Direxion Launches Long/Short Global IPO Fund

Direxion, in conjunction with sub-advisor IPOX Capital Management, has launched the Direxion Long/Short Global IPO fund, which will provide retail investors with institutional-style access to investment opportunities in the global initial public offering and spin-off market. The long portion of the portfolio will invest in promising IPOs one year old or less, and the short portion will seek out stocks in their second to fourth year that are expected to underperform.

“IPOs have substantial economic significance and are the lifeblood of global equity capital markets activity,” said Dan O’Neill, president of Direxion.

“For investment professionals and sophisticated investors who seek tactical exposure to alternative asset classes, the Direxion Long/Short Global IPO fund provides an opportunity to take advantage of this relatively unexplored realm with a hedged strategy that helps to mitigate risk,” O’Neill added.