Cathie Wooden, chief of Ark Funding Administration, is making strikes in megacap tech shares.
Final month, Wooden added to her positions in Nvidia and Google, and this week she trimmed two different names from the Magnificent 7.
Wooden gained a fame after the Ark Innovation ETF delivered a 153% return in 2020. Yr to this point, the flagship Ark Innovation ETF (ARKK) is up 42.18% as of Dec. 5, far outpacing the S&P 500’s acquire of 16.81% in the identical interval.
Wooden’s type brings candy wins in rising markets, but additionally painful losses in bearish ones, as seen in 2022, when the Ark Innovation ETF misplaced greater than 60%.
These swings have weighed on her long-term outcomes. As of Dec. 5, the Ark Innovation ETF has delivered a five-year annualized return of -6.45%, whereas the S&P 500 has an annualized return of 14.86% over the identical interval, in response to information from Morningstar.
Within the 12 months via Dec. 4, the Ark Innovation ETF noticed roughly $1.36 billion in internet outflows.
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Cathie Wooden’s funding technique defined
Wooden’s technique is easy. Her Ark ETFs deal with rising high-tech corporations in areas like synthetic intelligence, blockchain, biomedical expertise, and robotics. She sees these companies as potential forces for large change and long-term progress, although their volatility usually creates fluctuations within the worth of Ark’s funds.
From 2014 to 2024, the Ark Innovation ETF worn out $7 billion in investor wealth, in response to an evaluation by Morningstar’s analyst Amy Arnott. That made it the third-biggest wealth destroyer amongst mutual funds and ETFs in Arnott’s rating.
Associated: Cathie Wooden’s internet value: The Ark Make investments CEO’s wealth & earnings
In October, Wooden stated in a CNBC interview that she expects to see a market “shudder” as rates of interest start to rise.
Nonetheless, Wooden believes within the potential of AI, denying the “AI bubble” speak amid issues concerning the excessive valuations of tech shares.
“I do not believe AI is in a bubble,” Wooden stated. “ What I do think is, on the enterprise side, it is going to take a while for large corporations to prepare themselves to transform…in order to really capitalize on the productivity gains that we think are going to be unleashed by AI.”
However not all traders agree with Wooden. Within the 12 months via Dec. 4, the Ark Innovation ETF noticed roughly $1.36 billion in internet outflows, in response to ETF analysis agency VettaFi.
Cathie Wooden sells $15.8 million of Meta inventory
On Dec. 4 and 5, Wooden’s Ark funds bought 23,411 shares of Meta Platforms (META), valued at about $15.8 million. The promoting got here shortly after she added 33,837 Meta shares on Nov. 25, a transfer doubtless influenced by stories that Meta is in talks to spend billions on Google chips.
Cathie Wooden elevated her Meta place in Q3 2025, including about 791,000 shares. The transfer got here after two quarters of promoting, when she offloaded 126,000 shares in Q2 2025 and one other 47,900 shares in Q1 2025, in response to Stockcircle’s information.
Associated: Cathie Wooden buys $16.7 million of megacap AI inventory
Meta is just not within the prime 10 holdings of the Ark Innovation ETF.
Prime 10 holdings of the Ark Innovation ETF as of Dec. 5, 2025:
- Tesla (TSLA): 12.30%
- CRISPR Therapeutics (CRSP): 5.53%
- Coinbase (COIN): 5.50%
- Tempus AI (TEM): 5.18%
- Shopify (SHOP): 4.97%
- Roku (ROKU): 4.86%
- Robinhood (HOOD): 4.69%
- Roblox (RBLX): 3.72%
- Palantir (PLTR): 3.56%
- Beam Therapeutics (BEAM): 3.32%
Meta lately stated it’s decreasing sources devoted to the metaverse, Bloomberg reported. The corporate plans to redirect these financial savings into different Actuality Labs efforts, together with AI glasses.
Meta’s inventory has been below strain since its third-quarter earnings, when the corporate stated bills would develop a lot quicker in 2026 than in 2025. Shares have dropped greater than 10% since Oct. 29. Some analysts now see upside for Meta inventory after the information.
“Re-allocating spend to bigger perceived opportunities is positive for the stock. While Gen-AI returns are still uncertain, they offer more optionality to capture potential upside from emerging AI use cases such as AI assistants, generative creative tools, and outsourcing Meta computing capabilities,” Financial institution of America analyst Justin Publish stated in a observe emailed to TheStreet.
Meta inventory is up roughly 15% yr to this point, underperforming the S&P 500 index’s 16.81% acquire.
Moreover promoting Meta, Wooden additionally trimmed her stake in Tesla (TSLA), unloading 45,356 shares on Dec. 4 and 5.
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