⚠️ URGENT: Cathie Wood JUST Picked These New Winners!

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Earlier this year I made an episode about how Cathie Wood prepares for a crash. It was called
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“Cathie Wood Prepares for a Crash” and in that episode, I talked about some of the investing
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lessons I've learned since I started really looking at ARK Invest's daily trading data,
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as well as how I use that data to build better investing habits for myself.
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Oof. Also in that episode, I shared something I call the Cathie Indicator. Since then,
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that indicator helped me decide to invest aggressively in the middle of May,
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after ARK Invest's funds dropped by double digits in a matter of days.
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Doing that made me pretty happy when ARK Invest's funds rebounded by double digits
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in just a few weeks after that. Well, guess what — this Cathie Indicator just flipped again.
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So, I put the word URGENT in the title because I really do feel that this information
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is time-sensitive. In this episode, I'll go over exactly what this indicator is, what's going on
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in ARK Invest's funds that caused me to make this episode right now, and how you can track
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this indicator for yourself, if you're interested in doing so. Let me set the stage with this quick
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clip of Cathie Wood on CNBC's half time report earlier this year, where she talks about what
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she does with the holdings inside ARK Invest's funds during a market crash or a deep correction.
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Okay, so let me unpack that clip. Cathie Wood uses big, stable companies as cash-like
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positions because she can't hold a lot of actual cash in ARK Invest's funds. Most of her funds have
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much less than 1% cash at any given time. Cathie Wood will sell out of these cash-like companies,
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even at a loss, when she feels that her highest conviction stocks are trading at a steep discount,
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like during a market correction or a crash. In that clip, she was talking about big biotech
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companies, but each ARK Invest fund has these cash-like positions in them. For example,
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Cathie Wood held $75 million dollars of Apple inside ARKF, ARK Invest's Fintech Innovation Fund,
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until the start of May. By May 18th, Cathie Wood had dropped Apple completely.
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Why this sudden drop? Well, if we go look at the price action for some of ARK Invest's
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biggest positions around the middle of May, guess what we find! Everything from Tesla and Teladoc,
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to Palantir and UiPath, was trading at a steep discount. In fact, if we zoom out and look at
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all of ARK Invest's funds around that time frame, we can see that pretty much everything Cathie Wood
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invests in was way down in price. And, as you can see, things didn't stay down for very long,
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hence the urgency. Now let's talk about the Cathie Indicator during that same time frame.
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All the Cathie Indicator measures is the number of stocks inside each ARK Invest fund
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over time. In that clip, Cathie Wood said that ARKK had as little as 33 stocks in it during the
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lows in March of 2020. For comparison, in the beginning of May of this year, ARKK had almost
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60 stocks in it. Then, in the middle of May, when everything started to crash, Cathie Wood did
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exactly what she said in that clip — she sold her cash-like positions to buy up her highest
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conviction holdings at bargain prices, which shows up on this Cathie Indicator plot as sharp
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declines in the number of holdings in each fund. If you go look at my videos from back in June,
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which is when the stock prices started moving back up and the Cathie Indicator leveled off, I spent
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all of my time talking about the patterns I was seeing in ARK Invest's trading data as well as
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putting out deep dives on many of the stocks I saw Cathie Wood was buying up, like Teladoc, UiPath,
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Palantir, and Draftkings. Many of those stocks are still among ARK Invest's biggest positions today,
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so I put a playlist of those deep dives together for you. If you're interested in that, I'll leave
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a link to it in the top right-hand corner of your screen right now and in the description
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below as well. And, if you look at what the Cathie Indicator is doing now, you can see that all six
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of ARK Invest's funds have been concentrating down again since the start of this month.
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So, if I look at what Cathie Wood has been buying in each fund over this same time frame, I can be
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confident that I'm looking at ARK Invest's most recent highest conviction plays, since those
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are the stocks she's spending her cash-like positions on right now. Pretty cool, right?
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So, here's ARK Invest's most recent trading data. Each row in these tables is one stock,
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the rows are ordered by the size of ARK Invest's position in that stock, and they're colored by
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the change that position since the start of the month compared to how their overall assets
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under management have changed. Since their AUM is down 5% since the start of September,
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positions that shrank by more than 5% are in red and positions that shrank
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by less or ended up growing are in green. We're looking for the darkest green grows.
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Also, note that this first column shows the percent change in shares Cathie Wood is holding,
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while the third column shows the change in price, since both influence the total position size.
