In an interview: Cathie Wood – Founder of ARK Investments (Photo: Ark Invest, Reed Young)
Cathie Wood is one of the best -known investors in the field of disruptive technologies worldwide. With ARK Invest, she relies on innovations that change entire industries – from artificial intelligence to genome research. In this conversation, she shares her view of the future of technology, the role of AI in business and explains why the market is still underestimating many groundbreaking developments.
ftd.de: Ms. Wood, what did she inspire in 2014 to found ARK Invest?
Cathie Wood: I wanted to revolutionize traditional investment management. Most fund managers focused on short -term profits – I saw a gap in the market for long -term investments in disruptive technologies such as AI, genomics and robotics. ARK is supposed to identify innovations early and make investors accessible worldwide. I am particularly happy about our expansion to Germany with the new UCITS ETFs.
ftd.de: Now this sector is known for its volatility. How do you deal with short -term market volatility?
Cathie Wood: Disruption naturally leads to short -term fluctuations, since the market often only incompletely evaluates fast technological progress. However, this volatility is an opportunity for us: we consistently stick to our long -term five -year perspective and use market fluctuations to align our portfolio on our best beliefs. While others rely on safe benchmarks in times of crisis, we sell liquid, overvalued positions and invest in disruptive companies that were wrongly punished at short notice. So we prepare for the next upswing and at the same time minimize our risk.
ftd.de: They often talk about the convergence of different technologies. Which innovations currently benefit from this development in your eyes?
Cathie Wood: The convergence of different technologies ensures enormous growth – and Artificial intelligence The focus is on here. It drives developments in almost all areas. Autonomous mobility picks up speed, robotaxis could prevail faster than expected. In medicine, AI drastically lowers the development times and costs of new medication. And in the software industry, AI agents are performing more and more tasks, optimizing systems around the clock and solving complex challenges practically autonomously.
ftd.de: How do you rate the role of artificial intelligence in today’s economy and where do you see your greatest potential?
Cathie Wood: AI is by far the largest catalyst for economic growth. Neural networks in particular will increase the value of emerging technologies such as cloud computing, autonomous mobility or precision medicine many times over. We see the most exciting development at AI agents-they will fundamentally change the handling of technology. They understand natural language, plan independently and continuously learn. Companies can work more efficiently with their help, and users save time by delegating many tasks to AI. The enormous economic potential of AI is particularly noticeable in areas such as customer service or knowledge work. We also expect considerable productivity increases in robotics.
ftd.de: Robotics and automation are progressing in various industries. Where do you expect the largest efficiency gains?
Cathie Wood: The great jump in efficiency comes from the fusion of AI and robotics – this is what we call ‘Embodied ai’. Logistics will revolutionize particularly autonomous vehicles and delivery drones because they work with higher occupancy and reduce the costs for the last mile. The potential of humanoid robots is even more exciting: they could be used in many areas and are increasingly economically attractive due to falling costs. Small companies in particular could benefit disproportionately, since many of their tasks are automated, but not yet automated. And as far as the concern for job losses is concerned – a look at history shows that technological advances have usually led to more economic activity and new fields of work.
ftd.de: In the recent past, they spoke about multiomic sequencing, for many investors this is certainly still an unknown concept. Can you explain why this technology could be revolutionary?
Cathie Wood: The genomics revolution goes far beyond the DNA analysis-today we speak of “Multiomics”. This means that various biological data sources are combined to recognize diseases earlier and more precisely. Liquid biopsies that can detect cancer markers in the blood are particularly exciting without invasive interventions. This not only changes cancer diagnosis, but also the treatment options. AI plays a central role here because it can analyze huge data records and thus enable more precise diagnoses. Companies such as Tempus Ai or Twist Bioscience are driving this development. The potential is enormous: the market for minimal residual disease alone could increase from 10 to $ 120 billion in the next few years.
ftd.de: Indeed, that sounds promising and exciting. Let’s talk about market development and future challenges. How do macroeconomic factors, such as inflation, interest policy and geopolitical tensions, influence your investment strategy?
Cathie Wood: We focus on innovations and not on macroeconomic strategies, but of course we are observing economic developments. Inflation policy, inflation and geopolitical tensions have triggered strong market movements in recent years – in particular the extreme interest increase 2022/23 was historically unprecedented. But we believe that this shock is now behind us.
It is exciting that several economic and technological trends are currently reinforcing each other. The convergence of AI, robotics, blockchain and multiomics could massively increase productivity. At the same time, deregulation and tax incentives could promote innovations and enliven the competition. The US dollar also remains strong, which the capital returns in the United States could further increase.
Of course there are uncertainties, for example through tariffs or political changes. But we believe that long -term positive effects – more innovation, more productivity, fewer market restrictions – will prevail.
ftd.de: Why do many investors underestimate the potential of disruptive technologies – and how do you recognize the winners early on?
Cathie Wood: Many underestimate the potential of disruptive innovations because classic evaluation indicators such as the return on equity (ROE) do not well grasp how strongly innovative companies invest in technology and growth. In the short term, high investments can make profits, but in the long term they are crucial for groundbreaking developments.
That is why we assess companies with a long -term look – over 5 years – and take into account investments in research and development that are otherwise often overlooked. Our analyzes show that the market significantly underestimates the value of many innovative companies. We are currently seeing signs of an increasing investor interest in disruptive technologies, but the level remains well below that from 2021. This shows that the potential for innovation has not yet been exhausted.
ftd.de: Thank you for the exciting insights, Mrs. Wood
Cathie Wood: Very happy, I have to thank you and recommend your interested readers ARK Invest Big Ideas 2025.