ARKW vs. MACGX

Last updated Jun 4, 2026

ARKW (ARK Next Generation Internet ETF) and MACGX (Morgan Stanley Institutional Fund Trust Discovery Portfolio Class A) are both Mid Cap Growth Equities funds. Over the past 10 years, ARKW returned 22.99%/yr vs 14.70%/yr for MACGX. Their correlation of 0.86 suggests significant overlap in exposure. ARKW charges 0.76%/yr vs 1.00%/yr for MACGX.

Performance

ARKW vs. MACGX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ARK Next Generation Internet ETF (ARKW) and Morgan Stanley Institutional Fund Trust Discovery Portfolio Class A (MACGX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ARKW achieves a -0.79% return, which is significantly lower than MACGX's 6.63% return. Over the past 10 years, ARKW has outperformed MACGX with an annualized return of 22.99%, while MACGX has yielded a comparatively lower 14.70% annualized return.

ARKW

• 1D: -2.98%
• 1M: 2.53%
• YTD: -0.79%
• 6M: -3.36%
• 1Y: 19.55%
• 3Y*: 40.12%
• 5Y*: 1.89%
• 10Y*: 22.99%

MACGX

• 1D: -1.67%
• 1M: 5.93%
• YTD: 6.63%
• 6M: 3.09%
• 1Y: 5.74%
• 3Y*: 26.93%
• 5Y*: -3.23%
• 10Y*: 14.70%

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

ARKW vs. MACGX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ARKW ARK Next Generation Internet ETF	-0.79%	38.93%	42.27%	96.89%	-67.49%	-18.85%	157.44%	35.76%	4.24%	87.29%
MACGX Morgan Stanley Institutional Fund Trust Discovery Portfolio Class A	6.63%	13.71%	42.06%	46.30%	-63.51%	-12.84%	142.01%	39.41%	11.85%	38.99%

Correlation

The correlation between ARKW and MACGX is 0.83, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.83
Correlation (3Y) Calculated over the trailing 3-year period	0.86
Correlation (5Y) Calculated over the trailing 5-year period	0.90
Correlation (10Y) Calculated over the trailing 10-year period	0.88
Correlation (All Time) Calculated using the full available price history since Oct 1, 2014	0.86

The correlation between ARKW and MACGX has been stable across timeframes, ranging from 0.83 to 0.90 - a consistent structural relationship.

Return for Risk

ARKW vs. MACGX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

ARKW

ARKW Risk / Return Rank: 17
ARKW Sharpe Ratio Rank: 18
ARKW Sortino Ratio Rank: 19
ARKW Omega Ratio Rank: 19
ARKW Calmar Ratio Rank: 15
ARKW Martin Ratio Rank: 14

MACGX

MACGX Risk / Return Rank: 4
MACGX Sharpe Ratio Rank: 4
MACGX Sortino Ratio Rank: 4
MACGX Omega Ratio Rank: 4
MACGX Calmar Ratio Rank: 4
MACGX Martin Ratio Rank: 3

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.

ARKW vs. MACGX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ARK Next Generation Internet ETF (ARKW) and Morgan Stanley Institutional Fund Trust Discovery Portfolio Class A (MACGX). 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.

	ARKW	MACGX	Difference
Sharpe ratio: Return per unit of total volatility	0.60	0.25	+0.34
Sortino ratio: Return per unit of downside risk	1.01	0.55	+0.46
Omega ratio: Gain probability vs. loss probability	1.12	1.06	+0.06
Calmar ratio: Return relative to maximum drawdown	0.54	0.26	+0.29
Martin ratio: Return relative to average drawdown	1.12	0.55	+0.57
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ARKW vs. MACGX - Sharpe Ratio Comparison

The current ARKW Sharpe Ratio is 0.60, which is higher than the MACGX Sharpe Ratio of 0.25. The chart below compares the historical Sharpe Ratios of ARKW and MACGX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	ARKW	MACGX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.60	0.25	+0.34
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.04	-0.07	+0.11
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.61	0.37	+0.24
Sharpe Ratio (All Time) Calculated using the full available price history	0.58	0.33	+0.25

Drawdowns

ARKW vs. MACGX - Drawdown Comparison

The maximum ARKW drawdown since its inception was -80.52%, roughly equal to the maximum MACGX drawdown of -77.61%. Use the drawdown chart below to compare losses from any high point for ARKW and MACGX.

Drawdown Indicators

	ARKW	MACGX	Difference
Max Drawdown Largest peak-to-trough decline	-80.52%	-77.61%	-2.91%
Max Drawdown (1Y) Largest decline over 1 year	-36.21%	-27.55%	-8.66%
Max Drawdown (3Y) Largest decline over 3 years	-36.21%	-28.55%	-7.66%
Max Drawdown (5Y) Largest decline over 5 years	-77.36%	-77.61%	+0.25%
Max Drawdown (10Y) Largest decline over 10 years	-80.52%	-77.61%	-2.91%
Current Drawdown Current decline from peak	-20.48%	-40.72%	+20.24%
Average Drawdown Average peak-to-trough decline	-23.98%	-25.65%	+1.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	17.52%	12.75%	+4.77%

Volatility

ARKW vs. MACGX - Volatility Comparison

The current volatility for ARK Next Generation Internet ETF (ARKW) is 7.95%, while Morgan Stanley Institutional Fund Trust Discovery Portfolio Class A (MACGX) has a volatility of 8.96%. This indicates that ARKW experiences smaller price fluctuations and is considered to be less risky than MACGX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ARKW	MACGX	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.95%	8.96%	-1.01%
Volatility (6M) Calculated over the trailing 6-month period	23.54%	21.23%	+2.31%
Volatility (1Y) Calculated over the trailing 1-year period	32.93%	27.81%	+5.12%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	43.49%	48.30%	-4.81%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	37.69%	39.37%	-1.68%

ARKW vs. MACGX - Expense Ratio Comparison

ARKW has a 0.76% expense ratio, which is lower than MACGX's 1.00% expense ratio.

Dividends

ARKW vs. MACGX - Dividend Comparison

ARKW's dividend yield for the trailing twelve months is around 1.60%, while MACGX has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ARKW ARK Next Generation Internet ETF	1.60%	1.59%	0.00%	0.00%	0.00%	0.17%	1.29%	0.00%	13.05%	2.05%	0.00%	2.29%
MACGX Morgan Stanley Institutional Fund Trust Discovery Portfolio Class A	0.00%	0.00%	0.00%	0.00%	0.00%	52.53%	9.95%	15.34%	29.46%	48.48%	75.72%	14.05%

Frequently Asked Questions

Can I hold both ARKW and MACGX in my portfolio?

ARKW and MACGX have a correlation of 0.83, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ARKW or MACGX?

MACGX has higher volatility (8.96%) compared to ARKW (7.95%). In terms of maximum drawdown, ARKW dropped -80.52% vs MACGX's -77.61%.

Which has better risk-adjusted returns?

ARKW currently has the higher Sharpe Ratio (0.60 vs 0.25), 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.