There was a record volume of special purpose acquisition company (SPAC) initial public offerings (IPOs) in the first quarter of 2021, but questions remain about the sustainability of the trend.

The record volume was most likely a result of the stock market surge over the last 12 months or so—many private companies were looking to access the public markets quickly. However, the SPAC growth slowed in April, at least in part due to the SEC. SPAC IPOs totaled almost 300 in the first quarter but fell to 10 in April (data from SPAC Research via CNBC). Where SPACs end up in the hierarchy of equity issuance is still unclear.