
Arkk's investment strategy focuses on disruptive innovation, with a portfolio that includes companies like Tesla and Square.
The platform's emphasis on innovation has led to significant returns, with some investments seeing growth of over 1000%.
With a low-cost trading platform, Robinhood makes it easy to get started with Arkk's investment strategy.
Investors can access a range of financial products, including options and ETFs, to diversify their portfolios.
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ARK's HOOD Stock Activity
ARK Invest has been actively buying and selling Robinhood (HOOD) stock, with the firm's latest sale totaling $31.5 million on March 25.
ARK Invest started dumping large amounts of Robinhood stock for the first time after aggressively buying HOOD shares last year. The sale is the largest one since the company started actively stacking HOOD stock last year.
ARK's ARKK holds HOOD as its eighth-largest portfolio asset, accounting for 4.3% of its entire $8.2 billion assets under management. The top three assets are Coinbase (COIN), Tesla (TSLA), and Roku (ROKU), which make up 10.6%, 8.4%, and 7.5%, respectively.
Here's a breakdown of the HOOD sales:
- ARKK: 1,247,181 shares, worth $24 million
- ARKW: 275,933 shares, worth $5.3 million
- ARKF: 128,137 shares, worth $2.5 million
Cathie Wood Sells Shares
Cathie Wood's ARK Invest has been making headlines with its recent activity in Robinhood stock, also known as HOOD.
The firm started dumping large amounts of HOOD stock for the first time after aggressively buying HOOD shares last year. This move was seen as a significant shift in ARK's investment strategy.
On March 25, ARK dumped 1.6 million HOOD shares from its three funds, worth $31.5 million. The majority of these shares were offloaded from the ARK Innovation ETF (ARKK), worth about $24 million.
The sales came amid Robinhood seeing significant success, with its price surging 36% over the past 30 days. This surge in HOOD stock price was capitalized by ARK, generating a significant sale.
ARK's latest Robinhood sale is the largest one since the company started actively stacking HOOD stock last year. The firm's ARKK holds HOOD as its eighth-largest portfolio asset, accounting for 4.3% of its entire $8.2 billion assets under management.
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Here's a breakdown of the HOOD shares sold by ARK:
- ARK Innovation ETF (ARKK): 1,247,181 shares, worth $24 million
- ARK Next Generation Internet ETF (ARKW): 275,933 shares, worth approximately $5.3 million
- ARK Fintech Innovation ETF (ARKF): 128,137 shares, worth approximately $2.5 million
While ARK was dumping HOOD shares, it continued buying more shares of the online game platform Roblox (RBLX). On March 25, ARK acquired 740,115 Roblox shares for its three funds, including ARKK, ARKW, and ARKF, worth $27 million.
ARK's continued divestment in HOOD stock suggests a bearish outlook for the company in the long run. However, the HOOD stock price has been surging since the acquisition of Bitstamp, with a 5.59% gain on Monday and a 2.13% drop in pre-market trading on Tuesday.
On a similar theme: Arkk Investment
ARK Buys $9.5M HOOD Shares Post-European Expansion Announcement
ARK Invest purchased a large chunk of shares in Robinhood, a day after the company announced plans to expand in Europe.
The combined purchase of 1,141,046 shares had a value of $9.54 million based on Wednesday's close of $8.36.
Robinhood plans to launch brokerage operations in the U.K. and crypto trading in the EU following its U.K. launch, with an experienced team in place.
Bitcoin's year-to-date gain of 110% failed to boost demand for shares in Robinhood, which traded just 2.7% higher on a year-to-date basis.
ARK's Holdings and Portfolio
ARK Invest, the investment management firm behind the ARKK ETF, has a diverse portfolio that includes a range of innovative companies.
The firm's investment approach focuses on identifying growth opportunities in emerging technologies, such as artificial intelligence, electric vehicles, and gene editing.
As of 2022, the ARKK ETF holds a portfolio of over 70 stocks, with a market capitalization of around $10 billion.
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Strategic Accumulation in Market Fluctuations
Ark Invest has been steadily increasing its stake in Robinhood, a strategy that's not new to the company. This approach is evident in its recent shopping spree where it acquired 1.1 million Robinhood shares, funneling approximately $9.5 million into the trading app.
The acquisition was a group effort, with three of Ark's ETFs - ARKK, ARKW, and ARKF - participating in the buy. ARKK led the charge, claiming a significant portion of the purchase.
Despite short-term market backlash, Ark Invest is betting on Robinhood's long-term potential. This is a calculated move, as the company has been gradually increasing its stake in Robinhood over time.
Robinhood's ambition knows no bounds, with plans to expand its brokerage services to the European market, targeting the United Kingdom as a potential launchpad.
Intriguing read: Is Robinhood Good for Long Term Investing
Coinbase a Top Holding in ARK Funds
ARK's Robinhood sale involved three funds, and among them, the ARKK fund holds a significant stake in Coinbase. The ARKK fund holds $368 million in Coinbase shares, which accounts for 6.6% of its total portfolio.
Coinbase ranks as the third-biggest asset in the ARKK fund, after Tesla and Roku.
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Sources
- https://coingape.com/news/stocks/cathie-woods-ark-invest-dumps-7m-robinhood-shares-hood-stock-dips-2/
- https://cryptonews.net/news/finance/27815429/
- https://cointelegraph.com/news/ark-invest-cathie-wood-sell-36-million-robinhood
- https://cointelegraph.com/news/ark-sell-31m-robinhood-stacks-roblox
- https://www.coindesk.com/markets/2023/11/09/ark-snaps-up-95m-hood-shares-day-after-robinhood-announces-european-expansion
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