Cathie Wood’s Ark Invest has made a significant move by purchasing nearly 10,000 shares of Reddit on the social media stock’s first day of trading. The investment firm’s daily trade update revealed that the Next Generation Internet ETF (ARKW) fund acquired 5,914 shares of Reddit, while the Fintech Innovation ETF (ARKF) added 4,068 shares to their portfolio. This combined stake is valued at approximately $503 million, based on Reddit’s closing price of $50.44 per share on Thursday.
It is important to note that Reddit is a minor position in both ARKW and ARKF, and was not added to the flagship Innovation ETF (ARKK). Cathie Wood gained widespread attention in 2020 and 2021 for her aggressive growth investing style, which proved successful during the pandemic-era stock market boom. However, Ark’s funds have faced challenges in 2022, particularly when the markets experienced a pullback, causing the flagship fund to underperform the Nasdaq 100 during the recent rally.
While the exact amount paid by Ark for their Reddit shares remains unclear, this move signifies their continued commitment to innovation and growth in the evolving market landscape. Cathie Wood’s investment strategies have captured the attention of many investors, and her latest acquisition of Reddit shares further solidifies Ark Invest’s position as a key player in the investment world. Stay tuned for more updates on Ark Invest’s latest moves and insights into their investment outlook.
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