Cathie Wood's ARK Israel Innovative Tech ETF Braces For Impact Amid Regional Warfare: 10 Stocks To Watch

As global markets brace for the geopolitical upheaval stemming from the Israel-Hamas conflict, prominent investor Cathie Wood finds her ARK Israel Innovative Technology ETF IZRL thrust into the forefront of market dynamics.

While often overshadowed by its larger counterparts, such as the ARK Innovation ETF ARKK, the smallest ARK fund with only $99 million of asset under management is now under intense scrutiny as investors closely monitor its holdings in the midst of escalating Middle East tensions.

Volatility Surrounds Cathie Wood’s ARK Israel Innovative Technology ETF

As the trading week commenced, the ARK Israel Innovative Technology ETF faced an immediate test, dropping by 5%, underscoring the heightened sensitivity of the fund to geopolitical events in the region. If this negative performance persists throughout the close, it would represent the fund’s most challenging session since mid-June 2022.

Chart: ARK Israel Innovative Technology ETF Tumbled 5% At The Opening Bell In New York

The fund boasts a diversified portfolio of 76 companies, with a predominant presence in the technology sector, constituting 53% of its holdings. Notably, the software industry commands the lion’s share at 25%, closely followed by communication equipment at 11%.

ARK Investment Management introduced the ARK Israel Innovative Technology ETF in December 2017 to trace the price movements of publicly-listed Israeli companies renowned for pioneering disruptive technologies across sectors such as genomics, healthcare, biotechnology, industrials, manufacturing, the Internet, and information technology.

While the ARK Israel Innovative Technology ETF reports flat year-to-date performance, it has experienced a notable 14% decline from its zenith in May 2023. The fund’s performance since inception mirrors this negative trajectory, currently standing at a negative 14%. Its standout period occurred between March 2020 and February 2021 when it delivered a remarkable 175% performance gain.

Read also: S&P 500, Nasdaq Set For Bleak Start To Week As Middle East Tensions Dampen Risk-On Mood: Earnings, Inflation Data In Focus

10 Israeli Stocks To Watch Amid Geopolitical Turmoil

As the uncertainty in the Middle East unfolds, a handful of stocks within the ARK Israel Innovative Tech ETF have garnered attention due to their potential significance in navigating the fund through these turbulent times. Here are 10 noteworthy stocks that investors should closely monitor:

Company	Ticker	Sector	Shares	Market Value ($)	Weight (%)	Performance YTD
CAMTEK LTD	CAMT	Information Technology	50,392	$3,191,325.36	3.43%	185%
UROGEN PHARMA LTD	URGN	Healthcare	215,272	$2,949,226.40	3.17%	55%
TABOOLA.COM LTD	TBLA	Information Technology	672,718	$2,737,962.26	2.94%	32%
TEVA PHARMACEUTICAL-SP ADR	TEVA	Healthcare	254,810	$2,400,310.20	2.58%	3%
CYBERARK SOFTWARE LTD	CYBR	Information Technology	14,063	$2,351,192.97	2.52%	29%
ITURAN LOCATION AND CONTROL LTD.	ITRN	Information Technology	79,608	$2,329,330.08	2.50%	41%
CHECK POINT SOFTWARE TECH LTD	CHKP	Information Technology	16,962	$2,324,133.24	2.49%	9%
WIX.COM LTD	WIX	Information Technology	25,543	$2,307,043.76	2.48%	18%
SAPIENS INTERNATIONAL CORP N.V.	SPNS	Information Technology	78,880	$2,270,166.40	2.44%	59%
HILAN LTD	HLTEF	Industrials	43,918	$2,256,421.42	2.42%	9.4%

Now Read: How The Israel-Hamas Conflict Could Impact Oil Markets

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