ARKK not enough? New fund gives 2X leverage to Cathie Wood’s flagship ETF
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Bullish on Cathie Wood's popular ARK Innovation ETF (NYSEARCA:ARKK)? AXS Investments debuted its AXS 2X Innovation ETF (TARK) on Monday, a leveraged ETF that tracks the performance of the well-known technology- and disruptor-focused fund.
TARK intends to offer the financial community a 200% return of the daily performance of the ARK Innovation ETF. TARK will achieve this goal by entering swap agreements seeking to attain two times the performance of ARKK for a single day.
Certain market players feel that the recent decline in disruptive innovation stocks has fallen too far too fast, and TARK plans to offer those high conviction investors an option to capitalize on short-term long exposure to a basket of innovative and disruptive companies.
TARK will also commence trading on the Nasdaq and come forward with a 1.15% expense ratio.
TARK is not the first fund to branch off of Wood's offerings, which have drawn significant investor attention with its focus on the innovation arena. The Tuttle Capital Short Innovation ETF (NASDAQ:SARK) has thrived in the wake of ARKK’s recent collapse, providing an inverse stance to the performance of ARKK.
Year-to-date price action: ARKK -50.9%, SARK +71.9%.
In other Cathie Wood news, last week, the CEO of ARK Invest stood tall with her commitment to Teladoc Health (TDOC), despite the company's recent plunge. Wood told CNBC: “Our point of view is that Teladoc is becoming the healthcare information backbone of the United States.” Read about the complete interview.
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Been doing quite well with just that strategy, thanks.
