Cathie Wood”s ARK Invest has recently made significant adjustments to its investment portfolio, highlighted by the sale of a substantial number of GitLab shares. On November 28, the firm offloaded 208,528 shares of GitLab, generating approximately $8.46 million. This move follows a previous divestiture on November 25, when ARK sold 646,911 shares worth around $26.8 million. These transactions indicate a strategic reduction in ARK”s stake in the software development firm, which specializes in DevOps solutions.
The sales were executed primarily through the ARK Innovation ETF and the ARK Next Generation Internet ETF, showcasing the firm”s ongoing recalibration of its tech investments. GitLab, known for providing tools for software development and version control, appears to be losing favor in ARK”s investment strategy.
In addition to the GitLab sales, ARK also trimmed positions in other technology stocks on the same day. The firm sold 89,446 shares of Iridium Communications, valued at approximately $1.47 million. Iridium operates a satellite communications network that delivers voice and data services globally. Furthermore, ARK divested 22,281 shares of Ibotta, a cash-back rewards platform, worth about $523,000, and 918 shares of Exact Sciences, which specializes in cancer screening and diagnostic tests, for around $93,000.
Amid these sell-offs, ARK shifted its focus towards increasing its cryptocurrency exposure by purchasing 70,125 shares of the ARK 21Shares Bitcoin ETF, valued at approximately $425,000. This purchase demonstrates ARK”s commitment to the cryptocurrency space, particularly in light of its ongoing positive outlook on Bitcoin.
The ARK 21Shares Bitcoin ETF, which trades under the ticker ARKB, has been part of a growing trend, with ARK making multiple acquisitions of this ETF in recent trading sessions. Launched earlier in 2024, ARKB is among the first wave of spot Bitcoin ETFs approved by regulators, reflecting a significant milestone in the accessibility of Bitcoin investment options.
ARK Invest is recognized for its thematic ETFs that focus on disruptive innovation across various sectors. The recent trades underscore Wood”s active management approach, aimed at aligning the portfolio with evolving market conditions and research insights. As a requirement for ETF managers, ARK”s daily trade disclosures provide transparency regarding their buying and selling activities, allowing investors to track the firm”s strategic shifts.
