ARK Innovation Mirrors Moves in Unprofitable Tech Stocks
Ark Investment Management’s flagship exchange-traded fund and a gauge of unprofitable U.S. technology companies are essentially “one and the same,” according to Julian Brigden, president of Macro Intelligence 2 Partners LLC. Brigden compared the ARK Innovation ETF, managed by Cathie Wood, with a Goldman Sachs index in a Twitter post Wednesday. Since 2019, the 30-day correlation between them has been at least 0.68 and has risen as high as 0.98, according to data compiled by Bloomberg. The highest possible correlation is 1, which occurs when two values are moving in lockstep.