‘Stay Away,’ Say Strategists About VCX

Fundrise Growth Tech Fund (VCX) has surged over 200% over the past few days following its recent NYSE debut, and there are still no signs of cooling off, with the stock climbing in double digits again today.

The move is being driven by what sits inside the portfolio. VCX holds stakes in some of the most sought-after private technology companies, including OpenAI, Anthropic, and Databricks, which together form a core part of today’s AI ecosystem. The fund also includes names like SpaceX, Anduril, and Ramp, giving investors exposure across multiple layers of the AI and technology stack that are typically inaccessible through public markets.

For many investors, VCX offers a rare opportunity to gain indirect exposure to private AI leaders without needing to participate in venture capital rounds, which helps explain why buyers have continued stepping in even after such a steep move. Furthermore, VCX behaves more like a closed-end fund than a traditional ETF, meaning the share price can move well above the underlying net asset value when demand outpaces supply.

Still, several strategists are urging caution at these levels.

“It’s great for investors who want to get out. But if you are coming in, you are paying a huge, huge premium for the NAV,” said Matt Malone, the head of investment management at Opto Investments.

Jack Shannon, equity strategies principal at Morningstar, also questioned whether the current pricing reflects any rational benchmark: “With the implied valuations when you have this premium, your upside is gone. Clearly, it’s going to attract some meme crowd and get some high octane trading. But if someone is in this for the long term, frankly, it’s a horrible investment at the current price.”

Disclaimer: The opinions expressed in this article are solely those of the featured strategists. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.