ARK Innovation ETFNYSE American: ARKK

The ETF continues to underperform the market and is down almost 11% since I first covered it, while the S&P 500 jumped nearly 20%. In addition to its selection process, the ETF's performance also seems to be suffering due to ill-timed buying and selling activity. Investors looking to buy growth stocks at a discount would likely be better off looking elsewhere.

The Ark Innovation ETF and Ark Next Generation Internet ETF are both actively managed funds. There is quite a bit of overlap between the ETFs' portfolios.

On this week's episode of ETF Prime, host Nate Geraci was joined by Cinthia Murphy, VettaFi investment strategist. They discussed the future of ARK Invest and the ARK Innovation ETF (ARKK).

Investors often have to choose between high-growth or high-yield stocks. However, there are some individual stocks that offer both attractive dividend yields and high growth. We discuss several of them in this article.

The ETF has returned an average annual gain of 9.7%. But the annual return for investors is -17%.

As expected, the ARK Innovation ETF ARKK has faced significant losses, down 14% over the past week. ARKK is losing its positive correlation to long-term bonds, likely as the odds of a soft landing decline. Most holdings in ARKK are tied to equity financing needs, which may become difficult as more investors look to increase their cash allocations.

This year has been a big year for active ETFs! According to Morningstar, even though actively managed ETFs still only represent 7% of ETF assets, they accounted for 25% of the flows in the first half of this year, growing to a record $889 billion from their start of the year, $714 billion.

One of the well-known benefits of investing in ETFs is diversification. However, with benchmark indexes reaching record levels of concentration, broad-based ETFs may not be as well diversified as investors expect.

Todd Sohn joins Diane King Hall to discuss the latest trends in the Thematic ETF environment. Sohn notes that too much product is chasing too few available dollars and closures outnumbered launches over the past two years.