GBTC - Tracking Cathie Wood's ARK Invest 13F Portfolio - Q4 2022 Update

Summary

• ARK Invest’s 13F portfolio value decreased from $14.35B to $11.54B this quarter.
• They increased Tesla, Ginkgo Bioworks, and Coinbase Global stakes while decreasing NVIDIA, Fate Therapeutics, and TuSimple Holdings during the quarter.
• The top three positions are Exact Sciences, Zoom Video, and Tesla, and they add up to ~18% of the portfolio.

This article is part of a series that provides an ongoing analysis of the changes made to ARK Invest' 13F portfolio on a quarterly basis. It is based on their regulatory 13F Form filed on 1/24/2023.

ARK Invest was founded by Cathie Wood in 2014. They manage several actively managed ETFs, index ETFs, and certain other international products. Assets Under Management ((AUM)) has come down from over $50B at the peak to ~$12B now. They invest in what they term "disruptive innovation". The actively managed ETFs are ARK Innovation ETF ( ARKK ), ARK Autonomous Tech & Robotics ETF ( ARKQ ), ARK Next Generation Internet ETF ( ARKW ), ARK Genomic Revolution ETF ( ARKG ), ARK Fintech Innovation ETF ( ARKF ), and ARK Space Exploration & Innovation ETF ( ARKX ).

This quarter, ARK Invest' 13F portfolio value decreased ~20% from ~$14.35B to ~$11.54B. The number of holdings decreased from 250 to 232. There are 40 securities that are significantly large, and they are the focus of this article. The top three holdings are at ~18% while the top five are at ~26% of the 13F assets: Exact Sciences, Zoom Video, Tesla Inc., Block Inc., and UiPath. Please visit our previous update for the fund's moves during Q3 2022.

Note 1: Unlike other investment management businesses, ARK is pioneering an open source model of investment research through a couple of initiatives: a) Valuation models on businesses are being made available to the public through GitHub , and b) daily trades are available to anyone who signs up for it. The open source model along with the outlandish forecasts has attracted criticism as well: last April, RIA lawyers urged SEC enforcement action.

Note 2: The 13F data on which this article is based is as of 12/31/2022. Updated daily holdings data for each of their ETFs are publicly available . The stakes in Tesla, Coinbase Global, and Twist Bioscience were substantially increased since the quarter ended.

Note 3: Although as a percentage of the overall portfolio the positions are very small, it is significant that they have sizable ownership stakes in the following businesses: 908 Devices ( MASS ), Archer Aviation ( ACHR ), Accolade ( ACCD ), Arcturus Therapeutics ( ARCT ), Blade Air Mobility ( BLDE ), Berkeley Lights ( BLI ), Compugen ( CGEN ), Codexis ( CDXS ), Cerus Corp. ( CERS ), Markforged ( MKFG ), Nextdoor ( KIND ), Nano Dimension ( NNDM ), Personalis ( PSNL ), Quantum-Si ( QSI ), Repare Therapeutics ( RPTX ), Surface Oncology ( SURF ), and Vuzix Corp ( VUZI ).

Stake Increases:

Tesla Inc. ( TSLA ) : TSLA is a top-three position in the portfolio at 4.94%. It was already a small position in their first 13F filing in 2016. Recent activity follows. Q1 2021 saw a ~40% stake increase at prices between ~$199 and ~$293. The last six quarters had seen the position reduced by ~80% at prices between ~$217 and ~$407. The stock currently trades at ~$160. This quarter saw a ~13% stake increase.

Roku Inc. ( ROKU ) : ROKU is a large 4.27% of the portfolio position built in the 2019-20 timeframe at prices between ~$33 and ~$357. The last four quarters saw another ~150% stake increase at prices between ~$56 and ~$345. The stock is now at $52.58. There was a marginal increase this quarter.

Note: they have a ~10% ownership stake in Roku.

