Cathie Wood’s Ark Invest almost liquidates Silvergate Capital position

By David Randall

NEW YORK (Reuters), – Cathie, a stockpicker star, sold 403,990 shares from Ark Invest’s crypto-focused bank Silvergate Capital Corp Thursday. Shares in the firm plummeted more than 40%, Ark Invest disclosed.

The sale almost ended the firm’s shareholdings. It was done from the $645m ARK Fintech Innovation ETF and not the flagship $5.9billion ARK Innovation fund which does not hold a position in company.

Silvergate Capital stated that it will reduce its workforce to 40% as investors drained more than $8B in deposits following the collapse of FTX. Silvergate’s total digital asset customer deposits fell to $3.8billion at December’s end, as compared to $11.9billion at September’s end.

Morningstar data shows that Ark Invest purchased Silvergate shares first in November 2019, according to Morningstar.

Silvergate shares were down 9.2% during midday trading, while shares in the ARK Fintech Innovation Fund were up 0.8%.

(Reporting and Editing by David Randall; Editing By Josie Kao