ARK ETFs and General Purpose Technologies
One of the most successful investors in recent years explains their investment process.
The Swyx Mixtape · Swyx
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Show Notes
ARK ETFs have had a monster performance in the past few years, and core to their process is this obscure theory of General Purpose Technology.
They use it to identify technologies that have:
- steep cost declines
- cut across sectors
- platforms of innovation
So they arrive at 5 sectors:
- gene sequencing/editing
- AI (collaborative robots)
- energy storage
- biotechnology
- cryptocurrency
Audio source: The Odd Lots Podcast https://www.bloomberg.com/news/audio/2021-02-10/ark-s-head-of-research-on-how-they-find-winners-podcast
Further reads:
- https://en.wikipedia.org/wiki/General-purpose_technology
- more notes: https://twitter.com/swyx/status/1362333935322075139