ARKK vs. VGT

Last updated Aug 1, 2026

ARKK (ARK Innovation ETF) and VGT (Vanguard Information Technology ETF) are both Technology Equities funds. ARKK is actively managed, while VGT is passively managed. Over the past 10 years, ARKK returned 14.31%/yr vs 24.06%/yr for VGT. Their 0.72 correlation means they have sometimes moved together and sometimes differently. ARKK charges 0.75%/yr vs 0.09%/yr for VGT.

Performance

ARKK vs. VGT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ARK Innovation ETF (ARKK) and Vanguard Information Technology ETF (VGT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ARKK achieves a -7.38% return, which is significantly lower than VGT's 20.36% return. Over the past 10 years, ARKK has underperformed VGT with an annualized return of 14.31%, while VGT has yielded a comparatively higher 24.06% annualized return.

ARKK

• 1D: -2.28%
• 1M: -12.96%
• 6M: -4.85%
• YTD: -7.38%
• 1Y: -5.43%
• 3Y*: 13.25%
• 5Y*: -9.65%
• 10Y*: 14.31%
• ALL TIME*: 12.17%

VGT

• 1D: -0.38%
• 1M: -3.47%
• 6M: 21.30%
• YTD: 20.36%
• 1Y: 31.68%
• 3Y*: 26.48%
• 5Y*: 17.81%
• 10Y*: 24.06%
• ALL TIME*: 14.84%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
ARKK ARK Innovation ETF	$356.24M	$389.65M	$523.48M
VGT Vanguard Information Technology ETF	$440.89M	$515.41M	$573.34M

ARKK vs. VGT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ARKK ARK Innovation ETF	-7.38%	35.49%	8.40%	69.04%	-66.97%	-23.60%	152.71%	35.08%	3.52%	87.33%
VGT Vanguard Information Technology ETF	20.36%	21.77%	29.30%	52.66%	-29.70%	30.45%	46.04%	48.62%	2.46%	37.08%

Correlation

The correlation between ARKK and VGT is 0.73, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.73
Correlation (3Y) Balances recent behavior with more history.	0.71
Correlation (5Y) Shows whether the relationship held over a longer period.	0.73
Correlation (10Y) Provides a long-term view across more market conditions.	0.73
Correlation (All Time) Calculated using the full available price history since Oct 31, 2014	0.72

The correlation between ARKK and VGT has been stable across timeframes, ranging from 0.71 to 0.73 - a consistent structural relationship.

ARKK vs. VGT - Sectors Allocation Comparison

Sectors	ARKK	VGT
Healthcare	32.0%	0.0%
Technology	25.8%	98.6%
Consumer Cyclical	13.0%	0.1%
Financial Services	12.8%	0.5%
Industrials	9.4%	0.4%
Communication Services	7.1%	0.5%
Basic Materials	-	0.0%
Consumer Defensive	-	-
Energy	-	0.3%
Real Estate	-	-
Utilities	-	-

Return for Risk

ARKK vs. VGT — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

ARKK

ARKK Risk / Return Rank: 9
ARKK Sharpe Ratio Rank: 9
ARKK Sortino Ratio Rank: 10
ARKK Omega Ratio Rank: 10
ARKK Calmar Ratio Rank: 8
ARKK Martin Ratio Rank: 8

VGT

VGT Risk / Return Rank: 52
VGT Sharpe Ratio Rank: 55
VGT Sortino Ratio Rank: 52
VGT Omega Ratio Rank: 50
VGT Calmar Ratio Rank: 55
VGT Martin Ratio Rank: 46

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

ARKK vs. VGT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ARK Innovation ETF (ARKK) and Vanguard Information Technology ETF (VGT). 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.