Twilio Inc. ( TWLO ) : The 3.14% of the portfolio TWLO stake was built during the four quarters through Q2 2021 at prices between ~$224 and ~$435. Next quarter saw a ~13% trimming while the last five quarters have seen a ~130% stake increase at prices between ~$43 and ~$369. The stock currently trades at $59.42.

Coinbase Global ( COIN ) : COIN had an IPO in April 2021. Shares started trading at ~$290 and currently go for ~$53. The 2.82% position was built during Q2 & Q3 2021 at prices between ~$225 and ~$342. Q4 2021 saw a ~22% trimming at prices between ~$231 and ~$343 while the next two quarters saw a roughly two-thirds stake increase at prices between ~$49 and ~$252. There was a ~14% trimming last quarter while this quarter saw a ~19% stake increase.

DraftKings ( DKNG ) : DKNG came to market through a De-SPAC transaction in Q1 2021. The 2.47% of the portfolio stake was built through consistent buying every quarter since at prices up to ~$70. The stock is now at $14.30. The last two quarters have seen only minor adjustments.

Note: they have a ~6% ownership stake in DraftKings.

Ginkgo Bioworks Holdings ( DNA ) : The 2.11% DNA stake was built over the last five quarters at prices between ~$1.50 and ~$14. The stock is now near the low end of that range at $1.75.

Note: they have a ~12.5% ownership stake in Ginkgo Bioworks Holdings.

CareDx Inc. ( CDNA ), Grayscale Bitcoin Trust (GBTC), Schrodinger Inc. ( SDGR ), Twist Bioscience ( TWST ), and Verve Therapeutics ( VERV ) : These small (less than ~2% of the portfolio each) stakes were increased during the quarter.

Note: they have significant ownership stakes in the following businesses: CareDx and Twist Biosciences.

Stake Decreases:

Exact Sciences ( EXAS ) : The ~7% EXAS stake is currently the largest position in the portfolio. It was built over the last nine quarters through consistent buying every quarter at prices between ~$32 and ~$155. The stock currently trades at ~$65. There was a ~9% trimming this quarter.

Note: they have a ~9% ownership stake in Exact Sciences.

Zoom Video ( ZM ) : The large (top three) 6.23% of the portfolio ZM stake was built over the last two years through consistent buying every quarter at prices between ~$74 and ~$559. The stock currently trades below the low end of that range at $71.58. This quarter saw a minor ~3% trimming.

Block Inc. ( SQ ) : SQ was a small stake in the portfolio in their first 13F filing in 2016. The position was built during the 2018-20 timeframe at prices between ~$40 and ~$99. H1 2022 saw a ~45% stake increase at prices between ~$58 and ~$164. The stock currently trades at ~$81, and the stake is now at 4.90% of the portfolio. The last two quarters have seen only minor adjustments.

UiPath Inc. ( PATH ) : PATH had an IPO in April 2021. Shares started trading at ~$72 and currently go for $14.56. The large (top five) 4.85% of the portfolio position was built in the Q2 to Q3 2021 timeframe at prices between ~$52 and ~$80. The last four quarters had seen the position almost doubled at prices between ~$12.50 and ~$56. There was a minor ~4% trimming this quarter.

Note: they have a ~10% ownership stake in UiPath.

Shopify Inc. ( SHOP ) : The bulk of the current ~4% position in SHOP was built during the three quarters through Q2 2021 at prices between ~$92 and ~$147. The stake has since wavered. H2 2021 saw a ~40% reduction at prices between ~$135 and ~$169 while the next three quarters saw a stake doubling at prices between ~$27 and ~$136. The stock is now at $48.33. There was a ~9% trimming this quarter.

Teladoc Health ( TDOC ) : TDOC was a small stake until H2 2020 when a ~7.8M share position was purchased at prices between ~$183 and ~$238. Next quarter saw another ~85% stake increase at prices between ~$177 and ~$294. The quarters since also saw minor buying. The stock currently trades well below their purchase price ranges at $27.68. The stake is fairly large at 3.88% of the portfolio. This quarter saw a ~9% trimming.

