ARK - Asset Management Company (2024)

FAQs

How much money did Cathie Wood lose? ›

Cathie Wood's Ark Invest has destroyed $14 billion in wealth over the past decade.

Currently there's no upside potential for ARKK, based on the analysts' average price target. Is ARKK a Buy, Sell or Hold? ARKK has a consensus rating of Moderate Buy which is based on 29 buy ratings, 5 hold ratings and 0 sell ratings.

Is ARKG a Buy, Sell or Hold? ARKG has a consensus rating of Moderate Buy which is based on 35 buy ratings, 2 hold ratings and 0 sell ratings. What is ARKG's price target? The average price target for ARKG is $41.96.

Referenced Symbols. Cathie Wood's Ark Innovation ETF is struggling even as the U.S. stock market has jumped this year, with the fund unlikely to catch a bid until the Federal Reserve begins cutting interest rates, according to DataTrek Research.

Wood's Ark Innovation ETF bought 65,514 shares of Tesla, according to a trading notification Thursday. That cost around $14 million. The fund also bought 133,334 shares of the EV maker in an update Monday, which cost around $28 million. Tesla is currently the second top holding in the ETF out of 38 stocks.

Wood added more than 12,000 shares of Meta Platforms (META) and Tesla (TSLA) on Monday, worth $5.96 million and $2.47 million, respectively. Ark didn't buy any additional Meta or Tesla stock Tuesday, but it did purchase $6.97 million in Crispr Therapeutics (CRSP).

An investment in an ARK ETF is subject to risks and you can lose money on your investment in an ARK ETF. There can be no assurance that the ARK ETFs will achieve their investment objectives. The ARK ETFs' portfolios are more volatile than broad market averages.

ARK Innovation Share Price Prediction For Next Months and Years. ARK Innovation stock price forecast for September 2024. The forecast for beginning 44.82 dollars. Maximum price 50.79, minimum 38.93.

Based on this insight, ARK's impressive performance in 2023 should bode well for its prospects in 2024, especially if small-cap and mid-cap stocks rally next year in response to an interest-rate cut. However, ARK's high fees and volatility require investors to keep a close eye on the fund's performance.

ARK's strategies aim to deliver long-term growth with low correlation to traditional investment strategies and are offered in a variety of vehicles.

Why invest in ARK? ›

ARK's thematic investment strategies span market capitalizations, sectors, and geographies to focus on public companies that are the leaders, enablers, and beneficiaries of disruptive innovation. ARK's strategies aim to deliver long-term growth with low correlation to traditional investment strategies.

While the fund posted a 68% return in 2023, it's down about 14% so far this year. But the average ARK investor has seen results far worse than the fund itself, according to data from fund research Morningstar. In fact, since its 2014 inception, the fund has returned 9.7% on average per year, according to Morningstar.

Buying ARKK while its share price has taken a hit offers significant upside potential for long-term holders. However, the volatility of the underlying holdings means significant turbulence could be experience in the short to medium term.

The real culprit, in ARKK's case, was the flood of assets into the fund in late 2021, after it had already posted its best returns.

In 2020, the fund gained 153%, exploding in popularity. But the following year it lost 23.4% and in 2022 even 67% of its value. In February 2021, ARK funds managed over $60 billion.

Missing Out

A big reason ARKK investors have missed so much of the fund's gains: They poured in billions during its first big run-up during the pandemic, including $12 billion in the final six months before returns began to nosedive in early 2021.

The firm attracted nearly $30 billion in assets in 2020 and 2021, which were then decimated during the 2022 bear market when its flagship fund plunged 67%. The ARKK ETF destroyed $7.1 billion in wealth, while its healthcare-focused ARK Genomic ETF destroyed $4.2 billion in wealth, according to Morningstar.

What is Cathie Wood's net worth? Cathie Wood's fortune is largely tied to the performance of the ARK funds. Most media outlets report her net worth to be around $250 million to $300 million as of mid 2024. In June 2022, Forbes estimated Wood to be worth $140 million, down from a high of $400 million in 2021.

Cathie Wood's flagship ARK fund has rebounded this year—but only 4 of its 27 holdings are profitable.