Cathie Wood’s ARK Innovation Sees Biggest Cash Inflow in a Year

(Bloomberg) — Cathie Wood’s fans are pouring cash back into her flagship ARK Innovation ETF, the growth-stock fund that is starting to rebound from the steep losses seen this year.

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The ARK Innovation ETF pulled in $366.7 million on Tuesday, the biggest inflow in a year. The fund has gained 11% this week, double the rally in the tech-heavy Nasdaq 100 and nearly triple the advance of the benchmark S&P 500.

Investors have poured in $447.4 million into the fund this week, extending three straight weeks of inflows.

The influx follows the fund’s worst month ever in April, when it tumbled nearly 29% as rising interest rates pummeled technology stocks. The fund has declined almost 70% from its all-time high in February 2021 after top holdings such as Zoom Video Communications Inc. and Teladoc Health Inc. dropped from their pandemic highs.

“This definitely feels like a buy the dip,” said Athanasios Psarofagis, an ETF analyst with Bloomberg Intelligence. “The sentiment has been so bearish on ARKK and equities in general. I think investors think they are low enough to go long if even for just a short while.”