Cathie Wood Shifts Focus to Fintech, Trims AI Holdings
Cathie Wood's ARK Invest rebalanced its portfolio on October 10, signaling a strategic pivot toward fintech and digital services. The ARK Fintech Innovation ETF (ARKF) made its largest acquisition in LY Corp. (TSE:4689), snapping up 1.2 million shares of the Japanese digital payments firm formed through the Line-Yahoo Japan merger. This $3.75 million bet underscores ARK's conviction in Asia's expanding digital economy.
ARKF simultaneously added 76,418 shares of Klarna (KLAR), the Swedish buy-now-pay-later pioneer enjoying a post-IPO resurgence. The $3.15 million position comes as consumer demand for flexible payment solutions rebounds globally. Meanwhile, ARKQ's $235,000 investment in autonomous driving startup Pony.ai (PONY) maintains Wood's trademark appetite for disruptive mobility tech.
The rotation came at the expense of several high-growth AI names. ARK reduced exposure to Palantir (PLTR), Roblox (RBLX), and Shopify (SHOP) while divesting $1.2 million worth of Futu Holdings (FUTU) shares. This selective pruning reflects a nuanced approach to growth investing—doubling down on payment innovators while taking profits in maturing tech disruptors.
