Ark's Flagship ETF Produces Dot-Com Era Echoes for BofA
The rise and fall of Ark Investment Management’s flagship exchange-traded fund echoes the dot-com stock crash of the early 2000s, according to Michael Hartnett, Bank of America Corp.’s chief global investment strategist. Hartnett raised the issue in a May 6 report that highlighted a ratio between the ARK Innovation ETF and Warren Buffett’s Berkshire Hathaway Inc. -- the “new economy” versus the “old economy,” as he put it. For historical perspective, he tracked the ratio between Invesco Ltd. and Berkshire in the late 1990s and beyond. Invesco was then one of the largest U.S. stock-fund managers.