Note: they have a ~12% ownership stake in Teladoc Health.

Intellia Therapeutics ( NTLA ) : NTLA was a minutely small position in ARK's first 13F filing in 2016. The 2017-2020 time period saw the position built to a ~11.2M share position at prices between ~$12.50 and ~$62. Since then, the stake has wavered. The first three quarters of 2021 saw a ~40% selling at prices between ~$52 and ~$177 while the next four quarters saw a similar increase at prices between ~$38 and ~$138. The stock currently trades at $38.63, and the stake is at 2.85% of the portfolio. There was a minor ~3% trimming this quarter.

Note: they have a ~13% ownership stake in Intellia Therapeutics.

Beam Therapeutics ( BEAM ) : BEAM is a 2.78% of the portfolio position built over the seven quarters through Q2 2022 at prices between ~$22 and ~$130. The stock is now at $43.85. The last two quarters have seen minor trimming.

Note: they have a ~12.5% ownership stake in Beam Therapeutics.

CRISPR Therapeutics ( CRSP ) : The bulk of the current 2.76% of the portfolio position in CRSP was built in 2020 at prices between ~$38 and ~$169. The stake has wavered. Q1 2021 saw a ~20% selling while in Q4 2021 there was a similar increase. The stock is now at $50.47. There was a ~15% selling last quarter and that was followed by a ~5% trimming this quarter.

Note: they have a ~10.5% ownership stake in CRISPR Therapeutics.

Unity Software ( U ) : The 2.72% Unity stake was built during the four quarters through Q2 2021 at prices between ~$68 and ~$165. Q4 2021 saw a one-third reduction at prices between ~$126 and ~$197 while in the next three quarters there was a ~45% stake increase at prices between ~$32 and ~$139. The stock is now just below their purchase price ranges at $34.17. There was a minor ~3% trimming this quarter.

Roblox Corp ( RBLX ): The ~2% RBLX position was built during the last four quarters at prices between ~$23 and ~$135. The stock currently trades at ~$36. There was marginal trimming this quarter.

Robinhood Markets ( HOOD ) : HOOD had an IPO in August 2021. Shares started trading at ~$55 and currently go for $9.64. The ~2% of the portfolio position was built through consistent buying over the four quarters through Q2 2022 at prices between ~$7 and ~$55. There was a ~11% trimming this quarter.

Fate Therapeutics ( FATE ) : FATE stake was built during the seven quarters through Q3 2021 at prices between ~$19 and ~$116. Last four quarters saw only minor adjustments. This quarter saw the position sold down by roughly two-thirds at prices between ~$10 and ~$24. The stock is now at $5.30.

10x Genomics ( TXG ), 2U Inc. ( TWOU ), Adaptive Biotechnologies ( ADPT ), Deere & Company ( DE ), Incyte Corp ( INCY ), Invitae ( NVTA ), Ionis Pharma ( IONS ), Iridium Communications ( IRDM ), Kratos Defense & Security ( KTOS ), MercadoLibre ( MELI ), NVIDIA Corp ( NVDA ), PagerDuty ( PD ), Pacific Biosciences ( PACB ), Trimble Inc. ( TRMB ), TuSimple Holdings ( TSP ), and Veracyte Inc. ( VCYT ): These small (less than ~2.5% of the portfolio each) stakes were decreased during the quarter.

Note: they have significant ownership stakes in the following businesses: 2U Inc., Invitae, Kratos Defense & Security, PagerDuty, Pacific Biosciences, TuSimple, and Veracyte.

The spreadsheet below highlights changes to ARK Invest' 13F holdings in Q4 2022:

Source: John Vincent. Data constructed from ARK Invest' 13F filings for Q3 2022 and Q4 2022.

For further details see: