Wood's ARKK Fund Trails S&P 500 and Bitcoin for Over a Decade

Cathie Wood's flagship fund, ARKK, has struggled to beat its benchmarks since its inception in 2014. Launched on October 31 of that year, ARKK has trailed both Bitcoin (BTC) and the S&P 500 in cumulative returns.

The fund's performance is all the more disappointing given Wood's outspoken bullishness on BTC. Despite her predictions of a $1 million price target for BTC, the fund has failed to beat its benchmarks over the long haul. In fact, ARKK has even trailed BTC during particularly bad years for the asset, such as 2018 when it crashed 73%.

The numbers tell the story: since October 31, 2014, ARKK's cumulative return is 318%, while the S&P 500 with dividends reinvested has returned 367%. BTC, meanwhile, has returned a staggering 23,214% over that same period. This poor performance extends beyond just the overall returns, as Wood's fund also underperformed most calendar years across that timespan.

ARKK's struggles have been particularly evident in recent years. Since peaking at $159.70 per share on February 16, 2021, ARKK has lost 46% of its value, while the S&P 500 has gained 65%. Over the past five years, ARKK has declined 28%, while the S&P has rallied 72%.