IPOX Indexes Benefit From Surge in U.S. Payment Processors

|
Includes: FPX, HCA, KMI, LO, MCPIQ, PM, V
by: Josef Schuster

The IPOX Indexes were the main beneficiary of today's surge in U.S. payment processors, including Visa (NYSE:V), after the Federal Reserves decision on debit card fees.

The First Trust U.S. IPO Fund (NYSEARCA:FPX) and underlying IPOX U.S. 100 Index (IPXO) surged +1.83% to +9.10% year-to-date, remaining the best performing well diversified broad index fund capturing U.S. domiciled companies. The current constituents provide systematic exposure to a range of leading U.S. domiciled IPOs and spin-offs including Visa (V), Lorrilard (NYSE:LO), Philip Morris International (NYSE:PM), Molycorp (MCP), HCA Inc. (NYSE:HCA) or Kinder Morgan (NYSE:KMI).

Calculated by Standard & Poor’s ("S&P") since 2004, the IPOX Indexes provide scalable and sustainable asset allocation focused exposure measuring the "going public" effect in the largest and most liquid global IPOs and spin-offs over a four-year rotational cycle.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. The IPOX Indexes and/or respective investment vehicles may be long or short aforementioned companies.