Click here: The Weekly Beacon – June 3 2022
We will be giving some macroeconomic market updates on a weekly basis. No
recommendations will be given in this commentary and we encourage you to contact us
today if you have any questions regarding any observations.
Feel free to send in your pictures of lighthouses to be featured in our weekly commentary.
This weeks issue: Short the Market, SARK, ARKK, Ark Investments, Cathie Wood, Oil, Gas Prices, Increase Energy, WTI Crude, U.S. Mortgage Rate, Home Sales, U.S. South East, SunBelt Region, Alternative Assets, Investments, MAC 360, Inflation, EuroZone, CPI, Germany CPI, U.S. CPI, Gas prices, Stock Prices, China Stocks, Fossil Fuels, Poverty, Oil, Coal, Zoom, Oil Stocks, Price to Book, Valuations.
SARK over ARKK
In the November 26th, 2021 edition of The Weekly Beacon, we mentioned a newly launched ETF, the Tuttle Capital Short Innovation ETF. The ETF seeks to inverse the returns of Cathie Wood’s flagship fund ARKK. If you buy SARK, you are betting against Cathie Wood. You are betting against absurd valuations.
SARK has had a great 2022.
We all know ARKK has not.
Remember as her funds flutter, Wood is a weekly guest on CNBC.
In February 2022 she gave us a gem of a quote that will go down infamously.
We tend to disagree with her quote. Even though we have questioned her abilities and stated that her funds are overvalued and major stay always, we are not betting against innovation. After all, innovating is defined as a new method, idea, product, etc.
We are all in on new ideas, just not some of hers.
Think of SARK this way, you are betting against her and Ark Investments’ ability to pick innovation.
Entering a position in SARK now would come with added risk. Even though ARKK still has major holdings that are trash, this is the time it could bounce when the Cathie cult gets reenergized (circa 2020). Either way a fascinating story.
