SpaceX signage outside Space Exploration Technologies Corp. facilities in Hawthorne, California on June 3, 2026.
Michael Yanow | Nuphoto | Getty Images
A group of former and current EspaceX Employees who joined forces to manage their wealth after the IPO have created a new low-cost advisory option with Choreo, according to people familiar with the deal.
The employee group has more than 100 members and represents potential wealth of between $1 billion and $5 billion, according to the people who spoke on the condition of anonymity to discuss confidential deals. What started as an informal discussion forum focused on philanthropy has evolved into a broader effort to create more efficiency and better access to financial advice using their combined wealth from their post-IPO windfalls, the people told CNBC.
A small team representing the group assessed potential businesses and created a new wealth management offering with Choreo that members can join. Choreo, a Chicago-based registered investment advisor, says on its website that it has more than $28 billion in assets under management and advisory, more than 40 offices and 200 wealth advisors.
Specific details and terms remain confidential, but sources told CNBC there would be a minimum annual fee or annual management fee of less than 0.5% of assets under management. Any fee below 0.5% could harm the industry standard of between 0.5% and 1%. The Choreo pricing structure is for a long-term agreement rather than a one-time promotional offer.
Choreo did not immediately respond to a request for comment.
The deal marks a bold experiment in the wealth management industry that could shift the balance of power from advisory firms to wealthy investor groups.
Wealth management companies typically set their fees based on an individual or family’s wealth level, offering a sliding scale based on investable assets. By joining forces, SpaceX employees and alumni are proving they can use their collective financial scale to obtain an option on better terms.
The deal also highlights the unprecedented power of SpaceX’s IPO – establishing a large number of new millionaires paid in stock and creating one of the most sought-after liquidity prizes in the wealth management industry.
The Elon Musk-led rocket company is set to debut on Nasdaq on Friday.
The vast majority of SpaceX employees — many of them engineers who received below-market salaries in exchange for stock — never had much wealth to manage.
By cutting fees, members of the SpaceX group hope to be able to devote more of their fortune from SpaceX’s IPO to philanthropy, the sources said.
On the forum, many SpaceXers shared tips and contacts on how to best use their newfound wealth to give back to their communities, the people familiar said. Some said they were considering creating scholarships and funding for the colleges and universities where they were trained and educated. Others said they wanted to fund new programs that would give children better access to engineering, science and math programs.
Employees of Anthropic, which recently filed a confidential plan for an IPO, are also in discussions with consulting firms about a possible collective option, people familiar with it told CNBC.