(Nov 21): Cathie Wood’s flagship fund bought Nvidia Corp shares on Thursday following the company’s blowout earnings, reiterating her firm Ark Investment Management’s bullish stance on the chip bellwether.
Ark Innovation ETF, an actively managed exchange-traded fund incorporated in the US, bought 93,374 shares of Nvidia on Thursday, according to the ETF provider’s daily trading data. That was the first purchase of Nvidia stock by any Ark fund since Aug 4, data compiled by Bloomberg show.
A rally in Nvidia shares fizzled on Thursday after investors shrugged off a stronger-than-expected revenue forecast and assurances that the AI economy isn’t in a bubble. After initially climbing more than 5%, the stock closed down 3.2% at US$180.64 in New York. The broader market also declined, as investors dialed back bets on a possible Federal Reserve interest-rate cut in December.
Asian AI stocks followed US losses, with equity benchmarks for South Korea and Taiwan both falling by more than 3% Friday.
Before Thursday’s purchase, Ark Investment held more than 1.1 million shares in the world’s most valuable company as of Sept 30, data compiled by Bloomberg show.
The daily trading updates from Ark show only active decisions by the management team and do not include creation or redemption activity caused by investor flows. The price of Ark’s flagship ETF has dropped more than 20% from a peak in October, compared with a decline of 4.3% in the Nasdaq 100 Index over the same period.
See also: US accuses four of smuggling advanced Nvidia chips to China
Uploaded by Magessan Varatharaja
