Cathie Wood has had a rough year, but in keeping with her reputation as a ‘true believer’, she’s seizing the opportunity to buy more shares in one of her most controversial picks as it tumbles to fresh lows.
Wood’s Ark Invest management firm purchased its largest slug of shares in crypto exchange, Coinbase Global Inc.
COIN,
since Dec. 14 on Thursday, adding more than 158,000 shares, worth about $5.5 million, to its Ark Fintech Innovation
ARKF,
exchange-traded fund, according to a CoinDesk report.
Coinbase shares slumped to a closing low of $32.53 on Wednesday, according to FactSet data. Wood reportedly made her purchase on Thursday, perhaps helping to drive a 7% rally in the company’s shares as it bounced off its latest lows.
This isn’t an isolated purchase. Wood’s funds have been buying up Coinbase shares as it has continued to slide during this fall’s crypto market carnage, according to CoinDesk. Wood’s latest purchase was her firm’s largest since Dec. 14, per the report.
The shares of Coinbase have fallen more than 86% in 2022, outpacing declines in both bitcoin and Ethereum, which are down more than 64% and 67%, respectively.
Wood’s ETFs were darlings of the post-COVID-19 speculative boom in markets. The nearly 150% return for ARKK
ARKK,
during 2020 helped catapult Wood to stardom and she has regularly appeared on CNBC and in the financial press.
However, the performance of her fund has been far more rocky over the past 18 months.
Since peaking in February 2021, shares of ARK’s flagship Ark Innovation ETF have fallen more than 80%. Shares of the fintech innovation ETF have fallen by about as much over the same period.
Wood also reportedly bought the dip in Tesla Inc.
TSLA,
this week, according to the CoinDesk report.
ARKF now holds more than $47 million in Coinbase shares, making the position its third-largest, according to the firm’s website.
A representative for Ark didn’t respond to a request for comment from MarketWatch.
Source: https://www.marketwatch.com/story/cathie-wood-closes-out-abysmal-2022-by-buying-even-more-coinbase-shares-11672418134?siteid=yhoof2&yptr=yahoo