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Should You Invest in the ARK Genomic Revolution Multi-Sector ETF (ARKG)?
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Looking for broad exposure to the Healthcare - Broad segment of the U.S. equity market? You should consider the ARK Genomic Revolution Multi-Sector ETF (ARKG - Free Report) , a passively managed exchange traded fund launched on 10/31/2014.
An increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors.
Additionally, sector ETFs offer convenient ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Healthcare - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 9, placing it in bottom 44%.
Index Details
The fund is sponsored by Ark Investment Management. It has amassed assets over $207.90 M, making it one of the average sized ETFs attempting to match the performance of the Healthcare - Broad segment of the U.S. equity market.
This ETF is active and does not track a benchmark.
Costs
Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.
Annual operating expenses for this ETF are 0.75%, making it one of the more expensive products in the space.
It has a 12-month trailing dividend yield of 0%.
Sector Exposure and Top Holdings
ETFs offer a diversified exposure and thus minimize single stock risk but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
Looking at individual holdings, Intellia Therapeutics Inc (NTLA - Free Report) accounts for about 11.07% of total assets, followed by Illumina Inc (ILMN - Free Report) and Editas Medicine Inc (EDIT - Free Report) .
The top 10 holdings account for about 54.04% of total assets under management.
Performance and Risk
Year-to-date, the ARK Genomic Revolution Multi-Sector ETF has added roughly 21.27% so far, and was up about 32.69% over the last 12 months (as of 07/03/2018). ARKG has traded between $21.86 and $31.58 in this past 52-week period.
The ETF has a beta of 1.68 and standard deviation of 28.18% for the trailing three-year period, making it a high risk choice in the space. With about 39 holdings, it has more concentrated exposure than peers.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Should You Invest in the ARK Genomic Revolution Multi-Sector ETF (ARKG)?
Looking for broad exposure to the Healthcare - Broad segment of the U.S. equity market? You should consider the ARK Genomic Revolution Multi-Sector ETF (ARKG - Free Report) , a passively managed exchange traded fund launched on 10/31/2014.
An increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors.
Additionally, sector ETFs offer convenient ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Healthcare - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 9, placing it in bottom 44%.
Index Details
The fund is sponsored by Ark Investment Management. It has amassed assets over $207.90 M, making it one of the average sized ETFs attempting to match the performance of the Healthcare - Broad segment of the U.S. equity market.
This ETF is active and does not track a benchmark.
Costs
Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.
Annual operating expenses for this ETF are 0.75%, making it one of the more expensive products in the space.
It has a 12-month trailing dividend yield of 0%.
Sector Exposure and Top Holdings
ETFs offer a diversified exposure and thus minimize single stock risk but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
Looking at individual holdings, Intellia Therapeutics Inc (NTLA - Free Report) accounts for about 11.07% of total assets, followed by Illumina Inc (ILMN - Free Report) and Editas Medicine Inc (EDIT - Free Report) .
The top 10 holdings account for about 54.04% of total assets under management.
Performance and Risk
Year-to-date, the ARK Genomic Revolution Multi-Sector ETF has added roughly 21.27% so far, and was up about 32.69% over the last 12 months (as of 07/03/2018). ARKG has traded between $21.86 and $31.58 in this past 52-week period.
The ETF has a beta of 1.68 and standard deviation of 28.18% for the trailing three-year period, making it a high risk choice in the space. With about 39 holdings, it has more concentrated exposure than peers.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.