Shunning IPOs as Too Risky, Investors Load Up on Large-Cap Stocks

‘Post-COVID, investors have become notably more risk averse,’ economist Peter Earle stated.
Shunning IPOs as Too Risky, Investors Load Up on Large-Cap Stocks
Traders work at the opening bell on the floor of the New York Stock Exchange on May 8, 2025. Timothy A. Clary/AFP via Getty Images
Kevin Stocklin
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America’s equity markets are experiencing a dearth of new companies coming to market, with the result that stock market investors are increasingly concentrating their money in established, large-cap companies.

The past several years of solid stock market performance and historically high valuations for publicly traded U.S. companies would normally have brought a flood of new companies raising capital through initial public offerings (IPOs) of shares, a March report by Russell Investments states. But new issuance has thus far been anemic. 
Kevin Stocklin
Kevin Stocklin
Reporter
Kevin Stocklin is a contributor to The Epoch Times who covers the ESG industry, global governance, and the intersection of politics and business.