Is the space economy the big investment wave of the future? Here are the best ways for Canadian investors to get involved

The global space economy was valued at approximately US$626.4 billion in 2025, reports Novaspace (2). The World Economic Forum projects it will grow to over US$1.8 trillion (C$2.5 trillion) by 2035 (3). Meanwhile, the report of Elon Musk's confidential filing of an initial public offering (IPO) on April 1, 2026 gave SpaceX a potential valuation of US$1.75 trillion (C$2.43 trillion) (4). If valuation holds at the time of listing, it would mean SpaceX would be the largest IPO stock in history, potentially surpassing Saudi Aramco's US$1.7 trillion debut in 2019 (4).

That news excites Anna Brady-Estevez, founding partner of American DeepTech — an investment firm focused on funding lunar ventures and the infrastructure needed to support them (5). She was on hand to watch the Artemis II launch with her daughters Marie, 8, and Theia, 11 — who wants to be an astronaut and travel to Mars.

"When a child tells their mom they're going to Mars, it's time to get cracking," Brady-Estevez laughed.

But she's serious about the space economy, and spoke about the opportunities ahead.

A stake on the moon

These are some of the key areas of the lunar economy Brady-Estevez sees growing within a 10-year horizon. Rising public-private partnerships — in both the U.S. and Canada — are expanding the range of ventures involved.

Mining on the moon

China supplies the majority of rare earth elements (REEs) globally — essential for electronics, clean energy and car production. Brady-Estevez notes that samples of lunar rock suggest the moon could be another source of REEs, reducing dependency on a single supplier (6).

Helium-3 — used for medical resonance imaging (MRI) technology and for cooling quantum computers — is also present on the moon. Valued at US$20 million per kilogram, mining it and transporting it back to Earth could be economically worthwhile (7). Finnish company Bluefors has partnered with American company Interlune to do exactly that (8).

"My best guess is (lunar resource extraction) will be far more valuable than terrestrial resource production," Brady-Estevez said.

"When you think about the tens of trillions in Saudi Arabia and Venezuela and then think about all the different resources off-planet in the moon, asteroids and other bodies, it's several multiples higher," she told Moneywise.

Human settlement and infrastructure

Supporting human life on the moon requires solving some very earthly problems — energy, food and communications. The U.S. Department of Energy and NASA are funding work to deploy a nuclear reactor to the moon by 2030 (9). Companies are also studying what types of crops can be grown in lunar soil, called regolith (10).

Brady-Estevez points out that people on the moon would need a lunar communications network that includes the internet — the kind of connectivity that companies in both the U.S. and Canada are already working toward. In Canada, Toronto-based Kepler Communications has developed the first commercial optical data relay constellation, with the federal government investing C$7 million in the company in April 2026 to help build out its defence capabilities faster (11).

Developing medicines and AI chips in microgravity

Brady-Estevez notes that microgravity — present on the moon and the International Space Station (ISS) — is a boon for medical research, especially cancer research. Aging of an experimental tumour can take up to 10 years on Earth but may take only nine days in microgravity.

"It leads to far faster scientific research and R&D," she says, noting that experiments on the ISS have already led to reformulations of drugs (12). Microgravity is also an ideal environment for growing defect-free crystals needed for semiconductors and artificial intelligence (AI) chips. A single crystal produced in space could seed more error-free crystals here on Earth (13).

Canada's growing stake in the new space race

Canada isn't a bystander in this economy. The CSA's planned spending for 2026–27 reaches C$857 million, with much of it going to national space priorities (14). In March 2026, the federal government committed C$200 million to a Canadian-owned spaceport in Nova Scotia as part of Canada's first Defence Industrial Strategy — marking a first step toward sovereign launch capability from Canadian soil (15).

The Canadian space sector employs approximately 22,000 people and generates over C$7 billion in annual revenue (15). Royal Bank of Canada (RBC) projects this could grow to C$21 billion by 2035 — a four-fold increase — with strategic investments (16).

