Cathie Wood of ARK is not the first highly concentrated active manager to shoot the lights out for half a decade while sparking a stampede of flows into their funds. There have been many throughout history but perhaps the one that most echoes ARK today is the famous Janus Twenty Fund, which dominated the latter half of the '90s and early 2000s with very similar returns and flows to what ARK is experiencing, albeit one met with a 50% downturn when the Internet bubble burst.

On this episode of Trillions, we speak to Scott Schoelzel, the former PM of the Janus Twenty during the fund's magical stretch from 1998 to 2007. Having lived through the ups and downs of cycles, he gives us his thoughts on the current situation with ARK, advice for the firm's investors as well as his takes on the state of active management, ETFs, the Fed and what he's up to these days living out on his farm in Colorado.

is the expense ratio acceptable ?

i feel like the popularity of her funds has made the funds all become some kind of self fulfilling prophecy already

is the expense ratio acceptable ?

Updated the first post with respective expense ratio.

It is in the same range as Robo-advisors in Malaysia but if you are going through a feeder fund then play close attention to fees if it is a long term investment.

Adds up over time......

....

i got this from.....

Managed funds fee calculator
How fees and costs will affect your investment
https://moneysmart.gov.au/managed-funds-and...-fee-calculator

just not sure if my assumption are correct....

Investment earnings of 9.2%. I guess that's the fund p.a return before minusing the contribution fee right?

i got this from.....

Managed funds fee calculator
How fees and costs will affect your investment
https://moneysmart.gov.au/managed-funds-and...-fee-calculator

just not sure if my assumption are correct....

When you compare Janus twenty and ARKK side by side, you will realized it is in a pretty dangerous valuation now. Past performance may not equate to future results. If Ark doesn't regress to mean, maybe she will achieve legend status.

Also just goes to show us how awesome buffet really is.

Conclusion
Buy the Unloved isn't a total portfolio investing strategy, and it does not work 100% of the time. While outflows do not directly affect or indicate valuations, the data can point us toward areas of the market that have been beaten down or are unpopular and that may be ripe for recovery. It's also important to consider the contrary case at a time when our own biases may push us toward high-flying funds that may be reaching a tipping point.

If you are only taking into account the one time contribution/sales charge then the calculation is correct.

Haven't taken into account the yearly management fee and once that is taken into account the numbers match.
..............

for a CIS  (/UT funds), the NAV is used to calculates the fund performance or returns....
the NAV is net of all fees

investment sum 100 000
duration 30 yrs
ROI 9.2%
sales charge 1%, 2%, 3%

are all from earlier postings....just that the impact of the sales charges on the total sum are not that great a percentage as per the earlier postings

also, the sales charges amount if amortized it over a 30 yrs periods will be very significant (or just very little)

Anyone purchased this etf ?

Ark’s exchange-traded fund assets under management crossed $50 billion this week, up from only $3.6 billion at this time last year, according to data compiled by Bloomberg. In 2021 alone, investors have funneled almost $11 billion in Wood’s family of funds.

The new record underscores the flood of money pouring into thematic products, tracking topics like genomics and fintech, as retail traders put money to work in funds with relatable narratives. Wood’s eye-popping returns catch the pros’ attention, while her approachable persona attracts investors just starting out.

Not going to comment too much. I'm invested in the fund as well.

But the biggest argument against ARK is: If you compare the porfolios of Cathie Wood and a novice investor just starting, you wouldn't find a difference.

TLDR: She lucked out.

ARK is great at marketing but there are other active ETF's that are in the same range of performance.
YOLO ETF which has returned around 150% in a year or even the SoFi Gig Economy ETF which has returned around 120% in a year.

https://advisorshares.com/etfs/yolo/

https://www.sofi.com/invest/etfs/gige/
These all are still short term returns and if you are concerned about tail risk then there is an ETF that caters to that:

https://www.simplify.us/etfs/spd-simplify-u...e-convexity-etf

anyone keen on getting ARK merchandise?
lets group buy to share the shopping cost?

https://ark-invest.store/collections/full-catalog

Can you tell us how much is the shipping cost and how long approximately it would take to ship? I'm interested.

