amazon, when public investors had greater opportunities to benefit from future growth. According to Phalippou, many investors now appear willing to pay extra simply to secure a place in SpaceX.

'The irony is that many investors appear willing to pay a premium simply for the privilege of gaining access,' he added.

The debate has become even sharper because SpaceX is targeting a $1.75 trillion (£1.38 trillion) valuation. Critics argue that such a figure reflects confidence in Musk's long-term ambitions rather than the company's present-day business performance. Those ambitions include reaching Mars and placing data centres in space.

Jay Ritter, an IPO specialist at the University of Florida, warned that even exceptional businesses can become risky investments if valuations climb too high.

'A great company doesn't necessarily mean a great investment,' Ritter said.

He added: 'A company can be a great company, but if the valuation is too high, eventually it's going to come down to Earth. And this is where I've got a concern about SpaceX.'

Meanwhile, some investors are seeking to capitalise on the excitement surrounding the IPO by purchasing shares in other space-related companies. Rocket Lab has seen its market capitalisation nearly triple over the past two months, while AST SpaceMobile has gained 78 per cent in just two weeks.

Others have focused on Virgin Galactic. Although questions remain about the company's space tourism business model, some traders believe it could benefit from confusion between its stock ticker, SPCE, and SpaceX's ticker, SPCX.

Beyond traditional investments, prediction markets have also become part of the SpaceX phenomenon. These platforms allow users to place money on future outcomes rather than buy company shares directly.

Kalshi, the largest prediction platform, told AFP that $29 million (£22.9 million) has already been wagered on SpaceX-related questions. These range from predictions about Musk's net worth at the end of 2026 to whether a Mars landing will occur before 2030.

As SpaceX's public debut approaches, investors continue searching for any available path into one of the world's most talked-about companies. Whether through ETFs, related stocks, private share sales, or prediction markets, the rush for access shows little sign of slowing.