While most of the Wall Street is in panic mode amidst the spreading banking crisis, one big investor is having a field day. Cathie Wood's flagship Ark Innovation ETF reeled in $397 million in new money just Tuesday alone, notching the biggest one-day inflow since April 2021, according to FactSet. Investors could be piling into the innovation fund under the belief that the current banking chaos could make the Federal Reserve pause its rate hike campaign, which would benefit growth stocks.
mountain Ark Innovation ETF ARKK has rallied 21% this year as Wood's top holdings, such as Tesla and Roku , rebounded dramatically. The fund is still 47% off its recent high, however. Year to date, the fund, actively managed by Wood, has had $100 million inflows, the most inflows among global equity broad thematic fund category, according to FactSet. The innovation fund is focused on advanced technology companies in areas such as genomics, robotics, internet and fintech.