ARKG Genomic Revolution Multi-Sector ETF (ARKG)
Update 6/17/2018: After buying into ARKG I have spent the weekend learning more about the fund’s creator and manager, ARK Investment Management LLC. Among my finds was this half-hour interview with ARK’s CEO, Catherine D. Woods, in which she discusses the company’s disruptive technologies themes. Interesting ideas.
I have entered a long shares position on ARKG, one of the few exchange-traded funds with an uptrending Fisher Transform and a visual trend on the annual chart to match.
I have structured it as a longer-term trade, a traditional buy-and-hold. The chart doesn’t follow the normal movements of the broad market, and in this bear market, I judge that outliers give the best prospects.
I screened for it in the simplest possible way: Listing all of the available exchange-traded funds, the huge majority of which are downtrending, and looking at those few with an uptrending Fisher. After that, it was just a matter of skimming through the charts.
The fund has no Zacks rank but is considered to be high risk. It pays no dividend and has no options. Morningstar gives it a 3-star rating.
The entry price was $30.22.
Atypically for me, ARKG is a story trade. I’m fascinated by genomics and all the useful information that can be harvested from a genetic test. Like millions of others, I’ve been tested by 23andMe (Wikipedia article), and have learned more about myself, my limits and gifts, my likely health challenges and I age, than my parents could have ever hoped to know.
Running my testing results through Promethease, I linked my results to the broad scientific literature tracked by SNPedia (Wikipedia article) for an even deeper knowledge of myself.
After much reading, I’m convinced that this tech is the Next Big Thing, and I want to go along for the ride. Plus, ARKG is classified as a Health Care ETF. I judge that we are in the last stage of the expansion that began in October 2009, a stage in which Health is a sector that does well.
ARKG is newly uptrending on the monthly Fisher Transform, and I shall use a switch to downtrending on that indicator as a signal to pull out temporarily.
By Tim Bovee, Portland, Oregon, June 15, 2018
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