ARK Invest Adds $16M in Coinbase and Robinhood Amid Market Dip

• ARK bought $4.09M worth of Coinbase and $12.06M of Robinhood during a market pullback.
• The purchases came as COIN fell 1.55% and HOOD dropped 3.44% amid US-Iran war tensions.
• Robinhood’s buying comes ahead of its “Take Flight” event, where new banking and AI tools are expected.

ARK Invest added to its positions in Coinbase and Robinhood on Tuesday as crypto-linked stocks pulled back. The firm purchased 22,452 Coinbase shares across ARKK, ARKW, and ARKF. Based on the closing price of $182.36, the position is worth roughly $4.09 million.

It also bought 158,587 Robinhood shares through the same ETFs, valued at about $12.06 million using the $76.07 closing price. As a result, the new exposure totals just over $16 million.

Stocks Slide as War Weighs on Risk

The buying came during broad market weakness tied to the US-Iran war, which entered its fifth day on Wednesday. The Nasdaq Composite fell 1% Tuesday. The S&P 500 declined 0.94%.

Coinbase closed down 1.55%. Robinhood dropped 3.44% in regular trading and fell as much as 2% in overnight trade. HOOD is down 33% year-to-date, largely due to weaker crypto trading revenue.

ARK’s flagship ARKK ETF fell 2.64% in regular trade and another 1.73% after hours. ARKW slid more than 1% during the session and dipped 0.45% overnight. ARKF edged 0.5% lower in regular trading and 0.68% after hours.

Retail sentiment on Stocktwits remained bullish for ARKK, neutral for ARKF, and shifted from bullish to neutral for ARKW.

Positioning Ahead of ‘Take Flight’

The Robinhood purchase comes ahead of the company’s “Take Flight” event scheduled for 7:30 PM ET at the TWA Hotel at JFK Airport on Wednesday.

CEO Vlad Tenev is set to introduce new products focused on wealth management and financial planning. The company has been shifting toward a financial super-app model, integrating advisory tools and AI features into its platform.

Portfolio Weight and Strategy

After the latest purchase, Coinbase ranks as the sixth-largest holding in ARKK with a 4.21% weighting valued at about $281.2 million as of March 3. Robinhood ranks seventh at 4.07%. Circle stands eighth at 4.05%.

Within ARKW, Robinhood is the fifth-largest holding, while Coinbase holds the eighth position. Across Ark ETFs, Coinbase and Robinhood account for roughly 3% to 6% of assets, depending on the fund. 

Importantly, ARK caps any single holding at around 10% of a portfolio, which forces periodic rebalancing during sharp moves.

Earlier this month, ARK bought more than $32 million worth of Robinhood shares across two ETFs. The firm also added exposure to Coinbase, Bullish exchange, and Circle.

Related: Ark Invest CEO Cathie Wood Says the U.S. Economy is a “Coiled Spring”