Should You Buy SPACs After Their Crash?
Privately held companies love bull markets, and with stock markets near all-time highs, it's been a great time for those private businesses to come public. Rather than going through the traditional initial public offering (IPO) process, which can be painful and long, many companies have chosen instead to come public using a special purpose acquisition company (SPAC).
High-profile SPAC wins got investors truly excited about the prospects for investing in the next big disruptive company before anyone else got a chance. That sent SPAC prices soaring. But lately, there's been a huge reversal, and many SPACs have crashed from their lofty heights.
Below, we'll talk about three lessons the SPAC crash has taught investors. First, though, let's take a look at the carnage in the SPAC universe.
Source Fool.com
