Those who investing in ETFs and Funds, are usually cautious investors! But the question is how safe ARKK could be for the storm ahead..? ARKK, rewarded the investors 384% in less than a year, but lost 34% of its value in 13 days!?!? I believe after breaking its yearly trend line ARKK has a hard path ahead to reach new highs again, specially when Tesla the biggest portion of its portfolio does not perform well! Since ARKK heavily invested in growth stocks, its worst days has yet to come. Although it could go up to 135-140, but we have to wait and see if there will be a new all time high in coming weeks??.
it sucks when you jumped in at the top..... I literally bought near the top, still holding... :(
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I'm curious about the inflow and outflow figures for ARK funds. ARK K shows money coming in and the other show money leaving especially G fund. I tried to correlate the inflow to the purchases and it does not add up. I've read that it can be tricky to see the inflows as money coming in while it can be short calls being covered by market makers?? My guess is that new stimulus moneys this week and the next 3 can find their way in to her funds, but each day that goes by her fund prospectus has to show a much lower one month gain and it can eventually show negative which can kill inflows and cause outflows that are hard for the fund to unwind without really hurting the numbers. So I'm bearish if in the next two weeks she's not up more than 5% and you are right if Tesla does not lead up. It could be very far down if the bond market moves up to 1.7 on the 10 year in a matter of days and David T was wrong about tame bond yields...2 cents worth..
The other question is how the traders will react if outflows continue and positions are sold. Because everything is published each day good analytics from a hedge fund can spot what is staying and what is being sold off. The feeding frenzy could really cause an issue. She and her team are good but without that much balance in the fund how do you stop a complete landslide and exit to the barn door as a fire rages?