ARK Investment Management LLCs winning bets on disruptive innovation companies cemented Cathie Woods status as Wall Streets hottest fund manager since Peter Lynch or Bill Gross.
Now, those gambits threaten to make ARK a prominent casualty of the recent shift in investor belief away from tech stocks and towards cyclical shares tied to a financial increase.
Amongst the ETFs biggest holdings are electric car maker Tesla Inc., payments business Square Inc. and streaming media firm Roku Inc
. The stock prices of those three companies have risen at least 195% in the year since the Covid-19 pandemic upended the investing landscape– helping ARKs funds more than double over the same duration.
They have actually severely underperformed the tech-heavy Nasdaq Composite Index, which dropped 4.9% last week.