Cathie Wood's ARK Venture Fund (NASDAQ:ARKVX) now offers investors a way to access private companies led by Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk, including SpaceX, X, formerly Twitter, and xAI.
What Happened: On Monday, Wood took to X, and shared that the ARK Venture Fund (NASDAQ:ARKVX), managed by ARK Invest, has opened up an investment opportunity in Musk's private ventures.
This includes SpaceX, the aerospace manufacturer and space transportation company; X, the rebranded social media platform previously known as Twitter; and xAI, Musk's artificial intelligence company.
By investing in this fund, individuals can gain indirect exposure to these high-profile companies that are not publicly traded.
In the ARK Venture Fund's portfolio, SpaceX is the most significant holding, accounting for 12.7% of the fund's total weight.
X Corp. holds a smaller share at 0.65%, while xAI represents 1.5% of the portfolio. Musk's EV company Tesla remains part of the fund with a 0.5% weight.
We are known for our early investment in @Tesla. Now, investors can access @elonmusk's private companies like @SpaceX, @X, and @XAI in the ARK Venture Fund.
— Cathie Wood (@CathieDWood) November 25, 2024
To learn about the Fund and view current holdings, click here: .
Holdings are subject to change. pic.twitter.com/dPrsueLw92
Why It Matters: Previously, it was reported that SpaceX was planning to launch a tender offer next month, allowing the sale of shares at $135 each, which would value the company at over $250 billion.
On the other hand, Fidelity's latest valuation estimates X at $9.4 billion, a sharp drop from its $44 billion valuation in 2022 when Musk acquired the company.
However, following major advertisers exodus, things appear to be getting better for Musk's social media platform.
Earlier this month, Musk thanked major brands such as IBM, Walt Disney Co., Comcast, and Warner Bros. Discovery for returning to advertise on X.
After the U.S. 2024 Presidential election, reports indicated that some advertisers are considering returning to X to align with both Musk and President-Elect Donald Trump.
Meanwhile, Musk's AI startup, xAI, is reportedly seeking to raise as much as $6 billion to acquire 100,000 Nvidia Corporation chips. This new funding round would value xAI at $50 billion, more than twice its previous valuation of $24 billion.
Price Action: ARK Venture Fund ended Monday's regular session up 0.43%, reaching $28.22, according to data from Benzinga Pro.
Image via Flickr
- Cathie Wood-Led Ark Invest's Latest Portfolio Maneuver: Dumps Tesla And Palantir Shares, Buys Amazon And AMD Stock
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
