(Bloomberg) - With markets becoming increasingly risk averse, one of the first places investors are turning their back on is high growth tech stocks.
Cathie Wood’s flagship, the ARK Innovation ETF (ticker ARKK), has almost certainly just recorded its biggest ever quarter of outflows, with about $1.97 billion leaving the popular exchange-traded fund through to late September.
ARKK flow data arrives with a one-day time lag, meaning the final trading day for last month has yet to be logged. Yet a second straight quarter of outflows for the fund looks assured, while anything less than a $125 million inflow will make September the product’s worst month for outflows since it launched in 2014.
Wood’s main fund and her firm Ark Investment Management attracted billions of dollars in the past year after her thematic tech-focused bets trounced the market in 2020. But Wood and Ark have struggled to maintain momentum amid concerns about lofty prices and accelerating inflation.
By Jan-Patrick Barnert
Bloomberg News
