Ark Invest, an investment organization, is a major player in the crypto market. Its CEO has expressed interest in the industry multiple times even aggressively buying up shares in major crypto compainies.
This particular company is now at the forefront of the race towards obtaining approval for crypto exchange-traded funds (ETFs) in the United States.
However, it appears that the company is already considering an expansion beyond the United States through investments and acquisitions. Ark Invest boasts a substantial portfolio, currently valued at over $25 billion in the US.
Recently, they expanded outside of the US by acquiring Rize ETF, a UK-based investment firm previously owned by AssetCo and founded in 2019.
AssetCo owned about 70% of the stake in Rize ETF before selling them to Ark Invest. Now the purchase has been completed, this firm will be renamed Ark Invest Europe. The parent company of Ark Invest has already slated funds that will go into the development of the newly acquired crypto company. So, Ark Invest will be hoping to add approximately $452m (£365.8m) in assets to the newly acquired Ark Invest Europe.
However, it looks like the collaboration between the different companies involved in this transaction won't end anytime soon. In a new development, the three business entities here, including AssetCo, Ark, and the new Invest Europe platform, will be coming together again under a new partnership.
This new partnership will lead to the launch of several ETFs. Apparently, this plan was the initiative of River & Mercantile – the active equity management subsidiary of AssetCo. Furthermore, Ark Invest has reiterated that all 11 ETFs under the former management of Rize ETF are still available to investors.
Cathie Wood Speaks About The New Acquisition
The celebrity CEO of Ark Invest, Cathie Wood, has spoken about the new acquisition of Rize ETFs. According to her, their recent investment further solidified their idea of providing the best investment options for their clients.
"Today’s acquisition advances Ark Invest’s commitment to offer high-quality thematic investment solutions to a global investor audience, particularly European investors who have not been able to access our products," they said.
Another primary reason Ark Invest is expanding in Europe is because they firmly believe they will have a prosperous user base there. Cathie Wood said they were coming to the European market because they believed they would find new and younger investors there.
"We believe that the European ETF market presents a strong growth opportunity as new and younger investors continue to gain access to ETFs via the growth of digital platforms, and as active ETFs increase market share by meeting the demand for innovative investment exposures.
We are delighted to welcome the talented Rize ETF team into the Ark family. By merging its passion for thematic and sustainable index investing with Ark’s innovative, actively managed approach centered on disruptive innovation, we can offer our clients a more diverse array of investment options to invest in the future," Cathie Wood said.