The Private Shares Fund (PIIVX), a $1.16 billion vehicle managed by Liberty Street Advisors, had approximately $224 million, or 19.3%, of its net assets in SpaceX as of March 31, 2026. This concentration underscores the dominance of a single late-stage private company as IPO speculation builds around the aerospace giant, which is reportedly targeting a $1.75 trillion valuation in its public debut.
In the first quarter of 2026, the fund posted gross sales of roughly $118 million, marking its fifth strongest quarter in 12 years. More than $600 million, or over 50% of net assets, are in companies that have either taken steps toward or publicly discussed an IPO or merger. This data arrives as private markets watch for signs of a broader reopening after a prolonged drought in listings.
Kevin Moss, co-creator and manager of the fund, attributes the shift to structural changes that keep companies private longer. "Companies stay private longer because deep pools of late-stage capital—including crossover funds, venture funds, private equity funds, sovereign wealth, and funds like our own—let them raise at scale without the disclosure burden and quarterly cadence of public markets," Moss said. The JOBS Act of 2012, which raised the shareholder threshold for public reporting, has further reduced pressure to list. Moss argues that investors now need a private-markets allocation to capture growth, rather than waiting for an IPO.
For a successful IPO, Moss says external and internal conditions must align. Positive market sentiment, stable interest rates, public comparables trading at defensible multiples, and a track record of successful tech listings are essential externally. Internally, companies need clean financials, a path to GAAP profitability, and a credible forecast. "Cerebras has already made that leap and was very well received by the marketplace, closing up 68% on the first day of trading," Moss noted. "SpaceX has indicated via their filings that their public debut is fast approaching."
Secondary market activity serves as a leading indicator for advisors. "Tightening bid-ask spreads, rising clearing prices relative to the last primary round, and growing transaction volume typically point to improving sentiment and a shorter runway to an IPO," Moss said. Conversely, widening spreads and discounts to the last round often precede a delayed listing. These signals guide the fund's positioning, identifying entry points where pricing and timing converge ahead of a public debut.
Macroeconomic conditions remain a major variable. Lower rates lift the present value of long-duration cash flows and pull public multiples up, narrowing the gap between private marks and public valuations. Stable macro conditions reduce the risk of pricing a deal into a selloff. "When rates are high, multiples compressed, or volatility elevated, companies generally prefer to raise privately and wait," Moss said.
Moss emphasizes that pre-IPO and post-IPO investing are complementary, not interchangeable. "There can be a big difference between the price of the last round of financing before the IPO and the IPO price, and then the IPO price can be different than the first trade price available in the public markets," he said. Private shares are illiquid, infrequently priced, and subject to limited disclosure, while public shares are liquid, continuously priced, and fully regulated. Advisors typically treat them as complementary sleeves within a portfolio.
On risk, Moss highlights concentration, illiquidity, valuation uncertainty between funding rounds, and a longer, less certain path to exit. Sector-specific dynamics—such as capital intensity in AI and aerospace, and enterprise-software cycles tied to IT budgets—layer on top of these structural considerations.
Looking ahead to 2026, Moss is cautiously optimistic about an IPO reopening. He expects more activity than the prior two years but says a full reopening depends on the first cohort of large listings holding up after pricing. Key signals include aftermarket performance of recent IPOs, S-1 filings from anticipated names, secondary-market pricing tightening toward last-round marks, and a stable rate path. "Momentum across those four together is what would mark a genuine reopening rather than a handful of one-off deals," he said. For advisors, the fund's positioning in companies moving toward public markets offers a window into this evolving landscape.
