(Bloomberg) – Cathie Wood has ramped up her purchases of Tesla Inc stock. in the fourth quarter even as concerns about CEO Elon Musk’s ability to manage the business grow, which could indicate her faith in billionaires and electric cars.
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Exchange-traded funds backed by Ark Investment Management LLC have purchased more than 445,000 shares of the electric vehicle maker since October 3, when they began their latest buying streak, according to Ark trading data compiled by Bloomberg synthetic. This is the first of seven quarters that Ark has been a net buyer of Tesla stock.
Ark’s purchases in the final quarter to date amount to about $88 million based on Tesla’s average transaction price from October 3 to December 20. Even so, the share of Ark. Tesla in the company’s flagship fund has dropped to third place from the lead it had before October thanks to a 61% drop in share price this year, poised for its worst annual return since up to now.
Musk has come into the spotlight due to growing criticism of his involvement in Twitter Inc. as well as growing concern from investors, who have spoken out about the need for governance changes at the electric vehicle maker. Longtime investor Ross Gerber, CEO of Gerber Kawasaki Wealth Management, recently tweeted about the alleged lack of leadership at Tesla and said it was “time for a reshuffle”.
Wood’s flagship Ark Innovation ETF shares are down 66% on the year compared with the Nasdaq 100 Index’s 32% drop as the Federal Reserve’s historic tightening and global recession fears continue to batter stocks. growth coupon.
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