As the cash continues to pour in, Ark already owns 10% or more of at least 24 companies, according to data compiled by Bloomberg. They include Invitae Corp., Cerus Corp., and CRISPR Therapeutics AG.
High Stakes

Ark owns more than 10% of at least 25 companies

“There is risk with so much money flowing into so few,” said James Pillow, managing director at Moors & Cabot Inc. “When the flows stop, or worse yet reverse, one should expect a day of reckoning.”

Two kinds of threats are looming, Peter Garnry of Saxo Bank wrote in a research note this week. The first is Ark’s potential impact on the market. The firm’s huge inflows over the past year have helped fuel a biotech boom, for instance. If assets start to flow out, it could undercut the sector.

The second threat is from the market to Ark. A slide in the companies it is heavily exposed to could force the firm to sell in turn, starting a feedback loop, according to Garnry, Saxo’s head of equity strategy.

ARK is great at marketing but there are other active ETF's that are in the same range of performance.
YOLO ETF which has returned around 150% in a year or even the SoFi Gig Economy ETF which has returned around 120% in a year.

https://advisorshares.com/etfs/yolo/

https://www.sofi.com/invest/etfs/gige/
These all are still short term returns and if you are concerned about tail risk then there is an ETF that caters to that:

https://www.simplify.us/etfs/spd-simplify-u...e-convexity-etf

This SPD fund does not seem to perform as expected (at least did not work during the pre-Nov 2020 draw down before election, and the GME drawdown last month)...or is it only performing during more extreme drawdowns...?

Generally, we are all attracted to the ARK(K,W,etc) due to the impressive returns. Are you expecting this fund to continue outperforming the market or not?

I really like your balanced viewpoint regarding Cathie / ARK.

Personally my viewpoint is nothing good lasts forever, everybody is right once in a while. So, I am only invested in medium to short term with ARKK and with limited exposure.

Meant to protect against extreme drawadowns and not garden variety 10% drawdowns.

Far out of the money put like below only worked during the March drawadown last year.


For Ark, it will last as long as current market dynamics last.

For one, their AUM is ballooning quite rapidly and as Buffet says easier to compound with 1 million than 10 billion.
On the market dynamics, lets take a look at Uber and Palantir.

During Uber's IPO demand wasn't there and not many wanted it above 40 but fast forward two years on, people's minds have changed.

Similar story for Palantir where they were struggling in the secondary market and now it is the talk of the town. Can't complain since I own Palantir but important to understand and plan ahead for changes in market dynamics.

What are your indicators for a change in market dynamics? A shift towards more stable valuations, ie lower demand for tech like uber / palantir? Or a weird unexplained black Swan?

What will your response be, importantly?

I suppose I'm asking you to Crystal ball haha.

To suppose that the value of a common stock is determined by a corporation's earnings discounted by the relevant interest rate and adjusted for the marginal tax rate is to forget that people have burned witches, gone to war on a whim, risen to the defense of Joseph Stalin, and believed Orson Welles when he told them over the radio that the Martians had landed.

Assets in the ETF have slumped by $4.9 billion this week to $23.3 billion, according to data compiled by Bloomberg. The figure doesn’t include flows from Thursday, when ARKK dropped 6.4% for its worst day in almost six months. Investors pulled about $200 million from the fund in Wednesday trading. That brings total weekly outflows to $638 million, on pace to be the worst on record.

“Money that is ‘easy come’ tends to be money that is ‘easy go’,” said Ben Johnson, Morningstar’s global director of ETF research. “You’re going to see similar, if not potentially greater, market impact on the way down, especially given that this is an actively managed ETF and a fully transparent one. The market is hanging on their every move, they’re watching their every move.”
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Bearish bets against the ETF continue to grow, with short interest now accounting for more than 4% of available shares, according to data from IHS Markit Ltd.

Please someone release covid 22 so my tech stock can become stonk again to the moon

Have to give ARK credit that they are actually following through with their idea of selling highly liquid large cap assets to buy small cap assets.

Sold Facebook, Amazon, Paypal and TSM among others.

Don't agree with this move since valuations are much move down to earth in those names compared to the small and mid cap names but lets see if this experiment works out.
Price of entry into the ARK universe

This strategy is something new especially for hedge fund. Really interesting to watch.

red red sea continues

red red sea continues

Just bought $25 of ARKK

Just bought $25 of ARKK

How did you buy fractional shares of ark?

