IPO ETF Will Add Lending Club

Renaissance Capital, the research firm specializing in initial public offerings and the issuer of the Renaissance IPO ETF (NYSEArca: IPO), unveiled its quarterly roster changes for IPO, including the addition of newly public Lending Club (NYSE: LC).

San Francisco-based Lending Club, the first peer-to-peer lender to go public, raised $865.5 million in its IPO last Thursday and saw its shares surge 56% in its first day of trading.

Lending Club will join Paramount Group (NYSE: PGRE) and VWR Corp. (NasdaqGS: VWR) in being added to IPO’s roster at the close of U.S. markets on Dec. 19, according to Renaissance Capital.

Due to its indexing flexibility that allows for the inclusion of some IPOs after their fifth day of trading, the Renaissance Capital ETF will be among the earliest holders of Lending Club shares.

IPO “is a portfolio of the largest, most liquid U.S.-listed newly public companies prior to their inclusion in core U.S. equity portfolios. IPOs that pass Renaissance Capital’s formulated screening process are weighted by investable market capitalization, capped at 10% and removed after two years,” according to a statement released by Connecticut-based Renaissance Capital.