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Cathie Wood’s ARK Invest Sells $31M of Robinhood Shares, Increases Stake in Roblox

Cathie Wood Robinhood sell

YEREVAN (CoinChapter.com) — Cathie Wood’s ARK Invest, a prominent investment management firm, has begun selling off substantial quantities of Robinhood (HOOD) stock. Robinhood is known for its crypto-friendly brokerage services.

ARK Invest Sells Over $31M in Robinhood Shares Across Key ETFs

On March 25, ARK Invest sold off 1.6 million shares of Robinhood across three of its funds. These shares were valued at $31.5 million, judging by Robinhood’s closing price of $19.08 on Tuesday, data from TradingView shows.

The ARK Innovation ETF (ARKK) spearheaded the sell-off. It released 1,247,181 shares, totaling about $24 million. Additionally, ARK sold 275,933 Robinhood shares from its Next Generation Internet ETF (ARKW). Another 128,137 shares were sold from the Fintech Innovation ETF (ARKF).

ARK’s $31M Robinhood Sale, Ups Roblox Stake – Altcoin Alerts

ARK Invest Cashes in on Robinhood Surge, Adjusts Assets

ARK Invest’s recent sale of Robinhood shares marks its largest since the firm began aggressively buying up HOOD stock last year. This move comes even as Robinhood’s price soared by 36% in the last 30 days, showcasing significant success.

Before this, ARK had been selling smaller chunks of Robinhood shares. The need to comply with Rule 12d3-1, which limits funds from holding securities exceeding 5% of their total asset value, primarily drove these sales.

Following the sale of $24 million worth of Robinhood shares, ARK’s ARKK now ranks HOOD as its eighth-largest asset, making up 4.3% of its total $8.2 billion in assets under management.

As of March 26, the top three assets in ARK’s ARKK portfolio are Coinbase (COIN), making up 10.6%, Tesla (TSLA) at 8.4%, and Roku (ROKU) accounting for 7.5%.

ARKK’s top nine assets by value as of March 26, 2024. Source: ARK Invest

ARK Balances Portfolio: Sells Robinhood, Buys $27M in Roblox

As ARK Invest was selling off Robinhood shares, it was simultaneously buying up shares of the online gaming platform Roblox (RBLX). On March 25, ARK added 740,115 Roblox shares to three of its funds, including ARKK, ARKW, and ARKF. These shares were valued at $27 million based on Monday’s closing price.

Divesting Moves: ARK Invest Sells $21M in Coinbase Shares

Alongside its Robinhood shares, ARK Invest also continued to sell off its Coinbase holdings, letting go of 4,291 COIN shares on Monday. This sale amounted to approximately $21 million by Tuesday morning.

On March 20, 2024, Robinhood expanded its offerings by launching a self-custodial wallet, the Robinhood Wallet app, for Android users.