NEW YORK, Sept. 30, 2014 /PRNewswire/ -- ARK Investment Management (ARK) is pleased to announce the launch of its first actively managed thematic equity exchange traded funds (ETFs) – the ARK Industrial Innovation ETF (ARKQ) and the ARK Web x.0 ETF (ARKW). Each fund is fully transparent and invests in themes focused on technologically enabled disruption covering a wide range of industries including robotics, 3-D printing, cloud computing, and social media.
ARK was founded by Cathie Wood, a pioneer in global thematic investing, which involves building an equity portfolio based on broad macroeconomic themes that are just beginning to upend specific industries or societies. Prior to founding ARK and becoming its Chief Investment Officer, Ms. Wood spent twelve years at AllianceBernstein as Chief Investment Officer for Thematic Portfolios and eighteen years at Jennison Associates as Chief Economist, Equity Research Analyst, Portfolio Manager and Director. At Jennison, Ms. Wood conducted deep research on new technologies that would eventually come to fundamentally change the way people lived. Ms. Wood also co-founded Tupelo Capital Management, which surpassed $800 million in assets under management in 2000.
"Technologically enabled innovation is changing the way we live and should be reflected in how we invest," Ms. Wood said. "An acceleration in the pace of innovation makes it more challenging for analysts to analyze industries and companies, and for benchmarks to adjust. Our strategy is to find and invest in the companies that are poised to transform economic sectors and the global economy."
ARK's Industrial Innovation ETF (ARKQ) seeks to invest in companies that are revolutionizing the industrial world. Companies such as Tesla, Space X and Google are pioneering changes in the way people travel – from daily commutes to international space exploration. Fund holdings are based upon ARK's original research, covering space exploration, autonomous vehicles, 3D printing, robotics, alternative energy sources, energy storage, infrastructure, and innovative materials.
ARK's Web x.0 ETF (ARKW) seeks to invest in companies that are transforming every sector of the economy thanks to Internet-enabled innovation. These changes cut across sectors and are accelerating thanks to social, mobile, and local technological breakthroughs, which are transforming consumer and business behavior. Among ARK's topics of original research are big data, cloud computing, cryptocurrencies, devices/gateways, digital education, health care, internet of things, the smart grid, and the sharing economy.
"Through active management, we seek to bring balance back to portfolios that have become increasingly benchmark-sensitive," Ms. Wood added. "We believe that passive investing may not capitalize on investment opportunities and results created by disruptive innovation. Our active equity ETFs aim to complement more traditional investment strategies."
ARK Investment Management has filed with the Securities and Exchange Commission for two additional funds: ARK Genomic Revolution Multi-Sector ETF (ARKG), and a composite of the three thematic funds (ARKK).
For more information on ARK's original research, please visit www.ark-invest.com. More information regarding ARK funds can be found at www.ark-funds.com. Cathie Wood can be followed at @CathieDWood and the firm's themes can be tracked at @ARKindu @ARKgenome @ARKwebx0. ARK's corporate Twitter feed can be followed at @ARKInvest.
About ARK Investment Management
Headquartered in New York City, ARK Investment Management is a registered investment adviser and privately held investment firm, specializing in thematic investing. The firm is rooted in over thirty years of experience in identifying and investing in disruptive innovations that enable outsized growth as industries transform. Through its open source research process, ARK is able to identify companies that we believe are leading and benefiting from disruptive cross-sector forces and changing how the world works.
Investors should carefully consider the investment objectives and risks as well as charges and expenses of an ETF before investing. This and other information are contained in each ETF's prospectus, which may be obtained by contacting the ETF's transfer agent at The Bank of New York Mellon at (718) 315-7500. Please read the prospectus carefully before you invest.
There can be no guarantee that an active trading market for ETF shares will develop or be maintained, or that their listing will continue or remain unchanged. Buying or selling ETF shares on an exchange may require the payment of brokerage commissions and frequent trading may incur brokerage costs that detract significantly from investment returns.
An investment in the Fund(s) is subject to risks and you can lose money on your investment in the fund(s). There can be no assurance that the fund(s) will achieve their investment objectives. The fund's portfolios are more volatile than broad market averages. The fund(s) also have specific risks, which are described below. The principal risks of investing in the ARK Active ETFs include: Emerging Market Securities Risk. Investment in securities of emerging market companies may present risks that are greater than or different from those associated with foreign securities. Equity Securities Risk. The value of the equity securities the Fund holds may fall due to general market and economic conditions. Foreign Securities Risk- Investments in the securities of foreign issuers involve risks beyond those associated with investments in U.S. securities.
Industrials Sector Risk- The industrials sector includes companies engaged in the aerospace and defense industry, electrical engineering, machinery, and professional services. Information Technology Sector Risk: Information technology companies face intense competition, both domestically and internationally, which may have an adverse effect on profit margins.
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SOURCE ARK Investment Management