Three Funds at Cathie wood’s Ark Investment Management bought nearly 750,000 shares of the biggest U.S. cryptocurrency exchange Coinbase Global Inc. on its highly anticipated trading debut Wednesday.
According to the fund’s data, the flagship Ark Innovation ETF, Ark Fintech Innovation ETF, and Ark Next Generation Internet ETF bought a combined 749,205 shares of Coinbase. Based on Coinbase’s closing price of $328.28 per share, their stake is worth about $246 million.
The ARK Innovation fund added $ 168 million in Coinbase stock and the remaining amount of the money to the rest two funds.
Founded in 2014, ARK Invest specializes in what it calls “thematic investing in disruptive innovation”. The firm’s ARK Innovation fund has a stake in companies like Square, Shopify, and Zoom. Its saws their assets under management rise from $ 1.86 billion ends of 2019 to almost $22 billion in March this year.
To make room for the Coinbase stock, ARK sold Tesla shares worth about $178million. But, the stoke is still by far their biggest bet by weightage on three of their significant funds. Also, Wood’s funds sold $ 4.4 million stakes of Intercontinental Exchange, the operator of the New York Stock Exchange (NYSE).
Last Month ARK said it expected Tesla stock to reach $ 3,000 by 2025. Ark Next Generation sold 57,043 shares of electric car maker Tesla Inc. on Wednesday. It still the largest combined holding for ARK Innovation ETF and the ARK Next Generation Internet ETF.
As we recent news on Wednesday, Coinbase debuted its stock COIN on Nasdaq via the direct listing and concluded its first day of public trading with a share price of $328- up 31% from the reference price of $250.