MOON “has a heavier weight to biotech companies and less on straight technology and internet companies, which are the reason why ARKK has underperformed,” said Mohit Bajaj, director of ETFs for WallachBeth Capital.

Launched in November, MOON has risen roughly 70% since then, yet has attracted only about $220 million in assets. ARKK’s haul of more than $7 billion so far this year has put its total above $24 billion.

The definitions of “innovation” and “disruption” are in the eye of the beholder, so funds can embrace those themes in different ways. In the case of ARKK, that focus is narrower and its active management structure gives Wood the ability to alter positions based on the latest companies performing well.

Yet ARKK’s large stakes in firms like Tesla Inc., Square Inc. and Roku Inc. dragged it down in the past month, with the automaker, for instance, slumping more than 36% from its January high before rebounding 26%.

MOON’s passive fund tracks the S&P Kensho Moonshot Index of the 50 most-innovative companies in sectors ranging from smart transportation to human evolution.

This means that MOON is “focusing on multiple themes, as opposed to a narrow theme like cloud computing or genomics or video games,” said Todd Rosenbluth, director of ETF research for CFRA Research.

MOON’s largest sector allocation, biotech, makes up 17% of the fund, compared with ARKK’s biggest stake, a 22% allocation to internet companies. The top MOON holdings, laser-scanning company MicroVision Inc. and Vuzix Corp., an optical goods manufacturer, have advanced 231% and 145% respectively this year.

Other ARKK peers have also topped its year-to-date performance. Passively managed Global X Thematic Growth ETF (GXTG), has gained almost 16%. Actively managed competitors Fidelity New Millennium ETF (FMIL) and the BlackRock Future Innovators ETF (BFTR), with holdings like Penn National Gaming Inc. and Axon Enterprise Inc., have added 10% or more.

To date, none have proved much of a threat to ARKK, which has returned more than 200% in the past 12 months and helped spur a loyal following around Wood. Those already invested are unlikely to leave for greener pastures, according to Sal Bruno, chief investment officer at IndexIQ.

“There’s definitely a first-mover advantage to ETFs,” he said. “People get into them and they tend to stay in them as long as they are doing well.”

Hello,noobie question here,still new to investment...may i know where u guys buy ark etf? through etoro?fund supermart  can buy?

Open overseas brokerage as mentioned below. Keep in mind some brokers have inactivity fees.
Just use interactive broker/TD/tiger/moomoo.
You can use FSM but you are buying unit trus tnsd you pay more like 1.5% Vs 0.6%.

Not sure if etoro have ark.

I see,ok thanks...but if we don't have overseas bank account,only can use tt transfer?

ARK Invest aims for long-term growth of capital, by focusing on its belief that innovation is key to growth. Over the past year, there has been a number of headlines and questions around ARK’s investment process, capacity, liquidity, and ownership concentration. In this webinar, ARK CEO/CIO Catherine Wood, ARK COO Tom Staudt, and ARK Client PM Ren Leggi aim to address these questions head on!

Part of our mission is to help educate investors on the market and the investment opportunities resulting from disruptive innovation. Our ETFs are freed from traditional constraints (sectors, market caps, and geographic boundaries) and are created based on full-picture, top-down research, and classic bottom-up financial analysis. We implement active management of high conviction portfolios, seeking to capitalize on rapid change and avoid companies likely to be displaced by innovation.

We hope you find this webinar helpful and, as always, stay innovative!

Yes. But no need xcuse not to have overseas bank account especially all you need is just CIMB my to open account.

Didn't know that can use cimb my to open account,ok thanks!

shit la ARKK continue holland...down 3% again while other maintain...

A pair of Cathie Wood exchange-traded funds added around $1 billion in a single day this week in an emphatic display of investor loyalty toward the famed Ark Investment Management founder.

The flagship Ark Innovation ETF (ticker ARKK) took in a record $717 million on Tuesday, while the Ark Space Exploration and Innovation fund (ARKX) absorbed $281 million on its debut, according to data compiled by Bloomberg.

