On March 31, OpenAI completed its largest funding round to date, securing $122 billion and reaching an $852 billion valuation. The spotlight intensified because a well-known buyer entered the picture: Cathie Wood of ARK Invest.
Cathie Wood’s ARK Invest is now opening a rare door for everyday investors with direct exposure to one of the world’s most valuable private AI companies, OpenAI. Through the recent inclusion of OpenAI across three flagship ETFs, ARK Innovation ETF (ARKK), ARK Next Generation Internet ETF (ARKW), and ARK Blockchain & Fintech Innovation ETF (ARKF), investors can now tap into a pre-IPO opportunity that was previously limited to venture capital and accredited investors. Each fund holds roughly a 3% allocation to OpenAI, marking the first time retail investors can access the company through publicly traded vehicles.
The move reflects ARK’s strong conviction in artificial intelligence (AI) as a transformative force in the global economy.
This move comes as OpenAI’s status strengthens, fueled by explosive demand for generative AI and infrastructure. For investors, these ETFs offer differentiated entry points into the AI megatrend, whether through broad disruptive innovation (ARKK), next-gen internet platforms (ARKW), or digital finance ecosystems (ARKF), all now anchored by exposure to one of the most influential AI players shaping the future of technology.
ETF #1: ARK Innovation ETF
The ARK Innovation ETF is the flagship actively managed fund from ARK Invest, led by Cathie Wood. Launched in 2014, ARKK seeks long-term capital appreciation by investing primarily in companies driving “disruptive innovation,” a theme that spans areas such as artificial intelligence, genomics, autonomous mobility, fintech, and next-generation cloud computing. The fund typically allocates at least 65% of its assets to high-growth domestic and international equities positioned to benefit from transformative technological change.
ARKK manages $6.1 billion in assets under management (AUM), reflecting its position as one of the most prominent actively managed innovation-focused ETFs in the market.
ARKK is up 61.4% over the past year but declined 11.28% year-to-date (YTD), which compares with the broader S&P 500 Index’s ($SPX) 30.19% returns over the past year and 3.72% slump this year.
The ARK Innovation ETF has an expense ratio of 0.75%, meaning investors pay $7.50 annually for every $1,000 invested.
This is higher than most index ETFs, but it’s fairly typical for actively managed, high-conviction funds like ARKK. The higher fee reflects the cost of active stock picking and research into disruptive innovation themes such as AI, genomics, and fintech.
The ARK Innovation ETF portfolio is built around a concentrated set of disruptive companies, with the top 10 holdings making up over 50% of the fund. Its largest positions include Tesla (TSLA) (10.6%), CRISPR Therapeutics AG (CRSP) (6.2%), Tempus AI (TEM) (4.8%), Shopify, (SHOP) (4.7%) and Circle Internet Group (CRCL) (4.6%), reflecting ARK’s core themes, AI, genomics, fintech, and next-gen internet.
Within this structure, OpenAI is a new but strategically important addition. While it represents a relatively small allocation (around 3%) and sits outside the top holdings, it is notable because it is one of the few private companies in the portfolio and signals ARK’s strong conviction that generative AI is not just another theme, but a central pillar of future innovation.
ETF #2: ARK Next Generation Internet ETF
The ARK Next Generation Internet ETF is another actively managed fund from ARK Invest, led by Cathie Wood. ARKW focuses on companies driving the shift toward cloud computing, digital platforms, artificial intelligence, blockchain, and mobile technologies, essentially the infrastructure behind the modern internet. The fund invests in firms benefiting from areas such as big data, cryptocurrencies, e-commerce, and next-generation communication networks.
ARKW manages around $1.5 billion in AUM, making it smaller than ARKK but still a key part of ARK’s innovation-focused ETF lineup.
In terms of performance, ARKW has delivered strong long-term growth outpacing the S&P 500 Index, with returns of about 42.33% over the past year, although it has faced pressure more recently, declining roughly 17.93% YTD.
The fund has an expense ratio of 0.76%, meaning investors pay $7.60 annually for every $1,000 invested. Like ARKK, this is higher than the average but reflects the cost of active management and deep research into emerging internet technologies.
ARKW’s portfolio is also highly concentrated. Its largest positions include Tesla (9.8%), Advanced Micro Devices (AMD) (6.9%), Shopify (5.1%), Circle Internet Group (4.9%), Robinhood Markets (HOOD) (4.9%) and Coinbase Global (COIN) (4.1%), reflecting its strong tilt toward internet infrastructure, digital assets, and AI-driven platforms.
Within this arrangement, OpenAI inclusion gives ARKW exposure to cutting-edge generative AI, complementing existing positions in cloud, semiconductors, and digital platforms.
ETF #3: ARK Blockchain & Fintech Innovation ETF
The ARK Fintech Innovation ETF is an actively managed fund from ARK Invest, led by Cathie Wood. Launched in 2019, ARKF focuses on companies driving financial technology innovation, including digital payments, blockchain, cryptocurrency platforms, and next-generation banking. The fund targets firms that are reshaping how money is stored, transferred, and invested through technology.
ARKF manages around $760.6 million in AUM, making it smaller than ARKK and ARKW but still a focused play on the rapidly evolving fintech space.
ARKF has been more volatile and weaker in recent periods, declining around 20.11% YTD, but is up by 27.43% over the past year. This compares with the broader S&P 500 Index, which has delivered more stable returns over the same period, highlighting ARKF’s sensitivity to interest rates and risk sentiment in fintech and crypto-related stocks.
ARKF has an expense ratio of 0.75%. Like other ARK funds, this is higher than passive ETFs but reflects the cost of active management and research into fast-evolving areas like blockchain and digital finance.
Its largest positions include Shopify (9.7%), Coinbase (5.7%), Circle Internet Group (6.4%), Block (XYZ) (4.8%) and Robinhood (4%), reflecting its strong exposure to digital payments, crypto infrastructure, and fintech platforms.
ARKF’s core holdings represent the current fintech ecosystem, while OpenAI introduces a future layer of AI-driven financial innovation, reinforcing ARK’s view that AI will increasingly shape how financial platforms operate and scale.
On the date of publication, Subhasree Kar did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
