How Cathie Wood Sent ARK Innovation on a Wild Roller-Coaster Ride

Everybody wants their investments to go up in value. But what many people don't realize until they've been investors for a while is that they also want to realize those gains without having to endure a lot of downward volatility along the way. Unfortunately, that's not the way things work, and many of the individual stocks that have been the best long-term performers have forced their shareholders to endure gut-wrenching drops that have tested their conviction and discipline. Indeed, for some, the decision to invest in exchange-traded funds rather than individual stocks stems from a willingness to tamp down some of that volatility.Yet ETF investing doesn't always mean a reduction in volatility. Part of the goal that Cathie Wood had in founding her ARK Invest asset management company was to offer actively managed portfolios in an ETF format that would aggregate some of the most volatile stocks in the market. ARK Innovation ETF (NYSEMKT: ARKK) has had an illustrious track record, but it has come with huge bumps in the road. In the second article in this three-part series on ARK Innovation for the Voyager Portfolio, you'll get the details on how the fund has performed over time.Image source: Getty Images.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool