Cathie Wood’s ETF assets fall below $ 40bn, but loyal fans are waiting | Economic Market Story
The founder of Ark Investment Management LLC is now trading $ 39.7bn in its US exchange trading, down from $ 60bn peak in February, according to Bloomberg.
With the recent explosion of technology, the money Cathie Wood manages in her ETF team has dropped to just under $ 40 billion – but her loyal audience is just relying on this journey.
The founder of Ark Investment Management LLC is currently investing $ 39.7 billion in U.S. retail companies, down from $ 60 billion peak in February, according to Bloomberg. The company is now the 11th largest supplier in the US, compared to seventh place earlier this year.
The biggest part of the loss is due to its low cost, because a few technical names with great shows and a big run back in the world. Its well-known organization ARK Innovation ETF (ARKK) has fallen almost 35% from its peak. However, the amount of madness expected by some during the period of inactivity has not been met, with traders pulling $ 76 million out of pocket in April and $ 301 million so far in May, compared to $ 7.1 billion added in the first three months of the year.
“It seems the women still believe in Cathie Wood’s wisdom and think the pull is short-lived,” said Mohit Bajaj, head of ETFs at WallachBeth Capital.
Instead, the company’s ETFs have grossed $ 15.3 billion so far in 2021. The list of eight items – six active funds and two indexes – has lost $ 800 million since the end of February.
Although sales have declined in the main market, it seems that day traders are ready to follow Ark. An estimated $ 1.1 billion of the $ 28 billion added to the financial family since November could have been the sellers, according to a report from Vanda Research.
“At the time the Ark ETF saw a major redemption, shareholders actually sold the post, and also showed divisions in business,” wrote the likes of Ben Onatibia and Giacomo Pierantoni.
Throughout the turmoil, Wood has repeatedly said his tactics have not changed and he has a five-year term. Added value to Twitter Inc., Roku Inc., Skillz Inc. and Peloton Interactive Inc. last week.
Some question the value of the investment, especially when diplomats intervene. ARKK began its first sell-off before falling 3.3% to 1 p.m. in New York.
Focus on the positive movement on the ARKK is very high, and a recurring trend in the bearish industry has already come to the fore, Chris Murphy of Susquehanna International Group wrote.
“It has been sold on the market,” said Matt Maley, chief marketing officer at Miller Tabak & Co. “Weak hands have already sold, so we are in the ‘waiting to see’. If Ark’s money returns sharply, all flags will be raised.