Baron First Principles ETF

RONB

Valor de mercado US$ 365 mi

ETFs are increasingly breaking down the wall between public and private markets. Asset managers are finding ways to “ETF-ize” private equity and pre-IPO holdings — giving retail investors liquid, fractional access to growth opportunities historically restricted to institutional and accredited buyers.

Space Exploration Technologies shares rose as the company successfully completed the largest initial public offering in history, raising more than $85 billion. Rising capital expenditure signals conviction in growth initiatives and strengthening Tesla's position as a leading vertically integrated physical AI company. FIGS, Inc. stock detracted from performance as shares slipped due largely to investor positioning.

Baron First Principles ETF rebounded in Q2 from a disappointing start to the year with the Fund gaining 7.01% (NAV) compared with a gain of 17.05% for the Russell 3000 Growth Index. The quarterly relative underperformance was due to continued concerns about the effects of AI on many businesses held in the portfolio as well as continued momentum in the AI infrastructure and data center buildout companies to which the Fund is underexposed. While we are disappointed with the year-to-date relative underperformance, we continue to see opportunities throughout the portfolio.

Funds with concentrated positions in a single stock signal high conviction. This is exactly what Baron First Principles ETF (RONB) is communicating to investors with its over 30% allocation to SpaceX (as of August 4, 2026).

SpaceX (SPCX) captured investor attention once again this week as investors digested a series of rapid developments that are fundamentally reshaping the company's valuation story. What began as a pure-play commercial space giant is rapidly evolving into an artificial intelligence powerhouse, driven by the recent rollout of Grok 4.

The aerospace sector has evolved from a speculative frontier into a foundational pillar of modern global infrastructure. At the forefront of this technological shift is SpaceX, which has redefined the economics of space travel.

SpaceX's blockbuster IPO has given way to sharp volatility as valuation concerns, lockup risks and competition evaluate investor confidence.

Prior to the debut of SpaceX on the Nasdaq, one of the few ways to get exposure to this highly anticipated IPO was through Baron First Principles ETF (RONB) via publicly traded, transparent, liquid ETF shares. Just because it's now public doesn't mean the exposure stops.

The Baron First Principles ETF is the current king among “SpaceX ETFs.” Firm founder Ron Baron is a longtime fan of Elon Musk and backs that up with related investments.

SpaceX's $60 billion acquisition of AI startup Cursor strengthens its AI ambitions, boosts shares and puts SpaceX-heavy ETFs in focus.