ARKW vs. SHLD

Last updated Jun 13, 2026

ARKW (ARK Next Generation Internet ETF) and SHLD (Global X Defense Tech ETF) are both exchange-traded funds - ARKW is a Mid Cap Growth Equities fund actively managed by ARK, while SHLD is a Aerospace & Defense fund tracking the Global X Defense Tech Index. ARKW is actively managed, while SHLD is passively managed. Over the past year, ARKW returned 10.46% vs 10.40% for SHLD. At a 0.44 correlation, their price movements are largely independent. ARKW charges 0.76%/yr vs 0.50%/yr for SHLD.

Performance

ARKW vs. SHLD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ARK Next Generation Internet ETF (ARKW) and Global X Defense Tech ETF (SHLD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ARKW achieves a -4.37% return, which is significantly lower than SHLD's -1.50% return.

ARKW

• 1D: 0.87%
• 1M: -3.08%
• YTD: -4.37%
• 6M: -7.45%
• 1Y: 10.46%
• 3Y*: 36.42%
• 5Y*: 0.46%
• 10Y*: 22.51%

SHLD

• 1D: -2.04%
• 1M: 0.05%
• YTD: -1.50%
• 6M: -1.03%
• 1Y: 10.40%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

ARKW vs. SHLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
ARKW ARK Next Generation Internet ETF	-4.37%	38.93%	42.27%	28.88%
SHLD Global X Defense Tech ETF	-1.50%	74.16%	35.03%	12.89%

Correlation

The correlation between ARKW and SHLD is 0.49, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.49
Correlation (All Time) Calculated using the full available price history since Sep 13, 2023	0.44

ARKW vs. SHLD - Sectors Allocation Comparison

Sectors	ARKW	SHLD
Technology	45.1%	11.8%
Consumer Cyclical	16.3%	-
Communication Services	14.9%	-
Financial Services	14.2%	-
Industrials	1.4%	88.2%
Basic Materials	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Real Estate	-	-
Utilities	-	-

Return for Risk

ARKW vs. SHLD — Risk / Return Rank

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

ARKW

ARKW Risk / Return Rank: 14
ARKW Sharpe Ratio Rank: 15
ARKW Sortino Ratio Rank: 15
ARKW Omega Ratio Rank: 15
ARKW Calmar Ratio Rank: 13
ARKW Martin Ratio Rank: 12

SHLD

SHLD Risk / Return Rank: 16
SHLD Sharpe Ratio Rank: 17
SHLD Sortino Ratio Rank: 17
SHLD Omega Ratio Rank: 16
SHLD Calmar Ratio Rank: 16
SHLD Martin Ratio Rank: 16

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. SHLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ARK Next Generation Internet ETF (ARKW) and Global X Defense Tech ETF (SHLD). 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.

	ARKW	SHLD	Difference
Sharpe ratio: Return per unit of total volatility	0.32	0.43	-0.11
Sortino ratio: Return per unit of downside risk	0.65	0.78	-0.13
Omega ratio: Gain probability vs. loss probability	1.08	1.09	-0.01
Calmar ratio: Return relative to maximum drawdown	0.29	0.52	-0.23
Martin ratio: Return relative to average drawdown	0.59	1.28	-0.70

ARKW vs. SHLD - Sharpe Ratio Comparison

The current ARKW Sharpe Ratio is 0.32, which is comparable to the SHLD Sharpe Ratio of 0.43. The chart below compares the historical Sharpe Ratios of ARKW and SHLD, 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

ARKW vs. SHLD - Drawdown Comparison

The maximum ARKW drawdown since its inception was -80.52%, which is greater than SHLD's maximum drawdown of -20.10%. Use the drawdown chart below to compare losses from any high point for ARKW and SHLD.

Drawdown Indicators

	ARKW	SHLD	Difference
Max Drawdown Largest peak-to-trough decline	-80.52%	-20.10%	-60.42%
Max Drawdown (1Y) Largest decline over 1 year	-36.21%	-20.10%	-16.11%
Max Drawdown (3Y) Largest decline over 3 years	-36.21%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-77.36%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-80.52%	—	—
Current Drawdown Current decline from peak	-23.35%	-18.20%	-5.15%
Average Drawdown Average peak-to-trough decline	-23.97%	-3.34%	-20.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	17.89%	8.12%	+9.77%

Volatility

ARKW vs. SHLD - Volatility Comparison

ARK Next Generation Internet ETF (ARKW) has a higher volatility of 10.38% compared to Global X Defense Tech ETF (SHLD) at 9.05%. This indicates that ARKW's price experiences larger fluctuations and is considered to be riskier than SHLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ARKW	SHLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	10.38%	9.05%	+1.33%
Volatility (6M) Calculated over the trailing 6-month period	24.57%	19.94%	+4.63%
Volatility (1Y) Calculated over the trailing 1-year period	32.92%	24.55%	+8.37%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	43.59%	21.29%	+22.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	37.73%	21.29%	+16.44%

ARKW vs. SHLD - Expense Ratio Comparison

ARKW has a 0.76% expense ratio, which is higher than SHLD's 0.50% expense ratio.

Dividends

ARKW vs. SHLD - Dividend Comparison

ARKW's dividend yield for the trailing twelve months is around 1.66%, more than SHLD's 0.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ARKW ARK Next Generation Internet ETF	1.66%	1.59%	0.00%	0.00%	0.00%	0.17%	1.29%	0.00%	13.05%	2.05%	0.00%	2.29%
SHLD Global X Defense Tech ETF	0.56%	0.55%	0.53%	0.26%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both ARKW and SHLD in my portfolio?

ARKW and SHLD have a correlation of 0.49, 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 SHLD?

ARKW has higher volatility (10.38%) compared to SHLD (9.05%). In terms of maximum drawdown, ARKW dropped -80.52% vs SHLD's -20.10%.

Which ETF is better, ARKW or SHLD?

On 1-year performance, ARKW leads with 10.46% vs 10.40% for SHLD. On fees, SHLD is cheaper at 0.50% per year. On volatility, SHLD has been the lower-risk option at 9.05%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ARKW or SHLD?

Over the 1-year period, ARKW has performed better with a 10.46% return vs 10.40%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ARKW or SHLD?

SHLD is cheaper with a 0.50% expense ratio, compared with 0.76% for ARKW.

Which ETF pays a higher dividend yield, ARKW or SHLD?

ARKW has the higher dividend yield at 1.66%, compared with 0.56% for SHLD.

What is the main difference between ARKW and SHLD?

ARKW is categorized as Mid Cap Growth Equities, while SHLD is Aerospace & Defense. They also come from different issuers: ARK and Global X. Their fees differ too: 0.76% for ARKW and 0.50% for SHLD.

Which has better risk-adjusted returns?

SHLD currently has the higher Sharpe Ratio (0.43 vs 0.32), 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.