Ark Invest’s Cathie Wood is taking another stab at investing in “disruptive innovation,” this time through a new fund that will target illiquid securities including those of private companies, a regulatory filing on Thursday showed.
The filing comes at a time when the ARK Innovation ETF, which bested all other U.S. equity funds in 2020, has slumped about 55% from its year-ago record high amid a rotation out of growth and technology stocks.
The fund, which will have a minimum initial investment threshold of $1,000, will look to invest in firms involved in a wide range of areas including artificial intelligence and automation, the filing said.
The fund will only offer redemptions of between 5% and 25% of the fund’s shares just once a quarter, the filing said. Such restrictions are a common way to get around the problems expected due to the illiquid nature of these types of securities.
Read more: Reuters
