IPO Performance: Beyond Tech Hype – A Broker-Dealer’s Guide

Market Reality vs. Media Hype

Despite the media’s focus on tech unicorns, technology IPOs represent only 13% of total IPO market cap since 2010. The real opportunities lie in a diverse range of sectors that often outperform headline-grabbing tech offerings.

Sector Performance Analysis

Key Market Insights

• Healthcare, financial, and consumer services comprise 58% of all IPOs
• IPOs outperformed the S&P 500 in 7 of 10 years by ~20%
• Popular tech IPOs don’t guarantee success (e.g., SNAP is down 65% post-IPO)

Sector Opportunities

Healthcare

• Highest deal count and returns
• Defensive sector characteristics
• Strong pharmaceutical and medical device representation

Industrials

• Strong construction and manufacturing focus
• Highest average returns 
• Capital goods emphasis

Financials

• Geographically diverse offerings
• Strong representation from the heartland and southern states
• Interest rate-sensitive opportunities

ETNA-ClickIPO Advantage

• Access to diverse IPO offerings across sectors
• Enhanced client investment opportunities
• Competitive advantage in the retail market
• New revenue streams for broker-dealers

Ready to offer your clients access to the full spectrum of IPO opportunities? Schedule a demo today.