No one would have believed this even three months ago, but this may turn out to be the biggest year for IPOs since Alibaba went public in 2014.
Already, 111 companies have raised $37.8 billion, according to Renaissance Capital. In 2014, the year Alibaba went public, $85 billion was raised.
And that is without the SPAC market, which is also on fire.
What’s behind the enthusiasm?
Element 1 for a hot IPO market: A hot stock market
“First and foremost, the stock market is on fire,” one IPO trader, who asked to remain anonymous, told me. “As long as you have a hot equity market, you are going to have a hot IPO market.”