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ARKK vs. QUAL
Performance
Return for Risk
Drawdowns
Volatility
Dividends

ARKK vs. QUAL

Last updated Jul 21, 2026
Documentation

ARKK (ARK Innovation ETF) and QUAL (iShares MSCI USA Quality Factor ETF) are both exchange-traded funds - ARKK is a Technology Equities fund actively managed by ARK, while QUAL is a Large Cap Blend Equities fund tracking the MSCI USA Sector Neutral Quality Index. ARKK is actively managed, while QUAL is passively managed. Over the past 10 years, ARKK returned 14.94%/yr vs 13.93%/yr for QUAL. A 0.64 correlation means they provide meaningful diversification when combined. ARKK charges 0.75%/yr vs 0.15%/yr for QUAL.

Performance

ARKK vs. QUAL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ARK Innovation ETF (ARKK) and iShares MSCI USA Quality Factor ETF (QUAL). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, ARKK achieves a -2.56% return, which is significantly lower than QUAL's 9.65% return. Over the past 10 years, ARKK has outperformed QUAL with an annualized return of 14.94%, while QUAL has yielded a comparatively lower 13.93% annualized return.

ARKK

1D
-0.33%
1M
-6.53%
6M
-8.24%
YTD
-2.56%
1Y
-3.45%
3Y*
16.39%
5Y*
-9.13%
10Y*
14.94%
ALL TIME*
12.69%

QUAL

1D
-0.43%
1M
0.49%
6M
7.12%
YTD
9.65%
1Y
19.00%
3Y*
17.53%
5Y*
11.21%
10Y*
13.93%
ALL TIME*
13.60%
*Multi-year figures are annualized to reflect compound growth (CAGR)

ARKK vs. QUAL - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
ARKK
ARK Innovation ETF		-2.56%35.49%8.40%69.04%-66.97%-23.60%152.71%35.08%3.52%87.33%
QUAL
iShares MSCI USA Quality Factor ETF		9.65%12.65%22.29%30.88%-20.50%26.94%17.04%33.89%-5.70%22.26%

Correlation

The correlation between ARKK and QUAL is 0.69, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.69

Correlation (3Y)
Calculated over the trailing 3-year period

0.67

Correlation (5Y)
Calculated over the trailing 5-year period

0.69

Correlation (10Y)
Calculated over the trailing 10-year period

0.66

Correlation (All Time)
Calculated using the full available price history since Oct 31, 2014

0.64

The correlation between ARKK and QUAL has been stable across timeframes, ranging from 0.64 to 0.69 - a consistent structural relationship.

ARKK vs. QUAL - Sectors Allocation Comparison

Sectors
ARKK
QUAL

Healthcare

32.0%
9.2%

Technology

25.8%
40.2%

Consumer Cyclical

13.0%
9.0%

Financial Services

12.8%
10.9%

Industrials

9.4%
7.4%

Communication Services

7.1%
10.3%

Basic Materials

-

1.9%

Consumer Defensive

-

4.3%

Energy

-

2.9%

Real Estate

-

1.7%

Utilities

-

2.1%

Healthcare

ARKK
32.0%
QUAL
9.2%

Technology

ARKK
25.8%
QUAL
40.2%

Consumer Cyclical

ARKK
13.0%
QUAL
9.0%

Financial Services

ARKK
12.8%
QUAL
10.9%

Industrials

ARKK
9.4%
QUAL
7.4%

Communication Services

ARKK
7.1%
QUAL
10.3%

Basic Materials

ARKK

-

QUAL
1.9%

Consumer Defensive

ARKK

-

QUAL
4.3%

Energy

ARKK

-

QUAL
2.9%

Real Estate

ARKK

-

QUAL
1.7%

Utilities

ARKK

-

QUAL
2.1%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

ARK Innovation ETF

iShares MSCI USA Quality Factor ETF

Often compared with ARKK:
ARKK vs. SPYARKK vs. QQQARKK vs. ARKQARKK vs. ARKWARKK vs. ^NDXARKK vs. SMHARKK vs. BRK-B
Often compared with QUAL:
QUAL vs. SPHQQUAL vs. SPYQUAL vs. MTUMQUAL vs. USMVQUAL vs. VOOQUAL vs. IVVQUAL vs. SCHD

Return for Risk

ARKK vs. QUAL — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
ARKK
ARKK Risk / Return Rank: 99
Overall Rank
ARKK Sharpe Ratio Rank: 99
Sharpe Ratio Rank
ARKK Sortino Ratio Rank: 1010
Sortino Ratio Rank
ARKK Omega Ratio Rank: 1010
Omega Ratio Rank
ARKK Calmar Ratio Rank: 99
Calmar Ratio Rank
ARKK Martin Ratio Rank: 99
Martin Ratio Rank
QUAL
QUAL Risk / Return Rank: 6363
Overall Rank
QUAL Sharpe Ratio Rank: 6464
Sharpe Ratio Rank
QUAL Sortino Ratio Rank: 6464
Sortino Ratio Rank
QUAL Omega Ratio Rank: 6161
Omega Ratio Rank
QUAL Calmar Ratio Rank: 5656
Calmar Ratio Rank
QUAL Martin Ratio Rank: 7171
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