Alongside bumper trading volumes on the day, it all adds up to one of the best-ever ETF launches for the fund, which tracks U.S. and global companies engaged in space exploration and innovation.
Cathie Wood's flagship fund saw biggest ever inflow on Tuesday

The launch was seen as a key test of Wood’s appeal after a volatile few months of flows and performance. After one of the strongest performances of 2020, ARKK has dropped 3.7% this year amid a rough patch for tech shares. Before a flood of cash this week, Ark’s main fund had posted five consecutive days of outflows, its longest streak on record.

“This is investors taking advantage to jump in after the drop from the top,” said Athanasios Psarofagis, ETF analyst at Bloomberg Intelligence. “You can see some investors were shaken out because there were some days of outflows during this period but for the most part people held strong so the demand is still there.”

ARKK was up 3.1% as of 9:41 a.m. in New York on Thursday, while the space fund rose 1.3%.

Ark’s investing strategy and success in luring new cash has spurred big bets on small companies, raising concern the firm exerts an outsize influence over the shares its holds. Wood handed fresh ammunition to her critics last week in a filing that removed prospectus clauses limiting exposure and concentration risks in its ETFs.

Bearish bets have been building in ARKK, with short interest climbing to 4.9% of shares outstanding, according to data from IHS Markit Ltd, nearing the record 5.3% hit in early March.

Still, none of that has taken any shine off the space fund, with Wood’s first new ETF in two years seeing $294 million worth of shares change hands on its first day.

The product’s top two holdings are Trimble Inc. and another Ark vehicle, the 3D Printing ETF (PRNT). Other large stakes include Kratos Defense & Security Solutions Inc., L3Harris Technologies Inc. and JD.com Inc., an online retailer in China.

This ARKX... for me I feel funny to see it’s holdings. How JD, tencent, alibaba , meituan, 3D printing etf those can be considered as space stock?? Any related? Lol
More like they cannot have enough space stock to fill in fully then get some stock to ensure this etf for profitable ...
Just the ARK and Cathie Wood names are popular and attract people go in only lol

Better direct buy SPCE, LMT, HOL etc

In a filing late last week, Ark altered the prospectuses for its exchange-traded funds to remove clauses limiting its exposure and concentration risks.

The changes eliminate a 30% cap on how much of each fund’s assets could be invested in the securities of a single entity, and a 20% limit on the amount of a company’s shares an ETF could own.

Most probably they are treating those as cash like entities.
At least that is what they always say about the large cap stuff they own.
Plus recently they made changes to their holdings limit so they could be planning to go more concentrated on certain positions and in the meantime just holding those stocks before their next move.
https://www.bloomberg.com/news/articles/202...ds-spac-warning

The Fund will not invest more than 30% of its total assets in securities issued by a single company, fund or of short-term financial products of such company.

The Fund will not invest in more than 20% of the total number of outstanding shares issued by a single company or fund.

no, this is not new, has been around for years. only recently ppl make topics out of it to create FUD.

See page 6 on the SEC filing from January  2019.

https://www.sec.gov/Archives/edgar/data/157...456_485apos.htm

Anyone getting ARKX

is it good value now at $11x.00? Market very high now.

Is ARK Innovation ETF (ARKK) a Distributing ETF, or Accumulating ETF?

Thank you for your answer.

Is ARK Innovation ETF (ARKK) a Distributing ETF, or Accumulating ETF?

Thank you for your answer.

roarus

Thank you for your reply.

I am sorry that I am not very familiar with the concept of ETF.

For ARKK, what happens to the dividends which are distributed by some underlying stocks of ARKK? Will the dividend increase the price of ARKK?

Trying to predict the bottom of a share is a pointless exercise.

it is fulfilling and confidence boosting to be able to read the market... especially top and bottom...

majority never try to learn... or sucks at it

whilst you can never buy the absolute bottom...  able to buy near the bottom pivot is not pointless

it is fulfilling and confidence boosting to be able to read the market... especially top and bottom...

majority never try to learn... or sucks at it

whilst you can never buy the absolute bottom...  able to buy near the bottom pivot is not pointless

I profess to suck... And I absolutely don't believe there is a point to do this, when cathie is actively buying and selling every damn day. What momentum there may be, will be disrupted immediately when she sells a winner and buys a loser and vice versa....

Any recommended resources to learn?