The era of investment based on benchmarks and hidden in the index is over.
At the Milcon Global Conference on the 2nd (local time), Arc Investment CEO Cassie Wood, nicknamed “the sister of the money tree,” stated: “The era of investment based on benchmarks and hidden in the index is over. "It's still an innovative and fast-growing stock. It's very important to invest in it."
Ark Investments has been in trouble recently due to the sluggishness of the New York Stock Exchange. Specifically, the share price of Teladac, a telemedicine company with a third total asset holding ratio, was said to have fallen more than 40% in a single day. However, CEO Wood used a so-called "Buy The Dip" strategy to buy additional Teladac the very next day. While the tech-focused Nasdaq is down more than 20% this year, it's a signal that we shouldn't hesitate and invest in the true value of tech.
On that day, CEO Wood explained that as the innovation formula has changed, the investment formula must also change. He explained, “Unlike in the past, when there was only one innovation platform, today, multiple innovation platforms are collaborating and multiplexing.
Specifically, CEO Wood chose artificial intelligence (AI), energy storage, robotics, DNA rewiring, and blockchain as the top five innovation platforms. He predicted that they would lead the change in the world over the next 10 years. “For example, in the process of commercializing autonomous taxis, robotics and energy storage technology will be developed together to achieve technological progress,” he said.
However, he acknowledged that "there's nothing wrong with that" to the point where "the growth of some tech companies is reaching the limit." CEO Wood said, "It's true that it's not easy to quantify the capabilities of a technology company that invests in the future. That's more important," he added.
On the same day, CEO Wood also criticized government agencies that regulate cryptocurrencies. He said: "A significant part of the gross domestic product (GDP) will come from the virtual currency economy," he said. “Regulatory uncertainty in the US is hindering the development of cryptocurrencies,” said CEO Wood.
Meanwhile, Coinbase CEO Brian Armstrong said, “In 10 years, 1 billion people will be using cryptocurrency.