Ark (ticker: ARKK) and Bitcoin resume their meltdown, as I predicted they would.
Bitcoin has fallen over $4k since 3 days ago, from $43k to $39k. As I correctly pointed out, any rumors of Russians buying Bitcoin is unsubstantiated bullshit, and even if they are, collectively they are too poor to have any affect on the price.
Arkk has made a new low, closing below $60 even as the S&P 500 and Nasdaq have recovered some of their losses:
Arkk is even worse than Bitcoin now.
The collapse of Ark goes to show how these experts are overrated, and how overhyped investments tend to fail. These professionals are being paid huge sums of money for horrible performance. It’s as if she [Cathie Wood] chose the worst possible stocks, assets and made an ETF out of it. It’s whatever the opposite of having a crystal ball is. Like with affirmative action, that’s what happens when people are promoted or given media attention because of their gender or race instead of competence. [We] pay the price. Whether it’s the consumer, the investor, the client, etc.
If you want to know if someone is competent or not at their job, as Jordan Peterson has said, the most accurate predictor is IQ. It’s evident from some of her interviews that she is not that smart. Maybe her IQ is 110 at best, which is why the performance of her funds is much worse than, say, Renaissance Technologies, which was founded by a genius and is staffed by some of the smartest people in the world, who have math and physics degrees.
This is why the college wage premium still exists, because college grads tend to be better at their jobs, even low-skilled jobs, compared to non-grads.
I agree with ‘the left’ about how these millionaires and billionaires in the financial services industry are way overpaid relative to their expertise and the value they create for their investors/clients. Instead of attacking Elon Musk or Jeff Bezos, they should be directing their anger at these overpaid money managers and advisors.
Despite this setback due to Ukraine, the stock market will make new highs, probably in a few months or so, but the timing does not matter.