SpaceXs officially going to the moon and overnight trade shares briefly spiking above the $200 level with the company's market cap moving past Amazon and Microsoft.
Well today options are going live and this is all the launch of leverage ETFs offering two time long and short exposure to SpaceX's daily movement.
Well direction is going along on the new.
Player in the market launching LOFF yesterday.
The new fund is designed to deliver a 200% leverage move based on the daily trading performance of Elon Musk's rocket company.
Well joining me this morning live here at the New York Stock Exchange is Ryan Lee, Senior Vice President, Product & Strategy for Direxion.
Great to have you here, Ryan.
Thank you so much for joining me.
This morning, there have been a lot of eyes on SpaceX's IPO, but first, for your fun, tell us about the strategy.
Yes, so Ticker LOFF liftoff provides 2X daily exposure to SpaceX common shares.
So we at Direction are the largest single stock ETF provider in the world.
SpaceX naturally had to be the next place we were going to enter.
Yes, and because of this mega IPO that we had on Friday, there has been a lot of focus on the company's business model.
And since you're joining me on the heels of SpaceX announcing their acquisition of Cursor, this is a $60 billion acquisition.
I know that we have all been focused on the company's business model.
How does this change things?
Yes, it's fascinating.
If you look at the broad market on the whole, it feels like we're in such a headline-driven market these days. tariffs all the way back to last year, the Iran conflict earlier this year, nobody is as much of a headline driver as Elon Musk.
And so yeah, even before we came on today, another headline of a $60 billion deal for Cursor really showing their commitment to the broader AI space.
And so again, a direction we offer leveraged ETFs across the spectrum of whether it's single stocks like LOFF liftoff or broader baskets like SOXL.
So anything AI, semis, anything related to that trade.
We look to provide you leverage whether long or short exposure for active daily traders.
And Ryan, since you are here, I understand you've called the SpaceX IPO a seminal moment here.
So what makes this listing so pivotal for the broader artificial intelligence trade?
Yes, it's incredible.
I mean, you look at this IPO and it's so unprecedented, largest IPO ever, driven by Elon, giving access to the really the crown jewel of his broader portfolio, and you think about What is SpaceX trying to build?
Everything is AI related, you know, looking at the cursor deal, that's the obvious side.
The XAI build, that's been pretty obvious, but he talks so much about these data centers in space and how pivotal it is that SpaceX is lowering the cost to bring goods back and forth from space.
And so everything around this AII trade kind of does hinge on whether or not this vision is successful.
If it is, it really could give the whole trade that next leg higher.
If it's not, it could present some choppier markets for us.
