Cathie Wood Blasts Trump’s Tariffs, but Remains Optimistic About Innovation

CN
6 hours ago

Cathie Wood, CEO, chief investment officer, and founder of Ark Invest, a Florida-based investment firm with nearly $7 billion in assets under management (AUA), published a video on Tuesday accusing U.S. President Donald Trump of creating “turbulent times” with his antagonistic tariff strategy. However, she predicted that tech innovation will thrive under the adverse economic conditions Trump’s policies are creating.

The 70-year-old Wood who once said she holds at “at least” 25% of her personal wealth in “crypto, primarily bitcoin,” used to run her own hedge fund in 1998, before becoming a portfolio manager at Alliancebernstein, the Nashville-based asset management behemoth with more than $800 billion in AUA. It was there where she got the idea of investing in volatile equities in the tech innovation sector. She left Alliancebernstein in 2014 to create Ark after her former employer deemed her ideas too risky.

And now, after more than a decade of investing in everything from artificial intelligence to biotech and space exploration to crypto, Wood says tough times spur innovation and ultimately create investment opportunities. She makes it clear that Trump is creating a tough economic environment, but also underscores that Ark only stands to benefit.

“Tariffs are tax increases. Tax increases are bad for economic growth,” Wood said. “I always say innovation gains traction during turbulent times and tariff turmoil has created turbulent times.”

Wood explained that unfavorable economic circumstances force people to become more amenable to change. External pressures create new processes that are cheaper, faster, and better. While she thinks Trump has dealt a significant blow to the global economy, she is simultaneously excited to see the innovation that will result from the fallout.

“We’re actually very optimistic about the future,” Wood said.

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