(Bloomberg) – Tesla Inc. For the first time in almost four-and-a-half years, Kathy Wood has lost her crown jewel status in the original fund.
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According to data compiled by Bloomberg, at least for most days since 2017, Elon Musk’s company, ARK Innovation ETF, has been leading the polar position in terms of market value in an exchange-traded fund known as ARKK. That changed on Thursday, when electronics maker Roku Inc., a firm with a market value of $ 13.2 billion, topped the list.
According to ARK Investment Management LLC compiled by Bloomberg, ARKK held Tesla shares valued at approximately 703 million as of the close of Thursday, a position of $ 717 million in Roku.
Like the ARKK’s 55% drop this year, the loss of Tesla’s star status in the ETF is a reminder of rising interest rates and the pressure on growth stocks from a darkened global economic outlook. It also came after a 33% plunge in electric car maker shares this year after a record rise in 2021.
According to Bloomberg-compiled data, ARK Investment and its flagship fund have been selling Tesla shares for at least four quarters in a row. The firm owned about 1.59 million Tesla shares at the end of March, down from about 5.79 million shares a year earlier.
ARK’s daily trading updates only show the active decisions of the management team and do not include redemption activity caused or caused by the flow of investors. Wood’s recurring mantra is that ARK invests in Horizon for at least five years and that volatility is expected in their equity selection.
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