In recent developments, Cathie Wood’s investment management firm, Ark Invest, has sold a portion of its Coinbase shares while actively investing in Meta Platforms and Robinhood Markets. After acquiring a significant number of Coinbase shares during the bear market, Ark Invest divested 478,356 COIN shares valued at $53 million. This decision coincided with Coinbase’s stock reaching a yearly high of $114.43.
The divestment involved three of Ark Invest’s flagship funds. The ARK Innovation ETF sold 263,247 COIN shares, the ARK Next Generation Internet ETF sold 93,227 COIN shares, and the ARK Fintech Innovation ETF offloaded 35,666 COIN shares.
Meanwhile, Cathie Wood initiated investments in Meta Platforms following the launch of their social media app “Threads,” which resembles Twitter. The ARK Innovation ETF acquired 69,793 META shares, and the ARK Fintech Innovation ETF purchased 111,843 shares of Robinhood. Additionally, the ARK Next Generation Internet ETF increased its holdings with 12,559 META shares and 169,116 Robinhood shares.
Coinbase’s stock price experienced a 33% surge during the week, reaching a 24-hour high of $114.43, and showing a remarkable year-to-date increase of 213%. This rise was attributed to positive market sentiment towards crypto-related stocks and the outcome of the US SEC v. Ripple lawsuit.
Previously, Ark Invest had already sold Coinbase shares, with the ARK Innovation ETF selling 135,152 COIN shares worth $12 million in July and the ARK Fintech Innovation ETF selling 160,887 COIN shares in March.
This article highlights the shifting investment strategy of Ark Invest, with a focus on diversifying its holdings within the cryptocurrency and tech sectors. By reducing its Coinbase exposure and increasing investments in Meta Platforms and Robinhood, Cathie Wood’s firm aims to capitalize on potential growth opportunities presented by these emerging platforms.
Overall, this news showcases the dynamic nature of investment management and the strategies employed by prominent investors like Cathie Wood in response to evolving market conditions and emerging trends in the crypto and tech sectors.