ARK Invest added more than 69,000 Tesla shares for a total of about $13 million. The firm is once again taking advantage of the declining share price to benefit in the future.
Star investor ARK Invest has again stepped up Tesla purchases. In total, Cathie Wood's investment firm bought 69,329 Tesla shares for two actively managed ETFs on Tuesday, company releases show. Of these, 51,960 Tesla shares were purchased for the ARK Innovation ETF flagship product and 17,369 shares for the ARK Next Generation Internet ETF. Based on Tuesday's closing price, ARK Invest's purchase of Tesla stock was worth about $13 million.
Tesla is the largest position in the ARK Innovation ETF at just under 10%. In the ARK Next Generation Internet ETF, Tesla is ranked fourth.
Tesla's stock price performance plays a significant role in the good performance of the ARK Innovation ETF. The manufacturer's shares have recently been about 46% higher than at the end of 2022. At the peak, the increase in prices even amounted to 77%. Cathie Wood has been buying Tesla shares for the ARK Innovation ETF since October 2022, when the stock started to drop. Prior to this, the firm was actively selling Tesla shares until September 2022.
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About the Author
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.