Growth stocks and ETFs had a rough start in 2025, but with headwinds giving way to tailwinds, the second half of the year can be a good one for investors.
ARK Innovation ETF is a high-conviction, actively managed ETF focused on disruptive innovation, requiring significant monitoring and conviction from investors. Post-2022, ARKK shifted towards more resilient, cash-flow stable innovators, reducing risk but maintaining high volatility and concentration. Performance has lagged passive benchmarks since 2022, with sharp drawdowns and inconsistent returns, weighing on the buy case.
ARKK isn't sinking, it has sunk. The question is, can it add alpha instead of just being high beta. The ETF has no stark differentiated factors I can see, so I'm skeptical it is capable of more than a bounce in sync with the market. This former market darling peaked at $28 billion in AUM, but is down to “only” $5 billion now.
![]() ARKK 29 Dec 2021 Paid | Annual | $0.78 Per Share |
![]() ARKK 29 Dec 2020 Paid | Annual | $1.63 Per Share |
![]() ARKK 27 Dec 2019 Paid | Other | $0.19 Per Share |
![]() ARKK 27 Dec 2018 Paid | Other | $1.17 Per Share |
![]() ARKK 27 Dec 2017 Paid | Other | $0.49 Per Share |
![]() ARKK 29 Dec 2021 Paid | Annual | $0.78 Per Share |
![]() ARKK 29 Dec 2020 Paid | Annual | $1.63 Per Share |
![]() ARKK 27 Dec 2019 Paid | Other | $0.19 Per Share |
![]() ARKK 27 Dec 2018 Paid | Other | $1.17 Per Share |
![]() ARKK 27 Dec 2017 Paid | Other | $0.49 Per Share |
XBER Exchange | US Country |
This actively-managed exchange-traded fund (ETF) primarily focuses on investing in domestic and foreign equity securities of companies that align with its thematic goal of disruptive innovation. By earmarking at least 65% of its assets towards such ventures, the fund taps into the potential of novel and transformative businesses across both developed and emerging markets. Beyond direct investments in foreign equities, the fund also engages with American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs), providing a diversified approach to its theme. Given its specialized focus, the fund operates as a non-diversified ETF, concentrating on sectors and firms it believes embody the future of innovation.
The core of the fund's strategy lies in its investment in equity securities of domestic and foreign companies that are seen as central to its theme of disruptive innovation. This includes a strategic allocation of assets to both emerging and developed markets to tap into diverse innovation ecosystems.
By diversifying its portfolio across companies in both developed and emerging markets, the fund aims to leverage global innovation trends and growth potentials, ensuring a broad exposure to various economic environments and technological advancements.
To further its reach in foreign equity markets, the fund invests in ADRs and GDRs. These instruments allow the fund to hold shares in overseas companies, offering a practical means to invest in foreign innovations without the complexities of direct investments in foreign markets.