ARK Genomics ETF Jumps 30.5% YTD
This article was originally published on ETFTrends.com.
The healthcare sector is home to some disruptive technologies and cutting-edge companies. That sentiment is highlighted by the ARK Genomic Revolution Multi-Sector ETF (ARKG) .
ARKG actively invests in multiple sectors domestically and internationally, including healthcare, information technology, materials, energy and consumer discretionary–all consistent with the investment theme surrounding the genomics revolution–a scientific discipline that focuses on genetics, particularly with regard to studies in DNA.
After notching another day of gains on Friday, ARKG hit another record high, stretching its year-to-date gains to about 30.50%.
“Companies within ARKG are focused on and are expected to substantially benefit from extending and enhancing the quality of human and other life by incorporating technological and scientific developments and advancements in genomics into their business,” according to ARK. “ARKG will be concentrated in issuers in any industry or group of industries in the health care sector, including issuers having their principal business activities in the biotechnology industry.”
ARKG Roster, Performance
At the end of the second quarter, ARKG allocated over a quarter of its weight to gene therapy companies and another 16% to targeted therapeutics providers. Instrumentation and beyond DNA companies combined for 30% of the fund's weight.
The ETF is at the forefront of some compelling healthcare themes, including developments in CRISPR genome-editing.
CRISPR minimizes environmental footprint, avoids traditional GMO’s in which foreign DNA infiltrates genes, aids family-owned farms with breeding techniques that lower the risk of disease, meets global demand for a diversified diet and reduces energy consumption associated with inefficient farmed fishing methods.
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ARKG “outperformed during the second quarter thanks to molecular diagnostic and sequencing as well as CRISPR genome editing stocks,” according to ARK research. “Intellia Therapeutics (NTLA), one of three public CRISPR genome-editing pure plays, contributed 295 bps to ARKG after securing two key CRISPR/Cas9 patents in the US and announcing its first cell therapy target for the treatment of acute myeloid leukemia.”
ARKG, which typically holds 30 to 50 stocks, has $204 million in assets under management and charges 0.75% per year.
For more information on the healthcare sector, visit our healthcare category.
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