Core Viewpoint - The Nasdaq 100 experienced a significant decline of nearly 8%, indicating a tech-driven correction that may have impacted growth-heavy investors [1] Group 1 - The decline in the Nasdaq 100 reflects broader market volatility, particularly affecting technology stocks [1]

Investment Actions - ARK Innovation ETF (ARKK) purchased 93 thousand shares of Nvidia (NVDA) [1] - This marks ARKK's first purchase of NVDA since August 4th [1]

Core Viewpoint - The Ark Innovation ETF (ARKK) has experienced significant growth, increasing over 35% year to date and more than 78% over the last two years [1] Performance Summary - Year-to-date performance shows an increase of more than 35% for ARKK [1] - Over the last two years, ARKK has risen by over 78% [1]

Core Viewpoint - The ARK Innovation ETF (ARKK) has experienced significant volatility, with a peak-to-trough loss exceeding 70% and a current loss of about 40% from its peak [2][3]. Fund Performance - ARKK peaked in 2021 at $160 and reached a trough of $33.76 in October 2023, trading within a range of $40 to $65 before recently hitting a high of $92.65 [8]. Holdings Overview - The ETF holds major stocks known as "Mag 7" and social disruptors, with top holdings including Tesla (12.71%), Roku (5.90%), and Coinbase (5.66%) [4][6]. Market Indicators - ARKK serves as a barometer for market conditions, particularly for growth stocks, as it is currently trading just above the 50-day moving average (50-DMA) [9][11]. Technical Analysis - A sustained break below the 50-DMA for two consecutive days could signal a larger market correction, while holding above it may indicate a potential market recovery [11]. Investment Strategy - The company emphasizes the importance of market timing and risk management, regardless of the expected performance of individual stocks within the fund [9].

Core Insights - Cathie Wood, head of Ark Investment Management, focuses on tech companies poised to lead future innovation, often purchasing stocks during price declines [1] - Ark funds have shown significant volatility in 2023, with performance fluctuating between sharp losses and strong gains [1][2] Performance Overview - In early 2023, Ark funds experienced a rally due to investor optimism regarding potential deregulation under the Trump administration, but this momentum waned in March and April as concerns over the macroeconomy grew [2] - As of October 24, 2023, the Ark Innovation ETF (ARKK) has increased by 55.1% year-to-date, significantly outperforming the S&P 500, which gained 15.5% [2] Historical Performance - Wood's Ark Innovation ETF achieved a remarkable return of 153% in 2020, enhancing her reputation, but suffered a decline of over 60% in 2022, leading to long-term performance challenges [3] - As of October 24, 2023, the Ark Innovation ETF has a five-year annualized return of negative 1.6%, contrasting with the S&P 500's annualized return of 16.1% during the same period [3] Investment Strategy - Wood's investment strategy involves purchasing shares in emerging high-tech companies across sectors like artificial intelligence, blockchain, biomedical technology, and robotics, which are believed to have transformative potential [4][5] - Despite the volatility associated with these investments, Wood remains optimistic about the long-term returns they can generate [5] Wealth Impact - Over the past decade, the Ark Innovation ETF has resulted in a loss of approximately $7 billion in investor wealth, making it one of the largest wealth destroyers among mutual funds and ETFs [6] Market Outlook - Wood maintains a bullish outlook on the market, dismissing recession predictions and expressing confidence in the acceleration of technological innovation across various sectors [7]

Core Insights - Cathie Wood's investment strategy involves adjusting positions based on stock performance, leading to significant gains during market rallies, particularly in tech stocks [1][2] - The Ark Innovation ETF has shown a year-to-date increase of 54% as of October 21, significantly outperforming the S&P 500's 14.5% gain [2] - Despite a remarkable return of 153% in 2020, the Ark Innovation ETF has faced volatility, resulting in a five-year annualized return of negative 1.8% compared to the S&P 500's 16.1% [3] Fund Performance - The Ark funds experienced a rally in early 2021 due to investor optimism regarding potential deregulation under the Trump administration, but faced declines in March and April due to macroeconomic concerns [2] - As of October 20, the Ark Innovation ETF saw net outflows of approximately $1.44 billion over five days, indicating investor caution [4] Investment Strategy - Wood's strategy focuses on investing in emerging high-tech companies in sectors like AI, blockchain, and robotics, which are believed to have the potential for significant long-term returns despite their inherent volatility [4][5] - Over the past decade, the Ark Innovation ETF has reportedly wiped out $7 billion in investor wealth, ranking as the third-biggest wealth destroyer among mutual funds and ETFs [6] Market Outlook - Wood remains optimistic about the market, having dismissed recession predictions and maintaining a positive outlook for tech stocks in a letter to investors [7]

Core Insights - The article suggests buying a fund that has underperformed over the past five years, with a cumulative decline of 9% compared to the S&P 500's 96% gains, but has recently experienced significant rallying [1] Group 1: Fund Performance - The fund in question has a poor five-year track record, down 9% cumulatively [1] - In contrast, the S&P 500 has gained 96% over the same period [1] - Despite its historical underperformance, the fund has rallied significantly in the recent past [1] Group 2: Analyst Background - Daniel Martins is the founder of DM Martins Research, focusing on building efficient, replicable portfolios with balanced risk for growth [1] - He has extensive experience in equity research and investment management, having worked at notable firms such as FBR Capital Markets and Bridgewater Associates [1] - Martins has contributed to over 2,000 articles and has been cited by major media outlets [1]

Group 1 - The ARK Innovation ETF (BATS: ARKK) is well-known and has been discussed in previous educational articles [1] - The author has also covered other ARK ETFs such as ARKF, ARKG, and ARKX in educational articles [1] Group 2 - No stock, option, or similar derivative positions are held by the author in any mentioned companies [2] - The article expresses the author's own opinions without any compensation from the companies discussed [2]

Group 1 - Cathie Wood, head of Ark Investment Management, has diversified her portfolio by investing in two popular Chinese tech stocks amid a volatile year for her funds [1][2] - The Ark Innovation ETF (ARKK) has shown a year-to-date increase of nearly 45% as of September 24, significantly outperforming the S&P 500's 12.9% gain [2] - Despite a remarkable return of 153% in 2020, the Ark Innovation ETF has faced challenges, with a five-year annualized return of negative 0.53% compared to the S&P 500's 17.1% [3] Group 2 - Over the past 12 months, the Ark Innovation ETF experienced approximately $1.2 billion in net outflows, indicating investor concerns [4] - Wood's investment strategy focuses on emerging high-tech companies in sectors like artificial intelligence, blockchain, biomedical technology, and robotics, which are expected to deliver long-term returns despite volatility [4][5] - An analysis revealed that the Ark Innovation ETF has wiped out $7 billion in investor wealth over the past decade, ranking it as the third-biggest wealth destroyer among mutual funds and ETFs [6] Group 3 - Wood remains optimistic about the market, suggesting that technological innovation platforms will gain traction despite recession predictions [7]

Group 1 - The ARKK Innovation ETF has received a "Sell" rating due to underwhelming results in 2024 [1] - The fund's performance has not met expectations, leading to concerns about its future viability [1] Group 2 - No stock or derivative positions are held by the analyst in any mentioned companies [1] - The article reflects the author's opinions and is not influenced by compensation from any company [1]