It has been a very mixed week for Ark Invest and Cathie Wood following Chinese woes, Robinhood’s IPO, and a new, anti-ARK ETF emerging.
Aug. 6, 2021
So far, ARK Invest and its flagship ARK Innovation ETF (NYSEARCA: ARKK) have had a positive, albeit marginally so, start to August, having suffered an 8.2% drop in July. Most of these gains came following wider market volatility and concerns around U.S.-listed Chinese stocks such as JD.com (NYSE: JD).
Meanwhile, it appears to have sold off a sizeable chunk of its largest holding, Tesla (NASDAQ: TSLA), dumping 63,643 shares, estimated to be worth about $43.7 million. Of course, this is not massive in the grand scheme of things, especially with CEO Cathie Wood likening Tesla to Big Tech giant Apple this week in its innovation. It could also have been a way to raise funds for other purchases, including its now-$250 million stake in recently IPO’d Robinhood.
However, the sharks are circling following recent losses, in the form of a proposed ETF from Tuttle Capital Management. This Short ARKK ETF would enter swap contracts to bet against the flagship fund from Cathie Wood, according to its prospectus. However, Cathie Wood is unlikely to lose any sleep over this. You don’t get to the top of your field without ruffling a few feathers.
Ark Invest’s buys for the week
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