Alternative Investing Report - September 10, 2024

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Space tech startups have already received $6 billion in venture funding this year, nearly reaching last year’s total of $6.2 billion, but below the record of $12.3 billion set in 2021. The biggest raise was defense startup Anduril’s $1.5 billion Series F, but other notable raises in the sector include satellite startup Astranis’ $200 million July financing round and space manufacturing company Apex’s $95 million round in June.

➨ TAKEAWAY: Interest in space tech has risen in lockstep with the growth of defense tech startups, which also counts Anduril and is on pace to have a record 2024. Additionally, SpaceX’s rapid growth and constant presence in the news, such as Elon Musk’s stated goal of sending uncrewed missions to Mars in 2026, keeps the sector in the public eye.

The median U.S. monthly housing payment has fallen to $2,534, down nearly $300 from April’s record-high, and the lowest it has been in 18 months. This is due to lower mortgage rates and stagnant home prices, yet pending home sales are down 8.4% year-over-year. In response, sellers are cutting prices at the highest rate in five years as we enter a buyer’s market.

➨ TAKEAWAY: The time is now for buyers, as mortgage rates have already priced in the expected September rate cut from the Fed, and there is a chance they might rise after the Fed meeting. While housing supply is significantly higher than it was last year, new listings have fallen, so increased buying demand could flip this right back to a seller’s market in short order.

💵 Private market fund: Asset management firm Lazard launched a new listed private markets fund, which will give retail investors access to a diverse portfolio of alternative assets, such as private credit, private equity, and real estate, with daily liquidity.

🏡 Back to the office: Office foot traffic nationwide has reached 73% of July 2019 levels, the highest mark since the pandemic began. The cities with the highest traffic are Miami, New York, Dallas, Atlanta and Washington DC.

🚀 Secondaries still heating up: Venture Capital Journal’s guide to secondaries buyers added six new firms with nearly $14 billion in capital in the past two months, highlighting the growing demand for secondaries.

💰 Rare coin: One of only two 1975 “no S” proof dimes will be auctioned off in October, and could sell for more than $500,000 - the other sold for $456,000 in 2019.

🪙 Bitcoin ETFs: Though there were $1.2 billion in net outflows in the last eight days, Bitcoin ETFs still occupy the top four spots on the list of biggest ETF launches of 2024.

The median listing price for homes in Monrovia, CA, a Los Angeles suburb, is $925,000. This property is on the market for only $499,000, but there are a couple of catches. First, it’s small - a 645 square foot, one-bedroom, one-bathroom bungalow. Second, it was crushed by a tree in May, leaving it with what the listing agent calls, “an open-concept floor plan.” Still, it can be rebuilt and someone may end up with a bargain.