Cathie Wood buys $2 million of tumbling AI stock

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Last year, the fund gained 35.5%, far outpacing the S&P 500’s return of 17.9% in the same period.But her style also brings painful losses in bearish markets, as seen in 2022, when the Ark Innovation ETF tumbled more than 60%.As of March 13, the Ark Innovation ETF was down nearly 10% year to date, while the S&P 500 dropped 3%, Yahoo Finance data shows.Those swings have weighed on Wood’s long-term gains. The Ark Innovation ETF has delivered a five-year annualized return of -11% as of writing, while the S&P 500 has an annualized return of 12.6% over the same period, according to data from Morningstar.In the 12 months through March 12, the Ark Innovation ETF saw roughly $1.45 billion in net outflows.Getty Images · Getty ImagesWood focuses on high-tech companies across artificial intelligence, blockchain, biomedical technology, and robotics. She thinks these businesses have great growth potential, though their volatility often brings fluctuations to the Ark’s funds.From 2014 to 2024, the Ark Innovation ETF wiped out $7 billion in investor wealth, according to an analysis by Morningstar’s analyst Amy Arnott. That made it the third-biggest wealth destroyer among mutual funds and ETFs in Arnott’s ranking. The analyst hasn’t updated the 2025 ranking.Related: Cathie Wood shares surprising message on oil pricesIn a letter published in January, Wood says the U.S. economy is storing up energy for a sharp rebound in 2026."Despite sustained real gross domestic product growth during the past three years, the underlying US economy has suffered a rolling recession and has evolved into a coiled spring that could bounce back powerfully during the next few years," Wood wrote.Wood also rejects the “AI bubble” talk again, saying it "is years away" and "the most powerful capital spending cycle in history" is coming."What once was the cap in spending seems to have become a floor now that the AI, robotics, energy storage, blockchain technology, and multiomics sequencing platforms are ready for prime time," she said.Not all investors agree with Wood’s optimism. In the 12 months through March 12, the Ark Innovation ETF saw roughly $1.45 billion in net outflows, according to ETF research firm VettaFi.On March 11 and 12, Wood’s Ark Genomic Revolution ETF (ARKG) bought a total of 41,906 shares of Tempus AI Inc. (TEM), valued at about $2.1 million, according to Ark’s daily trade information.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P Futures6,744.00 -11.50 (-0.17%)Dow Futures47,210.00 -79.00 (-0.17%)Nasdaq Futures24,847.50 -43.75 (-0.18%)Russell 2000 Futures2,508.00 -12.90 (-0.51%)VIX23.51 -3.68 (-13.53%)Gold5,043.10 +40.90 (+0.82%)Trending tickersADBE Adobe Inc. 251.86 +2.54 (+1.02%)BTC-USD Bitcoin USD 74,245.15 +408.38 (+0.55%)XYZ Block, Inc. 59.85 +0.06 (+0.10%)ULTA Ulta Beauty, Inc. 516.74 -18.98 (-3.54%)RBRK Rubrik, Inc. 51.67 -1.76 (-3.29%)PortfolioSign in to access your portfolioSign inTop gainersNSA National Storage Affiliates Trust 40.23 +9.29 (+30.03%)NBIS Nebius Group N.V. 129.85 +16.90 (+14.96%)BMNR Bitmine Immersion Technologies, Inc. 23.39 +2.85 (+13.88%)BCRX BioCryst Pharmaceuticals, Inc. 9.30 +1.08 (+13.14%)NSA-PA National Storage Affiliates Trust 22.72 +2.41 (+11.87%)Top losersTXG 10x Genomics, Inc. 16.69 -2.10 (-11.18%)VNET VNET Group, Inc. 9.53 -0.98 (-9.32%)PAYP PayPay Corporation 19.35 -1.79 (-8.47%)FSLY Fastly, Inc. 22.79 -1.79 (-7.28%)KLAR Klarna Group plc 14.91 -1.00 (-6.29%)Most activeNVDA NVIDIA Corporation 183.22 +2.97 (+1.65%)INTC Intel Corporation 45.76 -0.01 (-0.02%)ONDS Ondas Inc. 10.53 +0.37 (+3.64%)PLUG Plug Power Inc. 2.2400 +0.0900 (+4.19%)AAL American Airlines Group Inc. 10.49 +0.19 (+1.84%)Top economic eventsEarnings eventsMy earnings eventsEarnings events