Cathie Wood's 2 Biggest Positions Are Both Elon Musk Companies. Together They Are 16% of the Fund.

ARK Innovation ETF has significant concentration risk with Tesla and SpaceX—both Elon Musk companies—comprising 16% of the fund's assets. Tesla fell 5.92% on Friday following a disappointing Cybercab launch event and a federal safety audit, accounting for over half of the fund's 1.06% decline. Both companies trade at expensive valuations despite SpaceX's impressive revenue growth and Tesla's unproven robotaxi timeline.