How Hedge Funds Are Trading the SpaceX Retail Allocation Cut

SpaceX’s IPO is the biggest in history, aiming for a $2 trillion market cap on debut. But hedge funds aren’t just buying the stock — they’re trading the allocation mechanics. This episode unpacks how funds are exploiting the gap between institutional and retail allotments, using data from the S&P 500’s record high and the small-cap Russell 2000’s 3.1% weekly surge as context. Lucas and Luna break down the arbitrage: why SpaceX cut retail allocation to the low 20% range, how hedge funds are scooping up oversubscribed shares from IPO bookrunners, and what the VIX drop to 17.68 means for risk appetite. They also explore the secondary-market dynamics via prediction markets and how funds are using ETFs to get indirect exposure. No clickbait — just the mechanics behind the biggest capital event of 2026. #SpaceX #IPO #HedgeFunds #RetailAllocation #Arbitrage #StockMarket #Finance #Business #FexingoBusiness #BusinessPodcast #Investing #AlternativeInvestments #PredictionMarkets #Russell2000 #SP500 #VIX #IPOAllocation #CapitalMarkets Keep every episode free: buymeacoffee.com/fexingo