NEWSLETTER
Cathie Wood, Chief of Ark Investment Management, is known for its bold operations in technological actions.
Sometimes buy actions along the way, waiting for more profits ahead. Sometimes, she sells them during actions of shares to avoid more losses.
That is what she has just done. She sold a technology action that has dropped 14% during the last month.
Wood Background, Ark Innovation ETF (Sheet) It performed the market in 2024.
Although briefly exceeded the Nasdaq compound and the S&P 500 in January and early February, Arkk fell approximately 9% in the year until March 7, while the Nasdaq Composite and S&PS lost 5.8% and 1.9% during the same period, respectively.
Recent background struggles come largely from Tesla (Tsla) The 35% decrease this year. Tesla is the biggest tenure in the background. Tesla is also out of 46.2% since its maximum of 52 weeks, reached in December.
Opinions about wood vary. For his followers, he is a visionary with a remarkable performance of 153% in 2020. However, his long -term performance has generated doubts about his aggressive approach.
As of March 6, the ETF of innovation ARK, with $ 6.8 billion under administration, has delivered an annualized return to three years of a negative of 4.69% and a five -year yield of 0.51%.
In comparison, the S&P 500 index has a three -year annualized yield of 11.56% and a five -year yield of 15.85%.
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Cathie Wood's investment strategy explained
Wood's investment strategy is simple: its ETF Ark generally buy actions in high –tech emerging companies in fields such as artificial intelligence, blockchain, biomedical and robotic technology.
Wood says that these companies have the potential to remodel industries, but their volatility leads to large fluctuations in Ark's funds.
RELATED: The Net Heritage of Cathie Wood: The wealth and income of the CEO of the CEO of Ark Invest
The Morningstar investment firm criticized Wood and its ETF last year.
Investing in young companies with thin profits “demands prognosis prognosis talent, that Ark's investment management lacks,” wrote Morningstar Robby Grengold analyst. “The results vary from tremendous to horrible.”
Although recent tariffs have weighed a lot in stock markets, Wood expressed optimism about a change to the fallen regulation under the presidency of Donald Trump.
She said on March 4 that the Trump administration could be even better for investors that Ronald Reagan's pro-negotia, according to Bloomberg.
“The Reagan revolution, and I was there and it was very pleasant, it was the peak, the golden age of active capital management,” Wood said. “That is coming back. I think he's going back. I think this will eclipse that, and that was quite good. “
Not all investors share Wood's trust. The data firm data of the ETF Vettafi show that the ETF of Innovation ARK has faced $ 2.4 billion in net exits in the last 12 months until March 6, including an exit of $ 48.74 million in the previous five days.
Cathie Wood sold $ 4 million from Roblox
On March 6, Wood's Ark Innovation ETF sold 67,967 actions of Roblox Corp Game developer. (RBLX) .
That piece of shares was valued at approximately $ 4 million.
Roblox Stock collapsed in February and early March. Wood bought this action on February 6 and February 7, just when it began to fall after its profit -quarter profit results.
Related: The analyst says that the stock of the chosen by Cathie Wood will arise
On February 6, the online games platform published its profit report of the quarter quarter of 2024. It reported a surprising 4% drop in daily active users (DAUS), falling to 85.3 million, well below the expectations of Wall Street of 88.4 million.
The hours of commitment also decreased by 9.7%, by a total of 18.7 billion hours, indicating that even active users were spending less time on the platform.
Roblox got up during the pandemic, and has become a leader in the user -generated game space. Its platform allows players to create and share games in exchange for a part of the income.
However, the company faces controversies about security and addiction. In August 2024, Türkiye blocked access to the platform, citing concerns about child security. Roblox has appealed to the Turkish authorities, but there has not been much progress.
The Wedbush investment firm reiterated a higher Roblox rating and a sharing price objective of $ 83 after earnings.
“We are sure that Roblox will continue to boost the growth of reserves of more than 20%annually driven by growth in the central business, the implementation of advertisements and a higher income participation in paid access experiences,” the firm said.
The price of Roblox's shares fell 10.4% in February and there is not an additional 10% at the time at the beginning of March. Part of the decreases is due to a general weak stock market.
The Fund Administrator buys and sells:
- Cathie Wood sells $ 6 million from one of the best shares of 2024
- The veteran fund manager plays heads with amex, Servicenow Move
- The veteran fund manager sounds alarm in Palantir's actions
At the end of February, a massive sale in technological actions promoted by the disappointing Nvidia results dragged the Nasdaq 100 and impacted growth actions such as Roblox. In addition, the imminent rates proposed by President Donald Trump also added economic uncertainty.
Roblox is one of Wood's biggest participations in his portfolio. As of March 7, the shares represented 6.82% of the ETF of innovation ARK and was classified as the fourth largest position.
Related: The veteran fund manager presents a striking prognosis S&P 500