Jeremy Hansen's seat on Artemis II was earned, in part, through decades of Canadian investment and innovation in space robotics. Canada was the first international partner to commit to the Lunar Gateway: Canadarm3 — being built by Brampton-based MDA Space Ltd. — represents the next generation of that legacy (17).

How Canadians can invest in the space economy

It's recommended for anyone interested in investing in the space economy to invest in promising Earth-based payoffs and space exploration. Here are some considerations:

Canadian-listed space stocks

For Canadian investors, the most direct domestic option is MDA Space (TSX: MDA). The company is Canada's largest space technology developer and manufacturer, has over 3,000 employees and reported a C$4.4 billion backlog as of Q3 2025 (17). Its stock climbed approximately 45% in the past year, and the company is profitable — unlike many space startups still in the early stages. Key growth drivers include Canadarm3, the Telesat Lightspeed constellation and the Globalstar next-generation satellite network.

Magellan Aerospace (TSX: MAL) is another Canadian option. The Mississauga-based company manufactures aerostructures, aeroengines and space components for governments, space agencies and airlines. It reported Q3 2025 revenue of C$255.7 million, up 14.4% year-over-year (18).

U.S.-listed companies accessible to Canadian investors

For Canadians with access to U.S. markets through their registered accounts, several companies involved in space missions are worth researching:

• Rocket Lab (NASDAQ: RKLB)
• Intuitive Machines (NASDAQ: LUNR)
• Northrop Grumman (NYSE: NOC)
• Lockheed Martin (NYSE: LMT)

Keep in mind that the U.S.-listed stocks held in a Tax-Free Savings Account (TFSA) are subject to a 15% withholding tax on dividends under the Canada-U.S. tax treaty. Registered Retirement Savings Plans (RRSPs) are generally exempt from this withholding tax under the treaty.

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Investing in space through ETFs

For those who prefer diversified exposure, several exchange-traded funds (ETFs) offer space-economy investing. Most are listed in the U.S. and can be accessed through Canadian brokerage accounts:

• Procure Space ETF (NASDAQ: UFO) — One of the most focused space economy ETFs. Top holdings include Planet Labs and MDA Space Ltd.
• ARK Space & Defense Innovation ETF (BATS: ARKX) — Delivered approximately 74% gains over the past year; top holdings include L3Harris Technologies and Rocket Lab
• SPDR S&P Kensho Final Frontiers ETF (NYSEARCA: ROKT)
• Roundhill Space & Technology ETF (BATS: MARS)

As with U.S. stocks, be aware of currency risk when investing in U.S.-listed ETFs through Canadian accounts.

The SpaceX IPO question

SpaceX filed confidentially with the U.S. Securities and Exchange Commission (SEC) in April 2026, reportedly targeting a valuation of up to US$1.75 trillion (C$2.43 trillion) in a June 2026 listing (4). The company generated approximately US$16 billion (C$22.2 billion) in revenue in 2025, with Starlink driving most of its profits.

Once SpaceX goes public, Canadian investors will be able to buy SpaceX shares through their regular brokerage accounts — and holding them in a TFSA could mean tax-free growth, while RRSP holders may benefit from the treaty exemption on U.S. dividends. That said, with a targeted valuation of 130 times revenue, some analysts warn there isn't much room for the company to miss expectations (19). Be diligent with your research before investing.

What Canadians should consider before investing in space

Space investing is genuinely exciting — but it's also genuinely risky. These are still frontier investments, and timelines in the space industry routinely slip: The Artemis II mission itself was delayed from 2024 to April 2026. Here are a few grounding principles for Canadian investors:

Use registered accounts wisely. Space stocks can be highly volatile, so it's worth thinking carefully before putting them in registered accounts. Holding them in a TFSA means gains are tax-free, but losses can't be used to offset capital gains elsewhere. Before committing registered contribution room to a high-risk sector, make sure it fits with your goals and your portfolio.

Anchor to companies with actual revenue. Consider Brady-Estevez's advice here: Look for companies with Earth-based business models that also benefit from space-economy growth. MDA Space, for instance, provides satellite communications, Earth observation and robotics services that generate revenue today — not just in a future lunar economy.