ARK Invest shifts focus to AI, defense, and biotech

ARK Invest, led by Cathie Wood, is restructuring its fund portfolios by reducing positions in Robinhood and Teradyne. The firm is shifting its focus toward three primary thematic areas: AI infrastructure, defense and aerospace, and biotechnology therapeutics.

In the AI sector, ARK has been steadily increasing its stake in CoreWeave and has made significant investments in Cerebras Systems and Meta Platforms. The defense and aerospace strategy includes acquisitions of Kratos Defense & Security Solutions, AeroVironment, Intuitive Machines, and Joby Aviation.

In biotechnology, the strategy is moving away from genomic tools and diagnostics toward therapeutics and AI-driven drug discovery. These shifts occur amid volatility in the bond market, where rising yields on US Treasury bonds have pressured high-growth, long-duration assets.