Lol, you picked up a lot of 'disagrees' on that one, but I liked your comment.
Commenter/Vlogger
@DaveT (hi Dave, pls correct me if this isn't your TMC handle) recently put out a
video analyzing ARK Invest's $6,000 price target without ONCE mentioning that that tgt is their Bull case, and they also have a Bear case of $700 in 5 yrs.
Dave, it's easy to change some assumptions and get a different price target. The point is they've open sourced their analysis for FREE, and who does that? You should thank them for making your video (and Youtube 'views') possible. BTW, why didn't you show your modifications to their spread sheet? But I digress...
Here's the real problem with that review: DaveT completely missed out on the
real problem with the ARK Invest approach to their ETF holdings: They keep selling their real Winner (thereby missing out on real gains), while sinking dead money into their dogs. Another approach would be to SELL THE DOG. GET NEW DOGS! if they want to diversify.
Another issue with the ARK Invest model is it doesn't include TE which management continually guides as having more upside than Auto over the relevant 5 yr forecast time frame. So... crickets? That's a missed opportunity to add value right there.
@Drax7, I agree with your statement: "Their investing parameters don’t make sense." ARK will pay the rent, but will never get rich this way.
Cheers!