Its flagship ETF, Ark Innovation, has lost 46% over the past year but has rallied 22% year to date.
Like the Energizer bunny, Cathie Wood, chief executive of Ark Investment Management, keeps going, with repeated trades in big-name stocks.
On Tuesday, the Ark funds bought 50,229 shares of world coinbase (CURRENCY) – Get a free reportthe largest cryptocurrency exchange in the US, valued at $3.2 million at that day’s close.
The company’s shares have fallen 68% in the past 12 months amid turmoil in the cryptocurrency market. But they have rallied 83% this year, helped by bitcoin’s rally.
Coinbase is the fourth largest stake in Wood’s flagship Ark Innovation ETF (ARKK) – Get a free report.
DO NOT MISS: cathie wood plows million On your most recent investment
Ark Buy block, Sell Exact Sciences
Also, Ark Fintech Innovation ETF (ARKF) – Get a free reportseized 17,221 shares of Block (square) – Get a free reportvalued at $1.1 million as of Tuesday’s close.
Block shares have fallen 14% since March 21 as short sellers Hindenburg Research published a harsh criticism of the payment services company. It has lost 52% in the last year. Block is the third largest stake in Ark Fintech Innovation.
On the sell side, Ark Innovation sold 21,585 shares of exact Sciences (EXA) – Get a free report, valued at $1.4 million as of Tuesday’s close. The company is a medical diagnostic provider famous for its Cologuard home colon cancer test.
Exact Sciences shares are up 35% so far in 2023, buoyed by strong earnings, but are down 7% over the past year.
Ark has divested more than 3 million shares of the company by 2023. But Exact Sciences remains the fifth largest stake in Ark Innovation.
Wood’s lagging returns
Meanwhile, Wood’s performance hasn’t exactly set the investment world alight over the past year, as his young tech stocks have tumbled. Ark Innovation is down 46% over that period and 76% since its February 2021 peak.
Nonetheless, the fund has rallied 22% year to date as tech stocks have generally rallied.
Mama Cathie, as Wood is known to her followers, defends her strategy by noting that she has an investment horizon of five years. But the five-year annualized return for Ark Innovation with assets of $7.2 billion was just 0.64% through March 28, compared with 10.73% for the S&P 500.
The fund’s return is also nowhere near Wood’s target of 15% annualized returns over five-year periods.
Ark Innovation saw a net investment outflow of $304 million over the past five days. But it enjoyed a net inflow of $156 million over the past year, according to ETF research firm VettaFi.
Get investment guidance from trusted portfolio managers without the management fees. enroll in Action Alerts MORE now.