- Virgin Galactic stock soared as much as 22% on Thursday.
- The space tourism group can be added to the space exploration ETF planned by the Ark Investment Management Company.
- Bloomberg estimates that the fund manages a total of $42 billion in ETF products.
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Virgin Galactic’s share price surged by as much as 22% on Thursday, increasing its market value by approximately $1.4 billion after a large investment fund disclosed plans to launch a space-themed exchange-traded fund.
Investors in this commercial aerospace company are betting that it will be included in the ARK Space Exploration ETF of Ark Investment Management.
Ark, led by founder and investment president Cathie Wood, already operates seven ETFs, focusing on genomics, 3D printing, robotics, and financial technology. Its flagship product, Ark Innovation ETF, lists Tesla as the largest holding.
read more: Bank of America said that the space industry will grow by more than $1 trillion in the next ten years. Here are the 14 stocks most likely to benefit from the boom.
Thanks to Bloomberg’s estimates and the influx of investor capital in recent months, Ark Bank currently manages approximately US$42 billion in ETF products, a significant increase from less than US$4 billion a year ago.
Wood and her team plan to actively manage their own space ETF. They intend to invest in domestic and foreign companies engaged in space exploration and innovation, and hold 40 to 55 stocks.
read more: An ETF fund provider whose professional funds have smashed the market and broke the hot SPAC frenzy-and shared 20 stocks worth watching in 2021