CSD vs IPOS

CSDBInvesco S&P Spin-Off ETF

IPOSDRenaissance International IPO ETF

In short

CSD Most funds in this corner of the market chase IPOs. CSD buys the other kind of new company: businesses cut loose from a bigger parent, held only for their first four years on their own, then rolled off.

IPOS The overseas half of the IPO trade. IPOS tracks a rules-based index of the largest, most liquid newly public companies listed outside the US, roughly 60 names, wrapped in one ticker.

Stated mandate

CSD The fund seeks exposure to companies spun off from parent companies by tracking the S&P U.S. Spin-Off Index, investing at least 90% of assets in index securities or depositary receipts.

IPOS The Fund seeks to provide investors with the largest, most liquid internationally listed newly public company stocks in one security. It uses passive indexing to approximate the performance of the Renaissance International IPO Index.

Why people hold it

• CSD The mandate is narrow and literal: U.S. companies spun off from a parent within the last four years, each with at least $1 billion in float-adjusted market cap.spglobal.com
• Fresh spin-offs get picked up at the monthly rebalance and every name ages out after four years, so the basket keeps turning over instead of going stale.spglobal.comspglobal.com 2
• 0.65% a year (0.66% gross, net of a waiver through August 31, 2028), near the middle of its eight-fund category, where First Trust's FPX charges 0.57% with no waiver.
• Live since December 2006 and still running the same spin-off mandate, it sits among the stronger builds in its small peer group.

• IPOS One ticker for non-US new listings. The fund targets the largest, most liquid internationally listed newly public stocks rather than making you chase individual offerings across foreign exchanges.renaissancecapital.com
• Rules, not hunches. It passively tracks the Renaissance International IPO Index, so entries and exits follow published methodology instead of a manager's read on a hot deal.renaissancecapital.com
• A veteran in a thin category. Launched in 2014, it has run through multiple IPO booms and freezes, and it pays distributions on a quarterly schedule.
• Reach spans developed and emerging markets, so the basket picks up new listings from Europe and Asia that broad international index funds tend to hold only in small weights.renaissancecapital.com

Worth knowing

• CSD About 30 holdings, so one company's news can move the whole fund. This is a concentrated slice, not a core holding.
• One of the lighter-traded funds in its category, which can mean wider gaps between what buyers bid and sellers ask.
• Income is an afterthought here: distributions land once or twice a year, and the index is built around corporate events, not yield.spglobal.com

• IPOS Cost sits at the high end: 0.80% a year, above the 0.70% cohort median and above direct rival FPXI at 0.70%.
• Small and thinly traded. Bid-ask spreads carry more weight here than with large, heavily traded index funds, and size limits how easily big orders move.
• A focused basket of about 60 recent listings, all of them companies without long public track records. On our measures it lands in the back of its small IPO and spin-off peer group.

Full CSD profile⁠

Full IPOS profile⁠