The GRNY ETF, managed by BitMine Chairman Tom Lee, has sharply increased its holdings in Strategy (MSTR) stock, making the company the fund's largest position. The shift came just weeks before MSTR shares rallied 46%.

GRNY ETF Makes MSTR Its Top Holding

According to historical portfolio data highlighted by Bloomberg ETF analyst Eric Balchunas, the GRNY ETF underwent a significant allocation shift during its quarter-end rebalance for August 2026. The episode also illustrated how ETF flows and holdings disclosures, which are published daily, have become a lens through which market observers track institutional positioning in near real time.

One interesting situation our Blue Horseshoe tool flagged early was $GRNY buying a big chunk of $MSTR in mid-Aug which caused it to go from the last stock in the port to the top holding in two wks flat (prior to a 46% run in the stock so good call). Also notable bc of the GRNY's… pic.twitter.com/pnIRTzqYYw

— Eric Balchunas (@EricBalchunas) September 4, 2026

Strategy's previous weight in the fund was estimated at approximately 0.45% to 0.50%. Within two weeks, that figure climbed to about 3.02%, moving MSTR from the smallest holding in the fund to the largest.

The increase placed Strategy ahead of Robinhood (HOOD), which previously ranked as the top position at 2.99% of the total portfolio.

As stated by Tom Lee, the rebalancing process resulted in numerous additions and deletions across large-, mid-, and small-cap stocks. Following the rebalance, total assets under management for the Granny Shots portfolio stand at $5.1 billion, with the GRNY ETF itself at approximately $4.489 billion, according to the firm's announcement.

Why Did GRNY ETF Increase Its MSTR Position?

The enlarged Strategy position may not necessarily reflect a short-term market call. The GRNY ETF follows an investment approach grounded in principles developed by Fundstrat — the research firm Lee co-founded and where he is known for his equity strategy work — combined with quantitative stock selection.

Under the methodology, stocks generally need to meet at least two of Fundstrat's seven investment themes to be included in the portfolio. The process is carried out quarterly.

Strategy fits many of these themes, owing to its substantial Bitcoin holdings as well as its association with technology and evolving finance. Strategy, formerly known as MicroStrategy, pivoted from enterprise software to a Bitcoin treasury strategy beginning in 2020 and has since become one of the largest corporate holders of the cryptocurrency. Fundstrat has also been constructing its portfolio to include quality growth stocks, quality cyclicals, and stocks positioned to benefit from growth in artificial intelligence.

According to Lee, the recent Granny Shots rebalance was driven by a transition toward quality growth stocks and quality cyclicals given the current interest rate environment.

This does not necessarily imply that the GRNY ETF will continue adding to its MSTR stake in future rebalances. The fund retains flexibility to adjust its portfolio based on prevailing market trends and the continued relevance of portfolio companies, and the next quarterly rebalance will show whether the position is maintained, trimmed, or replaced. For now, however, Strategy remains the ETF's largest holding.

MSTR Outperforms Bitcoin

The timing of the GRNY ETF's increased exposure is notable because Strategy significantly outpaced Bitcoin over the same period. MSTR rose nearly 46%, touching $142.80, while Bitcoin gained about 26%.

The rise in Strategy's share price followed its resumption of Bitcoin purchases. Strategy acquired 4,603 BTC for approximately $369.7 million as Bitcoin climbed back above $81,000.

Because Strategy holds such a large amount of Bitcoin, investors view MSTR as a vehicle for amplified exposure to Bitcoin's price movements. When Bitcoin surges sharply, MSTR has historically tended to post an even larger percentage gain than the cryptocurrency itself.

By making MSTR its biggest holding, the GRNY ETF has increased its exposure to both Strategy and Bitcoin. The move illustrates how a major portfolio reallocation can position an ETF favorably ahead of a substantial move in one of its holdings.