How do, or don’t, the different quarterly products fit together in a portfolio?
ARK offers four different buffered ETFs (ARK’s Defined Innovation Exposure Term ETFs – ARK DIET), each launched in a different quarter of the year:
- ARKD – Starts in January
- ARKI – Starts in April
- ARKE – Starts in July
- ARKT – Starts in October
Each one runs on a separate 12-month outcome period, but they all follow the same general structure. This setup allows an investor to:
- Invest throughout the year, not just once annually.
- Stagger exposure by investing in different quarters, creating a "ladder" of outcomes.
- Diversify entry points, which can help manage timing risk and smooth returns over multiple market cycles.
For example, an investor might invest 25% of their buffered ETF allocation in each quarter’s launch. That way, they're not relying on just one 12-month period for their entire return profile.
This approach brings flexibility and adaptability to your portfolio, especially when managing cash flows, taxes, or market volatility.