Investors are losing faith with Ark Investment Management’s genomics fund, according to a report by Bloomberg on Monday.
The Ark Genomic Revolution ETF (trading under ticker ARKG) has recorded nearly $520 million of outflows in November amid plunging returns.
The fund is now 27% year-to-date as investors are moving away from health-care stocks in support of more cyclical names that perform well over the economic recovery phase.
The ETF is performing worse than the wider biotech sector, with the Nasdaq Biotechnology Index rising 10.49% over the year.
ARKG is now trading at $66.38 per share, lower than its level 12 months ago, before the gradual rally that halted early in 2021.
The ETF’s two top holdings, Teladoc Health Inc. and Exact Sciences Corp. have significantly affected the performance of the fund, dropping 45% and 37% this year, respectively.