Ark Investment Management

History

2021

Three exchange-traded funds announced their record outflow due to the collapse of Tesla shares

Investors seized $465 million from the flagship of Ark Investment Management, ARK Innovation ETF (ticker ARKK), at the February 22, 2021 trading session. They also pulled out $202 million from the ARK Genomic Revolution ETF (ARKG) and $119 million from ARK ARF.

Although these flows form part of Ark's assets under management - its ETFs held more than $60 billion as of mid-February - the outcome is unprecedented in the short history of the firm that Cathie Wood founded in 2014. The outflow from ARKK more than tripled the previous record.

ETFs were defeated by the sale of shares of American technology companies, including the one on which the largest bet was made - Tesla. Wood said she welcomes the correction, and that she is using it to buy more shares of the electric vehicle maker.

Assets of exchange-traded funds managed by Ark exceeded $50 billion

The assets of exchange-traded funds managed by Ark in early February 2021 exceeded $50 billion, compared with $3.6 billion at that time in 2020.

"This is a key milestone and a sign that not only index-tracking firms dominate the ETF business," said Todd Rosenbluth, ETF research director for CFRA Research. "Given that investors are focused on long-term thematic investing, there is room for additional growth for Ark and other active managers."

Cathy Wood has become something of a celebrity. In reports on social networks, she is called "돈나무," which roughly translates as "Tree of Money." The facts confirm this - its Innovative ETF ARC (ARKK) grew by 19% this year, in addition to an increase of 149% in 2020.

Launch of stock exchange investment fund for space companies

In mid-January 2021, the investment company Ark Investment Management announced the launch of an exchange-traded investment fund (ETF) for space companies. It was called ARK Space Exploration (ARKX), as evidenced by documents filed by the company with the US Securities and Exchange Commission (SEC). More details here.