The controversial US investment celebrity Cathie Wood and her ARK funds have had great success with the Tesla shares. ARK investors had a great time in 2020, but things haven't been so great in 2021 and 2022. Woods is described by the Financial Times as a "boom or bust investor" who invests in shares of disruptive companies that produce a lot of hope but no profits, such as Tesla. Her ARK funds have certainly benefited from the easy money policy of the last Covid-19 pandemic years. Just like cryptocurrencies, of which Cathie Wood is also a big fan.
She still believes in Tela. According to Barron's, Cathie Wood’s ARK Investment ETFs purchased 33,482 shares of the electric-vehicle company Tesla recently. On the day of the new investment, the Tesla stock closed Thursday at $829.10, down 11.6%. At that price, Wood paid an estimated $27.76 million for the shares.
Cathie Wood and her Ark Invest ETFs have been the bull face of the stock and crypto hype over the last two years. Amid fears of a tightening monetary regime, Ark Invest is in the midst of its worst drawdown since inception, falling as much as 58% from its record high. But Wood is convinced that the party is far from over. Wood also believes that with the entry of institutional investors, a target price of $500,000 for Bitcoin (BTC) is realistic. It is a real bull!
Over the last two years, hedge fund manager Cathie Wood has been a superstar amid the tech stock and crypto hype. She was the face of the bull run. Her flagship Ark fund has shown an incredible performance thanks to her strategy to bet on high-growth, disruptive companies like Tesla. Ark Invest Innovation ETF (ARKK) smashed most of its competitors in 2020 and attracted billions of dollars from investors.