The ARK Genomic Revolution Multi-Sector Fund (CBOE: ARKG) jumped more than 12 last week, but that’s not the only fun fact about the genomics ETF. Somewhat quietly, ARKG is flirting with its 52-week high.
This phenomenon is easily explained because as an actively managed fund, ARKG’s results are largely determined by ARK Invest’s stock selection. Last week, some ARKG holdings delivered stellar showings.
ARKG includes companies that merge healthcare with technology and capitalize on the revolution in genomic sequencing. These companies try to better understand how biological information is collected, processed and applied by reducing guesswork and enhancing precision; restructuring health care, agriculture, pharmaceuticals and enhancing our quality of life.
“Iovance (IOVA) closed up approximately 17% on Tuesday after it announced that it will present data on its Phase 1 Study Combining Tumor-Infiltrating Lymphocytes (TIL) and Nivolumab in Non-Small Cell Lung Cancer,” according to ARK Invest. “The presentation will take place at the American Association for Cancer Research (AACR) Virtual Annual Meeting on April 28.”
More Good News
Iovance wasn’t the only ARKG holding bolstering the fund last week.
“Pluristem (PSTI) closed up approximately 15% on Wednesday following news that it had treated seven severely ill patients with COVID-19 in Israel with its allogeneic placental expanded (PLX) cells, with a survival rate of 100%,” notes ARK Invest. “It has treated at least one patient in the United States as well.”
ARKG is up 11.61% year-to-date, topping the NASDAQ Biotechnology Index by more than 800 basis points. Over the course of 2020, story names such as Teladoc Health (NASDAQ: TDOC) and Illumina, Inc. (NASDAQ: ILMN), among others, are taking turns lifting the ETFs, but as last week shows, the fund’s lineup is versatile.
ARKG’s Teledoc exposure underscores the benefits of the fund’s active management style. As a mid-cap stock in a sector dominated by large-cap names, it’s not surprising that many traditional index-based healthcare features scant Teledoc exposure. However, ARK’s management team found an opportunity with the name, making it ARKG’s ninth-largest holding.
“Compugen (CGEN) closed up approximately 20% on Thursday follows news that the company will present potentially positive updates on its ongoing Phase 1 immuno-oncology clinical trial evaluating COM701,” said ARK Invest.”The presentation will be at the 2020 American Association for Cancer Research (AACR) Virtual Annual Meeting later this month.”
Compugen, Iovance, and Pluristem combine for 14% of ARKG’s weight.
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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.