ARK Invest Continues Coinbase (COIN) Share Sales in ETF Rebalancing Efforts
This shift may suggest a potential conclusion to the sales from ARKK, unless there's a substantial uptick in Coinbase's share price.
ARK Invest, led by Cathie Wood, has executed another round of selling Coinbase (COIN) shares totaling $20.6 million across three of its exchange-traded funds (ETFs). Last week, the closing price of COIN shares stood at $153.98, per Coindesk report.
In line with ARK's strategy of maintaining a diversified portfolio, the investment firm aims to prevent any single stock from exceeding a 10% weighting within its ETFs. The surge in COIN's price, more than doubling in the final quarter of 2023, has prompted consistent selling of the crypto exchange's shares by ARK.
The Innovation ETF, holding a substantial position in Coinbase stock valued at over $850 million, recently saw its COIN weighting decrease to 10.04% following the latest offload. This shift may suggest a potential conclusion to the sales from ARKK, unless there's a substantial uptick in Coinbase's share price.
While ARK's Next Generation Internet (ARKW) and Fintech Innovation ETFs carry a relatively smaller amount of Coinbase shares, their respective weightings remain slightly higher, at 10.37% and 13.41%, respectively.
ARK Invest's ongoing rebalancing efforts align with its strategy to uphold diversified portfolios across its ETFs, ensuring no single stock disproportionately influences the overall value.
