Now is an ideal time to snap up funds with strong growth potential that are still trading at a discount.
The ARK Autonomous Technology & Robotics ETF (ARKQ) is an actively-managed fund from the team at ARK Invest that offers exposure to domestic and foreign equity securities of autonomous technology and robotics companies relevant to the theme of disruptive innovation.
Companies within ARKQ are focused on and are expected to substantially benefit from the development of new products or services, technological improvements, and advancements in scientific research related to, among other things, energy, automation and manufacturing, materials, artificial intelligence, and transportation. These companies may develop, produce, or enable: autonomous transportation, robotics and automation, 3D printing, energy storage, and space exploration.
ARKQ’s management fee of 75 basis points might seem pricey in the ultra-low-cost world of passive ETFs, but it’s cheap for active management, according to VettaFi.
Any actively-managed product is ultimately a bet on the portfolio managers who pick the stocks. ARK’s products are geared toward investors who have the fortitude and faith to ride out short-term blips in favor of the prospect of long-term alpha.
The fund’s top 10 holdings as of August 18 include: Tesla Inc (TSLA, 11.06%); Trimble Inc (TRMB, 8.30%); Kratos Defense & Security (KTOS, 8.14%); UiPath inc (PATH, 6.02%); Iridium Communications Inc (IRDM, 5.78%); Aerovironment Inc (AVAV, 5.15%); Deere & Co (DE, 4.57%); Teradyne Inc (TER, 3.43%), Komatsu Ltd (KMTUY, 3.12%); and Blade Air Mobility Inc (BLDE, 2.73%), according to the fund’s website.
As of August 18, 85.17% of the fund’s holdings are domiciled in North America, 9.38% in Asia Pacific, 4.25% in Africa/ Middle East, and 1.19% in Western Europe, according to ARK Invest.
For more news, information, and strategy, visit the Disruptive Technology Channel.