The ARK Autonomous Technology & Robotics ETF (NYSEARCA: ARKQ) is one of the brightest stars among ETFs tapping new technologies and not just because the fund features a large weight to Tesla (NASDAQ: TSLA).
ARKQ captures the converging industrial and technology sectors, capitalizing from autonomous vehicles, robotics, 3D printing, and energy storage technologies. That wide mandate helps lever the ARK fund too much more than just self-driving cars, an important trait at a time of rapid robotics advancements.
Investors are always on the lookout for long-term growth opportunities, but now more than ever, it seems prescient to look beyond the immediate noise of the socioeconomic and political headlines and find investment opportunities for the long-haul. Emerging technologies may offer that growth, according to some experts
“As its name implies, ARKQ features exposure to the fast-growing automation and robotics segments, but this is a multi-theme product that touches the 3D printing, autonomous transportation, clean energy and space exploration markets. AKRQ is actively managed so it can adjust within themes as the managers see fit, potentially benefiting investors over the long-term,” according to InvestorPlace.
A Futuristic Idea
Disruptive technology is not relegated to certain sectors as it will permeate into all industries in some form or fashion. For example, augmented reality is technology comprised of digital images superimposed over the real world, and its use is primed to drive industry growth–industries like real estate and manufacturing are already putting the technology to use in a variety of ways.
Investors can capture growth through quick advancements in technological developments. In an attempt to hone in on the potential opportunities, one should consider the criteria used to identify a disruptive innovation and look to an ETF that adapts to the changes.
ARKQ’s industrial exposure covers a so-called new industrial revolution or advances in autonomous vehicles, robotics, 3D printing, and energy storage technology that are enhancing productivity, reducing costs, and transforming the manufacturing landscape.
“Cars will become moving collections of sensors which will impact traffic, entertainment (in and out of the vehicle) and hospitality. Information about people’s real-time health conditions will allow people to live longer and healthier lives all over the world,” said Stanford’s Robert Siegel to InvestorPlace. “How these goods and services are delivered will touch all parts of the value chain for companies and individuals — from how products are built to how companies are organized.”
For more on disruptive technologies, visit our Disruptive Technology Channel.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.