ETF Research Center

ARK Innovation ETF is an actively-managed exhange-traded fund incorporated in the USA.The Fund will invest in equity securities of companies that are relevant to the theme of disruptive innovation. Relevant themes are those that rely on or benefit from the development of new products or services in scientific research relating to Genomics Revolution, Web x.0, and Industrial Innovation

FUND BASICS
Category	Global Equities
Fund Sponsor	ARK Investment Management LLC
Website	www.ark-funds.com
Inception date	Oct 31, 2014
Assets (mns)	$2,274
Currency	USD
Expense ratio	75 bp
Distributions	Annually

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian	Bank of New York Mellon
Weighting	Proprietary
Index replication	N/A
Uses derivatives	No
Options available	Yes

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	44
Wgt avg mkt cap (mns)	$39,772
Large cap (>$10bn)	50.4%
Mid cap ($2-10bn)	15.6%
Small cap (<$2bn)	34.0%
Developed mkts	96.6%
Emerging mkts	3.4%

TOP TEN HOLDINGS
Total	52.6 %
TESLA MOTORS INC	10.7 %
SQUARE, INC. CLASS A	7.5 %
ILLUMINA INC	6.3 %
INVITAE CORP.	6.2 %
STRATASYS LTD.	5.0 %
CRISPR THERAPEUTICS AG	4.1 %
2U INC	3.7 %
ROKU, INC. CLASS A	3.1 %
PROTO LABS INC	3.1 %
INTELLIA THERAPEUTICS, INC.	3.0 %

TOP COUNTRY EXPOSURE
	UNITED STATES	88.3 %
	SWITZERLAND	4.2 %
	ISRAEL	2.3 %
	CHINA	1.9 %
	BELGIUM	1.7 %
	ARGENTINA	1.4 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru January 31)
Year-to-date	1 year	5 years	10 years	Since Incep.
3.5%	20.8%	22.4%	--	21.1%

Market Correlations
versus...	Beta	R-squared
S&P500	1.71	60%
MSCI EAFE	1.44	35%
MSCI Emg. Mkts.	1.00	29%

Technical Indicators
Recent close	$56.02
30d moving avg.	$55.14
Annualized volatility	26.8%
Short interest (ETF)	0.2%
Short interest (Underlying)	10.8%
Relative strength (RSI)	66

Liquidity measures
Avg. volume (thou.)	303
Turnover	0.8%
Bid/Ask (% of price)	0.09%
ADV underlying (mns)	$22,566

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the ARK Innovation ETF ETF based on the alternatives' overlap in portfolio holdings with ARKK. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

ARKK

Expense:

75 bp

ALTAR Score™:

-3.1%

ALTERNATIVE ETFs BASED ON OVERLAP WITH ARKK
Ticker	Fund Name	Overlap¹ vs ARKK (%)	Expense ratio (bp)	Savings vs ARKK (bp)	ALTAR Score™ (%)	ALTAR vs ARKK (%)
ARKW	ARK Web x.0 ETF	52.9	76	-1	-0.5	+2.6
ARKQ	Ark Industrial Innovation ETF	35.2	75	0	1.2	+4.3
ARKG	ARK Genomic Revolution Multi-Sector ETF	34.4	75	0	-3.2	-0.1
ARKF	ARK Fintech Innovation ETF	24.7	75	0	1.4	+4.5
GIGE	SoFi Gig Economy ETF	18.9	59	16	0.0	+3.1
GNOM	Global X Genomics & Biotechnology ETF	17.5	68	7	-4.5	-1.4
LOUP	Innovator Loup Frontier Tech ETF	15.0	70	5	3.6	+6.8
PLAT	WisdomTree Modern Tech Platforms Fund	14.1	45	30	2.2	+5.3
XITK	SPDR FactSet Innovative Technology ETF	13.4	45	30	0.6	+3.7
BOSS	Global X Founder-Run Companies ETF	13.1	45	30	3.4	+6.5
ENTR	Entrepreneur 30 Fund	12.7	49	26	2.8	+5.9
GMAN	Goldman Sachs Motif Manufacturing Revolution ETF	11.9	50	25	4.5	+7.6
OGIG	O'Shares Global Internet Giants ETF	11.6	48	27	1.1	+4.2
SLT	Salt TruBeta High Exposure ETF	11.4	29	46	7.4	+10.5
XNTK	SPDR Morgan Stanley Technology ETF	11.3	35	40	4.7	+7.9
PRNT	The 3D Printing ETF	10.8	66	9	1.6	+4.7
CARZ	First Trust NASDAQ Global Auto Index Fund	10.7	70	5	13.1	+16.2
LIT	Global X Lithium & Battery Tech ETF	10.7	75	0	3.8	+6.9
GEX	VanEck Vectors Global Alternative Energy ETF	10.7	63	12	3.5	+6.6
QCLN	First Trust Nasdaq Clean Edge Green Energy Index Fund	10.7	60	15	1.3	+4.4

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

Content on this tab for subscribers only**

RESULTS & ESTIMATES

	2015	2016	2017	2018	2019	2020E	2021E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

Content on this tab for subscribers only

VALUATION METRICS

	2019	2020E	2021E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	ARK Innovation ETF
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

AVOID

Not worthwhile for most investors. A rating of AVOID is assigned to ETFs with ALTAR Scores in the lowest quintile (the bottom 20%) of their category. Often, funds in this category consist of stocks with little if any history or expectation of profitability, and as a result our fundamentally-driven analysis may not be relevant.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	-15.9	%
Divided by: Fwd. P/BV	6.7	x
Less: Expense ratio	75	bp
Equals: ALTAR Score	-3.1	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.57	CATEGORY AVERAGE	1.55

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.