	ARKK	VGT	Difference
Sharpe ratio: Return per unit of total volatility	-0.15	1.31	-1.46
Sortino ratio: Return per unit of downside risk	0.05	1.82	-1.78
Omega ratio: Gain probability vs. loss probability	1.01	1.23	-0.22
Calmar ratio: Return relative to maximum drawdown	-0.17	1.94	-2.11
Martin ratio: Return relative to average drawdown	-0.35	5.23	-5.58

ARKK vs. VGT - Sharpe Ratio Comparison

The current ARKK Sharpe Ratio is -0.15, which is lower than the VGT Sharpe Ratio of 1.31. The chart below compares the historical Sharpe Ratios of ARKK and VGT, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

ARKK vs. VGT - Drawdown Comparison

The maximum ARKK drawdown since its inception was -80.97%, which is greater than VGT's maximum drawdown of -54.63%. Use the drawdown chart below to compare losses from any high point for ARKK and VGT.

Drawdown Indicators

	ARKK	VGT	Difference
Max Drawdown Largest peak-to-trough decline	-80.97%	-54.63%	-26.34%
Max Drawdown (1Y) Largest decline over 1 year	-31.35%	-16.40%	-14.95%
Max Drawdown (3Y) Largest decline over 3 years	-39.56%	-27.23%	-12.33%
Max Drawdown (5Y) Largest decline over 5 years	-76.27%	-35.07%	-41.20%
Max Drawdown (10Y) Largest decline over 10 years	-80.97%	-35.07%	-45.90%
Current Drawdown Current decline from peak	-53.87%	-9.93%	-43.94%
Average Drawdown Average peak-to-trough decline	-30.38%	-7.95%	-22.43%
Ulcer Index Depth and duration of drawdowns from previous peaks	15.57%	6.07%	+9.50%

Volatility

ARKK vs. VGT - Volatility Comparison

ARK Innovation ETF (ARKK) has a higher volatility of 10.19% compared to Vanguard Information Technology ETF (VGT) at 8.42%. This indicates that ARKK's price experiences larger fluctuations and is considered to be riskier than VGT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ARKK	VGT	Difference
Volatility (1M) Calculated over the trailing 1-month period	10.19%	8.42%	+1.77%
Volatility (6M) Calculated over the trailing 6-month period	27.72%	20.14%	+7.58%
Volatility (1Y) Calculated over the trailing 1-year period	36.83%	24.28%	+12.55%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	46.55%	25.83%	+20.72%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	40.48%	24.89%	+15.59%

ARKK vs. VGT - Expense Ratio Comparison

ARKK has a 0.75% expense ratio, which is higher than VGT's 0.09% expense ratio.

Dividends

ARKK vs. VGT - Dividend Comparison

ARKK has not paid dividends to shareholders, while VGT's dividend yield for the trailing twelve months is around 0.38%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
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%
VGT Vanguard Information Technology ETF	0.38%	0.40%	0.60%	0.65%	0.91%	0.64%	0.82%	1.11%	1.29%	0.99%	1.31%	1.28%

Frequently Asked Questions

Can I hold both ARKK and VGT in my portfolio?

ARKK and VGT have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ARKK or VGT?

ARKK has higher volatility (10.19%) compared to VGT (8.42%). In terms of maximum drawdown, ARKK dropped -80.97% vs VGT's -54.63%.

Which ETF is better, ARKK or VGT?

On 10-year performance, VGT leads with 24.06% vs 14.31% for ARKK. On fees, VGT is cheaper at 0.09% per year. On volatility, VGT has been the lower-risk option at 8.42%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ARKK or VGT?

Over the 10-year period, VGT has performed better with a 24.06% return vs 14.31%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ARKK or VGT?

VGT is cheaper with a 0.09% expense ratio, compared with 0.75% for ARKK.

Which ETF pays a higher dividend yield, ARKK or VGT?

VGT has the higher dividend yield at 0.38%, compared with 0.00% for ARKK.

What is the main difference between ARKK and VGT?

They also come from different issuers: ARK and Vanguard. Their fees differ too: 0.75% for ARKK and 0.09% for VGT.

Which has better risk-adjusted returns?

VGT currently has the higher Sharpe Ratio (1.31 vs -0.15), 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.