By Zoe
ARK Investment has recently become a huge player in the ETF industry due to its wildly optimistic price target for Tesla. Its founder Catherine Wood is even called 'female Buffett'.
However, her investment preference is different from Buffett's. Wood advocates investment in transformational technologies, which she describes as "disruptive innovation", unlike Buffet, who rarely touches tech industries.
ARK currently has 5 actively managed innovation ETFs:
$Ark Autonomous Technology & Robotics Etf(ARKQ.US)$
$Ark Next Generation Internet ETF(ARKW.US)$
$ARK Genomic Revolution ETF(ARKG.US)$
$Ark Fintech Innovation Etf(ARKF.US)$
The performance of these funds is amazing. ARKK, the most well-known product, has an average annualized return of nearly 40% over the past five years. Moreover, all five funds have risen more than 80% in the past year. All of them have outperformed the S&P 500 ETF (SPY) and the NASDAQ 100 Index ETF (QQQ).
The top three stocks on the list of lastest trades were:
$DraftKings Inc(DKNG.US)$ According to the American Gaming Association, more than $150 billion worth of illegal bets is placed on sporting events every year in the U.S. As more states move to legalize sports betting, DraftKings has plenty of room to continue to chip away at this massive market.
According to DraftKing's Q4 earnings report that released Friday, its sales reached $322 million, well above expectations for $233.2 million. Moreover, its shares jumped more than 10% on Monday to a new 52-week high.
$Teladoc Health Inc(TDOC.US)$ is a virtual health provider with a telehealth platform delivering 24-hour, on-demand healthcare via mobile devices, the Internet, video, and phone.
Due to the pandemic, many people used telehealth initiatives for the first time in 2020, which leads to the shares have climbed more than 108% over the past year.
Teladoc's $18.5 billion merger with Livongo has completed at the end of October last year. The combined company is projecting revenue growth of 30% to 40% over the next two to three years. However, the company still lost money, more than $485 million for the year, compared with $98.9 million for 2019.
$TENCENT HLD ADR(TCEHY.US)$ The stock price of TCEHY has risen 36% since this year.
In December, a Tencent-led consortium exercised its call option to acquire an additional 10% equity interest in Universal Music Group, based on an enterprise value of €30 billion. Closing and payment are expected to take place during the first half of 2021.
In Q3 2020, TCEHY's revenue increased 29% year-over-year to RMB125,447 million. Its operating profit grew 34% from its year-ago value to RMB38,116 million.
Please do not blindly follow ARK's trades. This is to provide you with a list of quality companies worth looking at. It is always smart to do your own due diligence before investing!