ARK Refloated

hank

M* is showing Cathie Wood’s ARK fund up +73.7% YTD. From what I’ve read, it’s running neck and neck with a Fidelity Blue Chip ETF for top honors this year. (ARK lost 67% in 2022.)

Many former investors appear to have missed the rally. Story From Sept. ‘22 - ”Cathie Wood's flagship ARK fund suffers biggest monthly outflow in nearly a year as performance continues to suffer”

One supposes now that now that the fund is up 73% many of these “fragile” previously discouraged investors will return?

msf

From what I’ve read, it’s running neck and neck with a Fidelity Blue Chip ETF for top honors this year. (ARK lost 67% in 2022.)

ARKK (73.69% YTD through Dec 27, per M*) is behind its OEF clone, ADNYX (available w/$2.5K min @ Schwab) (73.80% YTD), let alone its siblings ARKF (98.60%) and ARKW (103.09%).

If top honors are restricted to "broad based" funds (ARKK is classified MCG by M*), there's MSJAX, a global small/midcap fund, up 74.23% YTD.

If top honors are restricted to ETFs, but open to all types of funds, look into digital assets ETFs. GSOL makes ARKK look like still waters. GSOL was down 94% in 2022; it is up 988.89% YTD.

Over its lifetime, ARKK is just slightly behind FCNTX: 194% vs. 211% cumulative return. It's not a ride I would want to take, but in the long run it could get you to the same place. Though I doubt most people invest in this as a buy-and-hold security. Which was your point.

hank

”Though I doubt most people invest in this as a buy-and-hold security. Which was your point.”

Can’t say what most people do. I took a flyer on a small chunk mid-year ‘22 as a purely speculative play. Doubt I hung on for more than a couple or 3 weeks. Demonstrates how crazy the year was - if nothing else. Also owned First Republic or some other faltering bank for about 24 hours.

Thanks for doing the research @msf.

rforno

Seeing a bunch of Cathie/ARK stories this week as part of this latest (and I might wonder, overdone?) Era Of Good Feelings in the market heading into year-end. FWIW saying, that combination to me suggests caution with new money, especially in growth/momo names -- my queasy gizzard is telling me folks are on the cusp of being irrationally exuberant again....

Derf

Not a math wizard , so if you invested $1K at beginning of 2022 & lost 67% & then your investment gain 73.7% the next year, you're still trying to dig yourself out of a hole !!
$1k investment is worth$573.21
Timing is everything, Derf

hank

Derf said:

If you invested $1K at beginning of 2022 & lost 67% & then your investment gain 73.7% the next year, you're still trying to dig yourself out of a hole !! $1k investment is worth $573.21

yogibearbull

Tabular data on %Loss & %Gain needed to recover that %Loss:

-1% /+1.01%

-5% /+5.13%

-10% /+11.11%

-20% /+25.00%

-30% /+42.86%

-40% /+66.67%

-50% /+100.00%

-60% /+150.00%

-70% /+233.33%

+

-80% /+400.00%

-90% /+900.00%

-100% / Never