Nikko abandons Ark

California-based Wood's investment philosophy is to invest in disruptive technology companies and Nikko has championed her various funds for a number of years.

Her flagship listed Ark Innovation exchange traded fund (ETF) has had periods of hugely out-performing the benchmark S&P 500 Index but is down nearly 15% year-to-date.

Previously, Ark had been paired with Nikko's global equities fund based in Edinburgh to make up Nikko NZ's diversified global equities strategy but, while the NZ arm is keeping the Edinburgh-based fund, it has now added London-based Royal London and JP Morgan and California-based WCM Investment Management to its diversifed global equities strategy.

Nikko's head of diversified funds and external managers, Alan Clarke, who was appointed in August last year from ANZ Investments, told a presentation for financial advisers in Wellington that including Ark had worked well in a zero-interest rate and pre-covid environment, but wa no longer appropriate for the strategy.