Meet the 9 Vanguard ETFs That Are Buying SpaceX Stock in Droves. Here's My Top Pick of the Bunch.
2026-07-24 10:15
•Daniel Foelber •The Motley Fool
•• ••••• Axe Capital view
Vanguard's SpaceX Bets Signal a Shift Worth Noting
Vanguard ETFs are rapidly building exposure to SpaceX, hinting at evolving growth plays for investors globally.
SpaceX’s June IPO and quick addition to the Nasdaq-100 has sparked intense buying from nine major Vanguard ETFs, collectively snapping up $6.1 billion in shares. The usual S&P 500 funds, like Vanguard's VOO, are sidelined until procedural rules allow SpaceX’s inclusion. This creates a unique opportunity in broader market ETFs like VTI—which balances ultra-low costs with diversification and faster IPO adoption—to gain early and growing exposure to what’s quickly become a tech giant rivaling Meta Platforms in market cap. For South African investors, the lesson isn't to chase SpaceX directly but to watch USD/ZAR movements closely, as global tech flows can tighten the rand when risk appetite is high. We expect increasing SpaceX weight in these ETFs as the share float expands, meaning patient investors in broad US equity trackers stand to benefit indirectly. That said, regulatory or valuation shocks in the US tech sector could hit these ETFs hard, catching those chasing hype off guard. this is just my opinion and not financial advice
I would buy or hold Vanguard Total Stock Market ETF (VTI) for broad US tech exposure, avoiding VOO for now due to SpaceX's absence. Keep an eye on USD/ZAR as a barometer for risk appetite. Trim if US tech sentiment sours sharply.
- VTI
- USD/ZAR
- US tech regulation tightening
- market correction affecting innovation stocks
6/10
Nine Vanguard ETFs collectively purchased $6.1 billion of SpaceX stock following its June IPO and July Nasdaq-100 listing. SpaceX remains absent from the S&P 500 ETF due to index admission requirements. The Vanguard Total Stock Market ETF is recommended as the top pick due to its low 0.03% expense ratio and diversification benefits, with SpaceX expected to increase its weighting as more shares become available for trading.
This article was originally published by The Motley Fool and has been adapted here for Axe Capital Trading News.
Publisher: The Motley Fool
Author: Daniel Foelber
Categories: Equities, IPOs
Tickers: SPCX, VTI, VUG, VOO, VOX
Sentiment: Positive - SpaceX successfully completed its IPO and was fast-tracked into the Nasdaq-100. Multiple major Vanguard ETFs are actively buying its stock, and it has a $1.5-1.6 trillion market cap comparable to Meta Platforms, indicating strong market reception and institutional interest. Recommended as the top pick by the author due to its extremely low 0.03% expense ratio, diversification benefits, and faster adoption of new IPOs compared to index-tied funds. It holds the largest SpaceX position among Vanguard ETFs at over $3 billion.
Keywords: SpaceX IPO, Vanguard ETFs, SpaceX stock, float-adjusted weighting, index funds, total stock market, growth ETF
Insights:
- SPCX: Positive: SpaceX successfully completed its IPO and was fast-tracked into the Nasdaq-100. Multiple major Vanguard ETFs are actively buying its stock, and it has a $1.5-1.6 trillion market cap comparable to Meta Platforms, indicating strong market reception and institutional interest.
- VTI: Positive: Recommended as the top pick by the author due to its extremely low 0.03% expense ratio, diversification benefits, and faster adoption of new IPOs compared to index-tied funds. It holds the largest SpaceX position among Vanguard ETFs at over $3 billion.
- VUG: Positive: SpaceX is on track to become a major holding in this large Vanguard ETF, indicating strong growth potential and institutional confidence in SpaceX's future prospects.