Q: My TFSA, holds my riskier investments and is 3 % of my total registered and non-registered accounts. I am looking at adding one of these two for a weighting of 25 % within my TFSA, so total allocation of this ETF to all accounts would be less than 1 %.
What is the difference between them and which is more appropriate? Thanks. Derek.
What is the difference between them and which is more appropriate? Thanks. Derek.
5i Research Answer:
ARKK:US is the original ARK Innovation ETF led by Cathie Wood, which has $8B in AUM, an MER of 0.75%, and includes names such as TSLA, ZM, ROKU, PATH, COIN, etc.
ARKK:CA is the BMO ARK Innovation fund ETF, which has a partnership with ARK LLC, and this fund is essentially a duplicate of ARKK:US. The fund has an AUM of $12.8M (much less liquid than ARKK:US), an MER of 0.85% (slightly higher than ARKK:US), but has the same holdings. It is a more expensive fund due to its higher MER and has lower liquidity, but it trades in Canadian dollars which may be an advantage for some investors.
If currency is not an issue for an investor, we would prefer ARKK:US here.