ARK Invest, the renowned investment management firm led by Cathie Wood, has recently made some notable changes to its portfolio, including accumulating shares of Meta and Robinhood while reducing its holdings in Coinbase.
Last week, ARK Invest sold a total of 478,356 Coinbase shares, amounting to approximately $53 million, as the crypto exchange’s stock reached a 52-week high. The company’s flagship fund, ARK Innovation ETF, sold 263,247 Coinbase shares, while ARK Next Generation Internet ETF offloaded 93,227 shares, and ARK Fintech Innovation ETF sold 35,666 shares.
This move follows ARK Invest’s previous sale of 135,152 Coinbase shares worth $12 million earlier in the week. In March, the firm also sold 160,887 Coinbase shares from its ARK Fintech Innovation ETF for $13.5 million.
Interestingly, ARK Invest has been actively acquiring Coinbase shares since the downfall of FTX, once the third-largest cryptocurrency exchange globally. In June alone, ARK purchased approximately $40 million worth of Coinbase shares, adding to the roughly $33 million acquired in April and May, and $117 million worth of shares in March.
In addition to its activities in the Coinbase market, ARK Invest has been accumulating Meta shares since June when the company announced its new social media app, Threads, which has experienced rapid growth and become one of the world’s fastest-growing apps. ARK Innovation ETF recently acquired 82,352 Meta shares, valued at over $25 million.
Furthermore, ARK Fintech Innovation ETF acquired 111,843 shares of Robinhood, while ARK Innovation ETF purchased 69,793 Meta shares. The ARK Next Generation Internet ETF also holds 12,559 Meta shares and 169,116 Robinhood shares.
It is worth noting that ARK Invest had previously purchased around 560,000 shares of Robinhood, worth approximately $5.3 million at the time, in the previous month.
ARK Invest’s strategic moves reflect its focus on thematic investing in disruptive innovation. With a track record of over 40 years, the firm seeks out companies leading and benefiting from cross-sector innovations, such as artificial intelligence, robotics, energy storage, DNA sequencing, and blockchain technology.
Coinbase’s stock has experienced a rally in recent days, driven by several positive developments. The exchange was listed as a surveillance-sharing partner for several spot Bitcoin ETF applicants, including BlackRock and Fidelity. Additionally, the cryptocurrency industry achieved a win against the SEC as a US court ruled in favor of Ripple in the ongoing XRP lawsuit, affirming that selling XRP on exchanges does not constitute an investment contract. Following the ruling, Coinbase’s stock has surged nearly 25% and has gained over 201% since the beginning of the year.
These developments highlight the dynamic nature of the crypto market and the evolving landscape for investment opportunities, prompting ARK Invest to make strategic adjustments to its portfolio.
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