NEW YORK, Oct. 31, 2014 /PRNewswire/ -- ARK Investment Management (ARK) is pleased to announce the launch of two new actively managed exchange traded funds (ETFs), the ARK Genomic Revolution Multi-Sector Fund (ARKG) and the ARK Innovation Fund (ARKK). Like their sister funds, ARKQ and ARKW, these will be fully transparent, and will complete the initial suite of ARK's thematic ETFs.
ARKG will invest in US listed stocks and ADRs across multiple sectors, including health care, information technology, materials, and energy, that are relevant to the fund's investment theme of the genomic revolution. These companies are focused on and expected to benefit from extending and enhancing the quality of human and other life by incorporating technological and scientific developments, improvements and advancements in genomics into their businesses. They do so by offering new products or services that rely on genomic sequencing, analysis, synthesis or instrumentation. Fund holdings are based upon ARK's original research across these sectors.
Cathie Wood, founder and CEO of ARK Investment Management, said: "Developments in technology and science always have impacted health care. Today, however, the strides made in mapping human and other genomes are having unparalleled impacts on how we diagnose, treat diseases, and grow crops," Ms. Wood said. "As the costs and time to sequence genomes collapse, science is taking the guesswork out of health care and agricultural biology. Diagnosis and treatment of diseases, cancer in particular, should not be a one-size-fits-all approach, and now we have the tools for more targeted medicine."
ARKK seeks to invest in the cornerstone companies included in the other three thematic funds (ARKQ, ARKW and ARKG) that further the fund's focus on investing in disruptive innovation. Such companies may include ones that benefit from big data, cloud computing, cryptocurrencies, the sharing economy, genomic sequencing, molecular medicine, agricultural biology, 3D printing, energy storage, and autonomous vehicles.
"Our composite fund is a product of our approach to active management and can bring balance back to portfolios that have become increasingly benchmark-sensitive. Pulling across industries including life sciences, robotics, energy storage, social media, and cloud computing, ARKK will hold some of the most dynamic and innovative companies in the world," Ms. Wood added.
The launch of the two new ETFs follows the launch of ARK's first two actively managed thematic equity ETFs – the ARK Industrial Innovation ETF (ARKQ) and the ARK Web x.0 ETF (ARKW). ARK was founded by Cathie Wood, a pioneer in global thematic investing, which involves building an equity portfolio based on broad disruptive innovation themes that are just beginning to upend specific industries or societies. Prior to founding ARK and becoming its Chief Investment Officer, Ms. Wood spent 12 years at AllianceBernstein as Chief Investment Officer for Thematic Portfolios and 18 years at Jennison Associates as Chief Economist, Equity Research Analyst, Portfolio Manager and Director. At Jennison, Ms. Wood was involved in deep research on new technologies that eventually would change the way people lived. Ms. Wood also co-founded Tupelo Capital Management, which surpassed $800 million in assets under management in 2000.
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 on Twitter at @ARKgenome @ARKwebx0 and @ARKindu. 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. For more information about ARK and its original research, please visit www.ark-invest.com.
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 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 remained 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 investment in the fund(s). There can be no assurance that the fund(s) will achieve their investment objectives. The fund's portfolio 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.
Health Care Sector Risk. The health care sector may be affected by government regulations and government health care programs, restrictions on government reimbursements for medical expenses, increases or decreases in the cost of medical products and services and product liability claims, among other factors, Many health care companies are heavily dependent on patent protection and intellectual property rights and the expiration of a patent may adversely affect their profitability. 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