Clear Street's Divergent Cuts
Clear Street Group Trims Robinhood Stake While Many Institutions Add Shares
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Key Points
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Clear Street’s Pioneer Acquisition I (PACH) trimming came alongside a sell-rating change: Weiss Ratings upgraded PACH from “sell (e+)” to “sell (d-)” on May 1, while the MarketBeat consensus rating remained “Sell.”
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For Robinhood Markets (HOOD), other major institutions added shares even as Clear Street cut its stake—e.g., Vanguard increased by 1.4% (to 95,771,497 shares after buying 1,334,443), State Street rose by 2.7% (to 33,121,452 after buying 875,297), and Morgan Stanley increased by 23.9% (to 10,683,776 after buying 2,061,832). The article also notes 93.27% of HOOD is held by hedge funds and other institutions.
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For SPDR S&P Retail ETF (XRT), despite Clear Street cutting its position, other hedge funds expanded theirs—Readystate Asset Management boosted its stake by 232.5% (to 143,625 shares after buying 100,425), BNP Paribas Financial Markets increased by 346.9% (to 976,649 shares after buying 758,120), and BlueCrest Capital Management initiated a new position worth $11.159 million.
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Clear Street reported the specific share sales behind the trims: it sold 232,278 shares of MKLYU (leaving 382,245 shares), sold 404,615 shares of PACH (leaving 318,445), and sold 189,937 shares of HOOD (leaving 1,494,658)—details not included in the summary’s percentage-and-dollar recap.
Clear Street Group Inc. quietly trimmed several of its biggest equity positions in its latest disclosures, cutting its Robinhood Markets (HOOD) stake by 11.3% to roughly 1.49 million shares — a holding now worth about $169 million. The move stands out because major institutions are moving in the opposite direction, snapping up Robinhood shares even as Clear Street sells.
The trims span five assets in all. Clear Street cut Strategy (MSTR) by 48.4%, slashed the SPDR S&P Retail ETF (XRT) by 62.5%, and reduced two smaller holdings — MKLYU and Pioneer Acquisition I (PACH) — by 37.8% and 56.0%, respectively. The moves come as the firm navigates a leadership change and a pulled IPO, according to MarketBeat.
Big Institutions Buy Robinhood as Clear Street Exits
Clear Street sold 189,937 shares of Robinhood, leaving it with 1,494,658 shares. But three of Wall Street's biggest names went the other way. Vanguard added 1,334,443 shares, lifting its total to 95,771,497 — a 1.4% increase. State Street bought 875,297 shares, a 2.7% rise. Morgan Stanley surged 23.9%, adding 2,061,832 shares to reach 10,683,776 total, according to MarketBeat.
Institutional investors now hold 93.27% of Robinhood, per MarketBeat. Robinhood's platform assets hit a record $377 billion in May — up 48% year over year. Adding to the bullish signal, Robinhood director Meyer Malka, founder of Ribbit Capital, purchased 250,000 shares worth $20.2 million in June, a sign of strong insider confidence even as Clear Street heads for the exits.
MicroStrategy Cut Nearly in Half After Bitcoin Proxy Cracks
Clear Street slashed its Strategy (MSTR) position by 48.4%, dropping to 1,971,486 shares worth about $299.6 million. The timing matters. MicroStrategy made its first Bitcoin sale since 2022 in early June, chipping away at its reputation as a pure Bitcoin proxy. That move appears to have spooked Clear Street into selling, according to BeInCrypto.
Bitcoin advocates push back on that read. They argue the sales by MicroStrategy executives are automated, pre-planned trades — not a signal of a strategy shift. In their view, Clear Street is misreading the "HODL" thesis. Still, the nearly 50% cut is hard to spin as anything other than a major vote of no confidence in MSTR's direction.
Retail ETF Slashed 62.5% Even as Rivals Double Down
Clear Street sold down its SPDR S&P Retail ETF (XRT) position by 62.5%, leaving just 450,000 shares worth $38.4 million. The cut signals a bearish view on U.S. consumer spending. But other investors are moving in fast. BNP Paribas Financial Markets boosted its XRT stake by 346.9%, adding 758,120 shares to reach 976,649 total, per MarketBeat.
Readystate Asset Management jumped 232.5%, buying 100,425 shares to reach 143,625. BlueCrest Capital Management opened a brand-new position worth $11.159 million. The flood of fresh money into XRT from hedge funds suggests some investors see the retail sector pullback as a buying opportunity — not a warning sign.
Leadership Shake-Up and Failed IPO Shape Clear Street's New Strategy
Clear Street's portfolio cuts do not happen in a vacuum. The firm withdrew its IPO plans in February 2026, citing "current market conditions." Founder Uri Cohen then took over as CEO on June 1, replacing Ed Tilly. Cohen is steering the firm toward a cloud-native trading platform and a new proprietary trading arm, according to Investing.com.
Bloomberg reported that Clear Street cut over 50 jobs following the strategy pivot. By trimming volatile assets like MSTR and exiting broad retail exposure, the firm appears to be freeing up capital for its own trading operations — shifting from a service-only broker to a firm that bets its own money on markets, according to Bloomberg.
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