Investors poured $1.3 billion into space-focused funds during the past month, according to Morningstar Direct data.
The niche sector now manages $3.3 billion, fueled by optimism surrounding the expanding space economy and commercial innovation.
Analysts say investors often chase emerging industries, especially when major companies spark fresh enthusiasm across financial markets.
Until recently, investors seeking pure space exposure relied mainly on the Procure Space ETF, launched in 2019.
Since SpaceX signaled IPO plans for 2026, six additional funds entered the market with specialized investment strategies.
Tema Space Innovators rapidly amassed $1.27 billion in assets, surpassing older competitors within only seven weeks.
Fund managers expect further expansion, with several issuers preparing new ETFs tied directly to SpaceX-related opportunities.
Companies including Rocket Lab and AST SpaceMobile posted sharp gains, reinforcing investor confidence in long-term sector growth.
Some analysts, however, caution that many space ETFs hold similar stocks, limiting differentiation between competing investment products.
