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> Her idea was that some tech will change world so much that there will be 100X return.

Is that really so different from the VC approach?




VC normally looks for deals like “stock that gets treated like a pseudo creditor”, so even if a company fails, they’ll break even. Also a seat on the board.

VC really makes its money work for it.

ARKK is just picking stocks.


VC is much earlier stage. I think ARKK only invests in publicly traded companies. The potential for a 100x is much greater at earlier stages.


Exactly.

A VC putting in $1M for a Series B and getting $100M out is within the realm of possible.

Buying $10M of public stock and having it turn into $1B isn't quite so realistic, at least not on a continued basis that an investing thesis would require.


It's not but then it's more appropriate to use a VC vehicle where the money is locked up then an open ended fund that people can buy or sell every day. ETF is also investible by normal people, not just accredited investors.


It is not same as VC because (1) VCs enter way before IPO which allows 100X return, (2) ARK bets are far more bigger than typical VC rounds which means any failure hurts a lot.




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