Buy Biotech Stocks? Cathie Wood’s Ark Thinks So (And, Here’s Why)
Cathie Wood’s Ark Investing has a relatively simple investment strategy. The company describes its philosophy in one simple sentence.
“We Invest Solely In Disruptive Innovation.”
That’s a broad statement, but one that also clearly defines what the company does. In addition, it’s sort of a warning. Disruptive innovation does not always work, nor does it always follow a straight line to success.
As we’ve seen during the pandemic, technology innovation can be a bumpy ride. Changing demand can open doors for innovators — think what happened with Zoom (ZM) – Get Zoom Video Communications, Inc. Class A Report or Peloton (PTON) – Get Peloton Interactive, Inc. Class A Report during the early days of the pandemic. Both saw a heavy acceleration of their disruptive business models but only Zoom has shown that it has a long-term sustainable model.
