Cathie Wood, CEO of Ark Investment Management and a well-known Money Manager, bought and sold some of her favorite stocks for the second day in a row on Thursday, which included DraftKings.

Ark funds paid $4 million for 63,585 shares of Coinbase Global, the largest cryptocurrency exchange in the United States.

Wood has been steadily increasing her Coinbase position for months.

The corporation though, lost $557 million in the fourth quarter.

Coinbase shares have fallen 66% in the last year due to the cryptocurrency market’s instability but, they have recovered 65% so far this year, aided by bitcoin’s rise.

Coinbase has risen to sixth place in Ark’s flagship Ark Innovation ETF (ARKK), moving up one spot on Thursday.

Selling Spree from Woods

Ark Innovation liquidated 127,317 shares of Exact Sciences worth $7.8 million on the selling side.

The company is well-known in the medical diagnostics industry for its Cologuard at-home colon cancer test.

Exact Sciences stock has risen 22% in 2023, boosted by excellent earnings and the wider market surge.

Yet, the stock has dropped 12% in the last year.

This year, Wood has sold over 2 million Exact Sciences shares. Yet, the corporation remains the fourth largest stake in the Ark Innovation ETF.

The Ark Next Generation Internet ETF ARKW sold 125,333 shares of DraftKings, worth at $2.4 million as of Thursday’s close.

The stock has dropped 7% in the last year but has gained 60% year to date due to the strength of the sports betting business.

DraftKings is Ark Innovation ETF’s 11th largest holding.

Wood’s Returns Fall

Meanwhile, Wood’s recent record hasn’t exactly wowed the investment community, as her young technology stocks have plummeted.

Ark Innovation has been down 37% during that time period and 76% since its top in February 2021.

Yet, the fund has returned 23% so far this year, as have tech equities in general.

Wood defends her plan by mentioning her five-year investing horizon.

However, Ark Innovation’s five-year annualized return was only 0.36% as of Feb. 23, compared to 9.79% for the S&P 500.

The fund’s performance also falls short of Wood’s aim of 15% annualized returns over five years.

According to ETF research firm VettaFi, Ark Innovation, which has $7.3 billion in assets, has had a net investment outflow of $309 million during the last five days. Yet, it has received $812 million in recent years and selling DraftKings, indicates her waning conviction in the company.

What Motivates Investors to Invest in Wood?

You may be wondering why so many investors have remained loyal to Wood. It surely helps that she had one great year.

In 2020, Ark Innovation increased by 153%.

In addition, Wood has become a rock celebrity in the financial world, constantly appearing in the media.

She teaches financial ideas in simple terms that even inexperienced investors may grasp.

Wood is not without her opponents.

Last year, Morningstar analyst Robby Greengold delivered a harsh review of Ark Innovation.

ARKK shows few signs of strengthening its risk management or capacity to traverse the difficult region it explores,” he wrote.

Wood, of course, was adamantly opposed. “I know there are companies like that one [Morningstar] that don’t comprehend what we’re doing,” she stated in a Magnifi Media interview conducted by Tifin.

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