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Right now we're looking at data for all of the funds combined,
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but I'll also quickly go fund by fund. So, as ARK Invest's funds are concentrating down, Cathie Wood
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is buying a lot of Invitae, ticker symbol N V T A, even though its price isn't really falling.
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Invitae is a genetic diagnostics company that offers gene panels and single-gene testing for a
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broad range of clinical areas including hereditary cancer, cardiology, neurology, pediatric genetics,
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metabolic disorders, and so on, so it's pretty core to ARKG, ARK Invest's genomics revolution
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fund. Also, UiPath, ticker symbol P A T H, fell in price by about 15% since the start of the month
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and Cathie Wood has bought about 15% more shares accordingly, so even though her billion dollar
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position in it is almost unchanged, she's holding a lot more PATH stock. UiPath is a robotic process
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automation company focused on discovering and automating repetitive business processes in a
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wide variety of industries. It's one of only two companies to be in all six of ARK Invest's funds,
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the other being Palantir, ticker symbol P L T R. Also, you may have noticed that Cathie
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Wood reduced her Tesla shares by close to 10%. [make the home alone face/home alone clip].
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Fun fact, every YouTuber making that face on their Thumbnails is also making that exact
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sound as well. Cathie Wood sold roughly 10% percent of her position in Telsa because one
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of the rules she follows is not having any one stock be over 10% percent of any fund by weight.
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Tesla is still the number one position in ARKK, ARKW, and ARKQ and it's currently still over 10%
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percent of each of those funds, so this is a non-issue, even though it looks like a big
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sale. There, saved you some clicks. The only other stock I'll call out before moving on to
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the individual funds is Pagerduty, ticker symbol P D. PagerDuty is a software as a service platform
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that uses machine learning and automation to send and manage alerts and notifications for customer
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service applications. They're actually built on top of Twilio, another of Cathie Wood's biggest
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holdings. ARK Invest's position in Pagerduty increased by over 13% as the stock dipped in
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the beginning of the month, and now the stock is up about 4%, making Pagerduty ARK Invest's
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30th biggest position overall, out of about 160. See? I knew pagers would never go out of style.
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Since your time is valuable, let me sort the rest of these tables by the biggest change in share
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count instead of the actual position size, since that shows us which stocks Cathie Wood is actually
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buying into. Here it is for all of their funds combined. I already covered UiPath, Pagerduty,
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and Invitae and you'll notice that the rest of these are much smaller and much lower-ranked,
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so fair warning that their position sizes within each fund can change fairly quickly. Cathie Wood
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increased her combined share count by more than 20% in the following companies since the start of
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the month: Pfizer, ticker symbol P F E, Discovery, ticker symbol D S Y, Workday, W D A Y, Markforged,
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M K F G, and Komatsu, ticker symbol K M T U Y. Here's the table one more time without
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highlights for those of you taking screenshots. I see you out there. Let's move on to each fund,
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starting with ARKK. The biggest changes in share count were in Signify Health, ticker symbol S G F
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Y, UiPath, P A T H, Pagerduty, P D, and Invitae, ticker symbol N V T A. That matches up with what
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I just showed you in ARK Invest's combined funds because ARKK is actually over $21 billion dollars
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in assets under management, making it bigger than all of Cathie Wood's other funds combined. Let's
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move on to ARKG, ARK Invest's fund themed around the genomic revolution. The biggest increases in
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share count were in Pfizer, ticker symbol P F E, 1 Life Healthcare, O N E M, UiPath Again,
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and Invitae Again. This second row is actually cash, and you can see its rank in ARKG is 53, so
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it's actually one of the very smallest positions in the fund, even after this 40% increase. Next
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up, ARKW, ARK Invest's next-generation internet fund. Cathie Wood has been investing aggressively
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in internet-based companies all year, so I'm not surprised to see way more dark green rows
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in ARKW than in ARKG. Lots of stocks increasing by double-digits here: Robinhood, ticker symbol
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H O O D, Roku R O K U, Genius Sports, G E N I, Pagerduty Again, PD, Khosla Ventures, K V S B,
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which is the SPAC bringing Nextdoor public. Nextdoor is a social network focused on local
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communities to help people who are physically close to each other connect online. Then, below
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that, we have UiPath again, Zoom Video, ticker symbol Z M, and Splunk, ticker symbol S P L K.
