Something interesting is happening inside Cathie Wood's investment empire. As 2025 winds down, ARK Invest has been dramatically reshuffling its portfolio, selling off chunks of previous darlings like Tesla Inc. (TSLA) and Rocket Lab Corp. (RKLB) to fund what looks like a serious bet on the genomic revolution.
The rotation isn't subtle. ARK has been loading up on gene-editing pioneers with the kind of conviction that suggests Wood thinks 2026 will be when programmable biology finally has its moment. We're talking about multi-million dollar accumulations in companies like CRISPR Therapeutics AG (CRSP), Intellia Therapeutics, Inc. (NTLA), Beam Therapeutics, Inc. (BEAM), and Pacific Biosciences of California Inc. (PACB).
The Big Picture Strategy
Wood's investment thesis here isn't just about biology. It's about what happens when you combine artificial intelligence with programmable biology. Earlier this year, she called AI's application in healthcare the most profound use case for the technology. That's a bold claim in a world where AI is being thrown at everything from customer service chatbots to self-driving cars.
The framework ARK uses is something they call the "multiomics flywheel." The idea is that AI accelerates every aspect of biological research, from generating and analyzing biological data to diagnosing diseases and developing new drugs. It creates this virtuous cycle that keeps getting faster and more powerful.
"Smarter algorithms make gene sequencing faster; cheaper sequencing gives AI more data to learn from; and breakthroughs in gene editing can open the door to new treatments," Wood explained. It's the kind of feedback loop that could either transform medicine or remain perpetually five years away from transformation, depending on which skeptic you ask.
Following the Money
By late December 2025, the portfolio shifts became impossible to ignore. CRISPR Therapeutics now represents over 5% of ARK's flagship ARKK Innovation Fund (ARKK). That's a substantial position for any single stock. Beam Therapeutics has grown to 3.41% of ARKK, while Twist accounts for 2% and Intellia sits at 1.14% of the same fund.
Beyond ARKK, ARK Invest also runs the Ark Genomic Revolution Fund (ARKG), which is specifically dedicated to investing in companies across healthcare and information technology that are riding the genomics wave. It's a focused bet on the theme that gene sequencing, editing, and therapy will reshape how we treat disease.
The question for investors is whether Wood's timing is right. Gene-editing technology has been promising for years, but commercial success has been slower to materialize than the technology itself. If AI really does accelerate drug discovery and make gene therapies more accessible and affordable, then positioning ahead of 2026 could look prescient. If not, well, ARK wouldn't be the first fund to be early on a transformative technology that took longer than expected to pay off.
