ARK Investment Management LLC (“ARK”) is acronym for “Active, Research and Knowledge.” The company specializes in thematic investing in disruptive innovation with a fresh take on fundamental analysis. Thematic investing is based on broader, macroeconomic topics (i.e., themes) rather than benchmarks, and seeks to capture long-term growth independent of sectors, geographic boundaries, and market-caps. Specifically, ARK invests in themes that participate in disruptive innovation across several sectors. ARK defines “disruptive innovation” as the introduction of a technologically enabled new product or service that ARK expects to change an industry landscape. It typically involves declining cost structures, increased productivity and increased unit growth. Despite its potential, ARK believes the full magnitude of disruptive innovation and the investment opportunities it creates are often unrecognized or misunderstood by traditional investors.

Catherine D. Wood, ARK’s founder and Chief Executive Officer, is the portfolio manager responsible for managing client assets. Ms. Wood has over 40 years of experience in theme-based investing (as defined below). Ms. Wood launched ARK after spending the previous 12 years at AllianceBernstein where she served as Chief Investment Officer for its global thematic portfolios, managing approximately $5-6 billion. Prior to AllianceBernstein, in 1997, Ms. Wood co-founded Tupelo Capital Management. Prior to Tupelo, Ms. Wood held numerous positions in her 18 years at Jennison Associates, including research analyst and portfolio manager. During her career, Ms. Wood has tracked technologies that enabled the development of new industries, such as cell phones and database publishing, from their nascent stage to their full realization for the benefit of her investors and clients. ARK (an acronym for “Active, Research and Knowledge”) specializes in thematic investing in disruptive innovation with a fresh take on fundamental analysis. Thematic investing is based on broader, macroeconomic topics (i.e., themes) rather than benchmarks, and seeks to capture long-term growth independent of sectors, geographic boundaries, and market-caps. Specifically, ARK invests in themes that participate in disruptive innovation across several sectors. ARK defines “disruptive innovation” as the introduction of a technologically enabled new product or service that ARK expects to change an industry landscape. It typically involves declining cost structures, increased productivity and increased unit growth. Despite its potential, ARK believes the full magnitude of disruptive innovation and the investment opportunities it creates are often unrecognized or misunderstood by traditional investors.

Investment Approach

ARK’s differentiated investment strategy is to find and invest in the companies that are poised to transform the global economy. ARK seeks to bring balance back to portfolios that have become increasingly benchmark-sensitive. Generally, ARK believes that passive investing cannot: (i) capitalize on investment opportunities created by disruptive innovations; or (ii) produce the returns investors can achieve through truly active equity management. ARK’s Investment Ecosystem ARK recognizes that research analysts, by focusing narrowly on individual sectors, create inefficiencies in the financial markets both in understanding the market potential of disruptive innovations and in sizing investment opportunities appropriately. ARK’s cohesive team of research analysts and its portfolio manager (“ARK Team”) seek to identify what they believe to be the best companies within their respective themes (and the elements within those themes) to power ARK’s investment decisions. ARK’s distinctive and dynamic investment ecosystem (“ARK Investment Ecosystem”) is rooted in fundamental analysis. However, the ARK Investment Ecosystem is distinguished by ARK’s ability to access and harness the vast amount of information available through social media and traditional research sources to support ARK’s investment decisions. The ARK Investment Ecosystem powers the distinctive and dynamic investment process that enables ARK to understand and keep pace with the power of technologically enabled innovation. Additionally, ARK considers and uses the framework of the United Nations Sustainable Development Goals to integrate environmental, social, and governance considerations into the research and investment process. ARK does not use ESG considerations, however, to limit, restrict or otherwise exclude companies or sectors from an investment universe.

Click here to read ARK’s disclosure brochure (ADV Part 2A)

Azzad makes no assurance that the manner in which ARK manages its assets in the Innovation model portfolio is the same as or entirely consistent with the manner in which it manages any of its other Funds or accounts. Investing in this or any other portfolio involves risks, including loss of principal.