Cathie Wood says stocks are not in a bubble, thinks investors betting against her fund are off base

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ARK Invest’s Cathie Wood defends her innovation-focused strategies: “We’ve never been at a more provocative time for innovation in history.”

using options. Burry's Scion Asset Management bought 2,355 put contracts against the red-hot tech ETF during the second quarter and held them through the end of the period. Burry was one of the first investors to call and profit from the subprime mortgage crisis."When I see such negative sentiment out there, especially when it comes to valuation and longer time horizons, investment time horizons, I actually feel a little more comfortable. I like bad news," Wood added.

"The innovation around which we have centered our research, these five platforms: DNA sequencing, robotics, energy storage, artificial intelligence and blockchain technology, are barely off the ground," Wood said.Shares of Wood's flagship fund, Ark Innovation, hit a bottom in May as investors rotated into value stocks in the first half of 2021 and out of tech shares. The ETF did end the second quarter up 9%, but it's still down 7% year to date.

Wood made a name for herself after a banner 2020 in which Ark Innovation returned nearly 150%. The fund had big holdings in stocks such as Zoom and Teladoc, which thrived during

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