Cathie Wood’s strategy is to build positions in relatively new and speculative companies that are still in their developmental stages. These companies typically take some time to deliver returns and, hence, are deemed risky investment bets for the short term. Three such recent investments by Woods are in Beam Therapeutics (BEAM), Niu Technologies (NASDAQ:NIU) and Workhorse Group (WKHS). Let’s evaluate these names.Cathie Wood owns and operates Ark Investment Services LLC, which is the world’s largest actively traded ETF. She has made her name by betting on companies that seem highly risky and speculative and are generally viewed in a negative light by other institutional and retail investors. Wood’s most profitable bet so far has been her long position in Tesla, Inc. (NASDAQ:TSLA) since 2019, covering a period when the stock was heavily shorted.
Wood believes the disruptive electric vehicle (EV) industry has plenty of remaining upside because many countries have only just begun phasing out fossil fuel-powered vehicles in favor of EVs. Two of Wood’s recent investments in this space are in Niu Technologies (NIU) and Workhorse Group Inc. (WKHS).
Wood also has substantial exposure to the biotechnology industry based on her optimism about the prospects of gene sequencing, which has the potential to revolutionize the global healthcare industry. With the biotech industry’s research and innovation increasingly demonstrating the sector's ability to cure critical ailments such as cancer, Wood launched Ark Genomic Revolution ETF (ARKG) to invest in budding companies, such as Beam Therapeutics, Inc. (BEAM).