ARK ETF increasing their PYR position As noted previously, PYR being added to ARK's 3d ETF (PRNT) is significant.
ARK has seen explosive growth, overseeing $41.5 billion in ETF products, compared with less than $3.5 billion at one point in 2020. ARK is now among the top 10 issuers in the $5.5 trillion ETF industry (for perspective, ARK only has 0.8% of the industry, compared to 37% for BlackRock and 28% for Vanguard (iShares), the two titans).
However, ARK is now 4th in fund flow (increase in assets being inflowed to ARK by investors, a major popularity metric) -- behind Vanguard, iShares, and State Street -- and 5th in returns.
https://etfdb.com/etfs/issuers/#issuer-power-rankings__fund-flow&sort_name=performance_position&sort_order=asc&page=1
ARK's CEO, Cathie Wood, has become a superstar fund manager. An imporant aspect to this, is that she is followed by traders and other fund managers who seek to mimic or front-run her bets. As a result, the stocks added to her funds are also heavily tracked. This may explain some of PYR's movement this week, as investors have seen PYR listed on the ARK fund holdings roster and are buying in also.
So regarding PYR in ARK...
Based on some other investment site listings of the ETF, including Zacks, MarketWatch, and ETF.com, PYR was not part of the fund as late as Dec 31, so was added sometime between Jan 1 and Jan 15.
The fund's web site does not seem to archive their daily holdings reports; each day's reports over-ride the last. However, there is a discrepancy between links, as the CSV file is updated faster than the PDF file, so it's possible to discern a minor pattern between the two:
- For the Friday Jan 15 report (from the Holdings PDF file), the PYR position in the 3D fund was 85,700 shares, with value of USD$251,692.65.
- There was no report on Monday the 18th, as the US markets were closed for MLK day.
- For the Tuesday Jan 19 report (the Holdings CSV file), the PYR position was 89,900 shares, with value of USD$301,395.99.
This indicates an increase of 4,200 shares.
With this position increase, PYR has moved up from 41st largest holding in the fund, to 39th (out of 55).
How much could ARK's position in PYR grow?
The fund lists a current *2% weighting for "3D Printing Materials" (PYR's category) in the fund as of the last rebalance, and PYR is currently weighted at 0.13% of the fund, so has some room to move -- other materials companies in the fund notwithstanding.
PYR could be increased or decreased against other materials companies. Capturing the full 2% would be just over 15X the fund's current PYR holdings, or an increase to a total of 1,348,500 shares. This seems unlikely given the other materials compaines in the fund. Increasing PYR to a 1% stake would be around 675,000 PYR shares total.
What seems more likely is a fund rebalancing that increases the weighting of the "materials companies" portion of the ETF, and increasing holdings in PYR along with it. ARK's 3D ETF is rebalanced quarterly, so it will be interesting to watch.
*Important Note: funds break their weighting rules all the time, so the 2% weighting for materials companies may be just a guideline, and if PYR does well it could easily get over-weighted, which is common practice.
To view the daily ARK 3D Printing ETF holdings in PYR:
- go to this link: [url= https://ark-funds.com/3d-printing-etf] https://ark-funds.com/3d-printing-etf[/url] - then scroll down and look on the left side for the Fund Documents header, to see some links. The most up to date is Fund Holdings CSV (which is an Excel file, dated Jan 19). The Fund Holdings PDF was yet to updated at time of this writing, and was dated Jan 19.
I assume they replace this daily, so it's a good way to monitor any ARK PYR buys.
Final note... ARK Space ETF just announced. ARK recently announced they are launching a Space ETF. This would be compried of companies that are “leading, enabling, or benefitting from technologically enabled products and/or services" for the space industry.
Since ARK now knows PYR,
and PYR has a NDA deal with a "major aerospace" company" for their additive manufacturing process... it's not out of the question that PYR also gets considered for this fund.
https://www.cnbc.com/2021/01/13/cathie-woods-ark-invest-plans-space-exploration-etf-arkx.html