Cathie Wood bought the dip in Coinbase and Robinhood stock as Evergrande fears rocked markets

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Cathie Wood bought the dip in Coinbase and Robinhood stock as Evergrande fears rocked markets
Cathie Wood has been trimming Ark Invest's Tesla holdings. Brendan McDermid/Reuters
  • Cathie Wood hoovered up hundreds of thousands of Coinbase and Robinhood shares during Monday's market sell-off.
  • Funds managed by Wood's Ark Invest bought 404,020 Robinhood shares and 96,251 Coinbase shares.
  • A buy-the-dip approach has been a key tool in Wood's investing arsenal.

Cathie Wood hoovered up hundreds of thousands of Coinbase and Robinhood shares on Monday, taking advantage of a sell-off that hit stocks and crypto across the board.

Funds managed by Wood's Ark Invest bought a combined 404,020 Robinhood shares and 96,251 Coinbase shares as both companies dipped more than 5%. At Monday's closing prices, the buys represent an additional $22.8 million stake in Coinbase and $16.4 million in Robinhood.

Buying into Monday's Evergrande-driven sell-off saved ARK investors around $1.5 million when compared to an equivalent buy at Friday's closing prices.

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A buy-the-dip approach has been a key tool in Wood's investing arsenal. At various points this year, her funds have bought into short-term declines in bitcoin, Peloton, Zoom, and others.

While Wood's funds have in the past put in a spectacular, market-crushing performance, 2021 has looked less rosy. Ark's flagship thematic ETF is down slightly on the year, after growing nearly 140% in 2020.

Others have noticed Ark's weaker 2021 performance, with some skeptics starting inverse-ARK ETFs or outright shorting Wood's funds.

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But Wood has stuck to her guns, arguing that the long-term bull case for US equities is strong.

"When I see such negative sentiment out there, especially when it comes to valuation and longer time horizons, investment time horizons, I actually feel a little more comfortable," Wood told CNBC in August.

"I like bad news," she added.

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