ARK Innovation ETF Return Calculator

If you had invested $1,000 in ARK Innovation ETF (ARKK) 5 years ago, your investment would be worth approximately $872 today, representing a loss of about 12.8%. ARKK has experienced significant volatility since its launch, with periods of strong performance followed by sharp declines. The ETF's performance has been heavily influenced by the performance of its holdings in disruptive technology companies, as well as market sentiment around growth stocks and interest rates. ARKK's concentrated holdings and focus on high-growth, high-risk companies make it particularly volatile.

ARKK's performance has been affected by several key factors: the performance of its holdings in disruptive technology companies, market sentiment around growth stocks and interest rates, the overall performance of the technology sector, and the active management approach of ARK Invest. The ETF's concentrated holdings and focus on high-growth, high-risk companies make it more volatile than broad market ETFs. ARKK's performance has been particularly sensitive to changes in interest rates and market sentiment around growth stocks, as well as the performance of its largest holdings like Tesla.

ARKK's returns have been more volatile and generally lower than other technology ETFs like QQQ over the past few years. While ARKK has the potential for higher returns during periods of strong growth stock performance, it has also experienced larger declines during market downturns. The ETF's active management approach and concentrated holdings make it more volatile than passive index funds. ARKK's performance has been particularly affected by the performance of its largest holdings and market sentiment around growth stocks.

ARKK's long-term investment prospects are uncertain and depend on several factors. The ETF offers exposure to disruptive technologies and companies that could benefit from long-term trends in innovation and technological advancement. However, ARKK faces challenges including high volatility, concentrated holdings, and the risk of underperformance during periods when growth stocks or technology companies struggle. The ETF's active management approach adds both potential upside and downside risk. Investors should consider their risk tolerance and investment goals when deciding whether ARKK fits their portfolio.