For the first time, Ark Investment Management is shutting down one of its exchange-traded funds (ETF).
The investment management company led by Cathie Wood says it is closing its ARK Transparency ETF (CTRU), which launched at the end of last year.
The Transparency ETF held troubled stocks such as Teladoc Health (TDOC) and Spotify (SPOT) that have each fallen more than 50% this year.
The fund had aimed to invest in companies that received high scores on transparency, according to Ark Invest.
Ark said in a written statement that Transparency Global, which shaped the fund’s underlying index, will stop calculating the portfolio at the end of July making it difficult to benchmark the ETF and keep it operating.
The Transparency ETF fell more than 30% this year and had about $12 million U.S. in assets, a small amount of the $9 billion U.S. in Wood’s flagship Ark Innovation fund.
Ark Invest, and Cathie Wood, have come under criticism this year for investing in high growth, unprofitable technology stocks that have been hardest hit in the market downturn.