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ARKF, ARKQ, and ARKX are all much smaller than the three big funds I just covered,
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so the combined ARK ranks of some these holdings are going to be much smaller than in the last
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three funds. Still, they're worth covering if you're looking for cool stocks in the Fintech,
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Automation, or Aerospace areas, respectively. This is ARKF. ARKF's cash position is up almost
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5X from 2 weeks ago as Cathie Wood continues to consolidate the fund and so far, she's been
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spending that money on Discovery, D S Y, Workday, W D A Y, Farfetch, F T C H, and Etsy, E T S Y.
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She is also buying the dip on Stoneco, ticker symbol S T N E. I'm excited to see where some
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of this 18 million dollar cash pile in ARKF ends up. Next, we have ARKQ and we can see a similar
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trend. The cash pile almost doubled over the last 2 weeks and so far it's been spent on Komatsu,
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K M T U Y, Markforged, M K F G, Proto Labs, P R L B, Jaws Spitfire, S P F R, which is the SPAC
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bringing Velo3D public. Velo3D is a pretty cool, vertically integrated metal 3D printing company
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that prints parts for space rockets, jet engines and fuel delivery systems.
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Deere, ticker symbol D E, and Blade Air Mobility, ticker symbol B L D E, also saw double-digit share
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count increases since the start of the month. Last and, uh, actually least, we have ARKX,
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ARK Invest's newest and smallest actively managed fund focused on Space-based technologies
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and their beneficiaries. Markforged, Deere, Blade Air Mobility, Jaws Spitfire, and Komatsu, and
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UiPath all show up here again, as well as Heico, ticker symbol H E I, and Aerovironment, ticker
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symbol A V A V. Just to be cheeky, let me point out that even after these double-digit increases,
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almost all of the positions I just mentioned are STILL smaller than Netflix's position in this
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Space Exploration fund. Womp womp. Kidding aside, ARKX is a tiny fund compared to ARK Invest's other
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5. It has just $600 million dollars in assets under management, which is less than 1 and a
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half percent of the almost $42 billion dollars in combined assets under management I just covered.
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That was a pretty fast play-by-play, but now you have the full context for the biggest increases
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in ARK Invest's holdings by share count, when you combine these funds together. Here's that table
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one more time. If you're looking for interesting genomics and healthcare plays, it's Pfizer,
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One Life Healthcare and Invitae. If you're looking for cool 3D printing companies,
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check out Markforged or Jaws Spitfire, which is Velo3D. Some interesting Fintech plays
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could be Discovery, Workday, or Stoneco. If you're looking for cool stocks in the areas of aerospace,
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automation, and autonomous mobility, check out Heico, Deere, Blade Air Mobility, Komatsu or
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Aerovironment. If you want to know the highest conviction names that Cathie Wood keeps buying,
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it's going to be the positions with the highest combined rank:
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UiPath, Invitae, and Pagerduty are much higher ranking than the rest.
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Comment below or tweet me at ticker symbol you if any of the companies I just mentioned
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were already on your radar and which ones interest you the most. I read all your comments and tweets
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and usually will do a deep dive on a company if enough people request it. I love this stuff.
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And of course, if you find this kind of information useful, there are a few ways
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to track this for yourself. The easiest is to like this video and subscribe to the channel
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with all notifications turned on. I'm not trying to squeeze you here; I spend all my time building
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these dashboards and looking at this stuff already and if you do those things, you'll be
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the first to know when I see these time-sensitive trends and patterns emerge in the data and make a
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video about it. That's the point, right? If you want to track things for yourself
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without a YouTuber involved, no problem, you can go to www.ark-funds.com, download
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the holdings spreadsheets for each fund every day, count the number of holdings in each fund,
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and track the changes. ARK Invest makes their data completely free and publicly available and I'll
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always support investors who want to go straight to the source. I really respect that. If you want
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this information daily but don't want to do the downloading, counting, and tracking yourself, my
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Patrons on Patreon and Channel Members right here on YouTube have 24/7 access to these dashboards
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and they get updated before every market open, by me, by hand. I do that because I really believe
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I'm adding value and that using data to guide my research and investments instead of my gut
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leads to better habits and better results. After all, better information today means better
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investments tomorrow and this is the best way I know how to get that information directly to you.
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Until next time, this is ticker symbol you. My name is Alex,
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reminding you, that the best investment you can make… is in you.