ARKK vs. QUAL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ARK Innovation ETF (ARKK) and iShares MSCI USA Quality Factor ETF (QUAL). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

ARKKQUALDifference
Sharpe ratioReturn per unit of total volatility
-0.10
1.57

-1.66

Sortino ratioReturn per unit of downside risk
0.12
2.25

-2.13

Omega ratioGain probability vs. loss probability

1.01

1.28

-0.26

Calmar ratioReturn relative to maximum drawdown

-0.11

2.11

-2.22

Martin ratioReturn relative to average drawdown

-0.23

9.48

-9.71

ARKK vs. QUAL - Sharpe Ratio Comparison

The current ARKK Sharpe Ratio is -0.10, which is lower than the QUAL Sharpe Ratio of 1.57. The chart below compares the historical Sharpe Ratios of ARKK and QUAL, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

ARKK vs. QUAL - Drawdown Comparison

The maximum ARKK drawdown since its inception was -80.97%, which is greater than QUAL's maximum drawdown of -34.06%. Use the drawdown chart below to compare losses from any high point for ARKK and QUAL.

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Drawdown Indicators

ARKKQUALDifference

Max Drawdown

Largest peak-to-trough decline

-80.97%

-34.06%

-46.91%

Max Drawdown (1Y)

Largest decline over 1 year

-31.35%

-9.03%

-22.32%

Max Drawdown (3Y)

Largest decline over 3 years

-39.56%

-18.00%

-21.56%

Max Drawdown (5Y)

Largest decline over 5 years

-76.27%

-28.23%

-48.04%

Max Drawdown (10Y)

Largest decline over 10 years

-80.97%

-34.06%

-46.91%

Current Drawdown

Current decline from peak

-51.47%

-1.69%

-49.78%

Average Drawdown

Average peak-to-trough decline

-30.31%

-4.08%

-26.23%

Ulcer Index

Depth and duration of drawdowns from previous peaks

15.08%

2.01%

+13.07%

Volatility

ARKK vs. QUAL - Volatility Comparison

ARK Innovation ETF (ARKK) has a higher volatility of 9.21% compared to iShares MSCI USA Quality Factor ETF (QUAL) at 3.15%. This indicates that ARKK's price experiences larger fluctuations and is considered to be riskier than QUAL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

ARKKQUALDifference

Volatility (1M)

Calculated over the trailing 1-month period

9.21%

3.15%

+6.06%

Volatility (6M)

Calculated over the trailing 6-month period

27.14%

9.78%

+17.36%

Volatility (1Y)

Calculated over the trailing 1-year period

36.37%

12.22%

+24.15%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

46.49%

17.38%

+29.11%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

40.43%

18.08%

+22.35%

ARKK vs. QUAL - Expense Ratio Comparison

ARKK has a 0.75% expense ratio, which is higher than QUAL's 0.15% expense ratio.

Dividends

ARKK vs. QUAL - Dividend Comparison

ARKK has not paid dividends to shareholders, while QUAL's dividend yield for the trailing twelve months is around 0.87%.

PositionTTM20252024202320222021202020192018201720162015
ARKK
ARK Innovation ETF		0.00%0.00%0.00%0.70%0.00%0.55%1.64%0.38%3.14%1.32%0.00%2.27%
QUAL
iShares MSCI USA Quality Factor ETF		0.87%0.94%1.02%1.23%1.59%1.20%1.39%1.60%2.00%1.76%1.96%1.63%

Frequently Asked Questions

ARKK and QUAL have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

ARKK has higher volatility (9.21%) compared to QUAL (3.15%). In terms of maximum drawdown, ARKK dropped -80.97% vs QUAL's -34.06%.

On 10-year performance, ARKK leads with 14.94% vs 13.93% for QUAL. On fees, QUAL is cheaper at 0.15% per year. On volatility, QUAL has been the lower-risk option at 3.15%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, ARKK has performed better with a 14.94% return vs 13.93%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

QUAL is cheaper with a 0.15% expense ratio, compared with 0.75% for ARKK.

QUAL has the higher dividend yield at 0.87%, compared with 0.00% for ARKK.

ARKK is categorized as Technology Equities, while QUAL is Large Cap Blend Equities. They also come from different issuers: ARK and iShares. Their fees differ too: 0.75% for ARKK and 0.15% for QUAL.

QUAL currently has the higher Sharpe Ratio (1.57 vs -0.10), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.

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