BRK-B vs. PPA

Last updated Jun 9, 2026

BRK-B (Berkshire Hathaway Inc.) is a stock, while PPA (Invesco Aerospace & Defense ETF) is Aerospace & Defense fund tracking the SPADE Defense Index. Over the past 10 years, BRK-B returned 13.14%/yr vs 17.28%/yr for PPA. A 0.55 correlation means they provide meaningful diversification when combined.

Performance

BRK-B vs. PPA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Berkshire Hathaway Inc. (BRK-B) and Invesco Aerospace & Defense ETF (PPA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BRK-B achieves a -3.11% return, which is significantly lower than PPA's 8.41% return. Over the past 10 years, BRK-B has underperformed PPA with an annualized return of 13.14%, while PPA has yielded a comparatively higher 17.28% annualized return.

BRK-B

• 1D: -0.23%
• 1M: 2.32%
• YTD: -3.11%
• 6M: -2.06%
• 1Y: -1.32%
• 3Y*: 13.25%
• 5Y*: 11.03%
• 10Y*: 13.14%

PPA

• 1D: -0.43%
• 1M: 1.28%
• YTD: 8.41%
• 6M: 11.71%
• 1Y: 25.14%
• 3Y*: 28.15%
• 5Y*: 17.94%
• 10Y*: 17.28%

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

BRK-B vs. PPA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BRK-B Berkshire Hathaway Inc.	-3.11%	10.89%	27.09%	15.46%	3.31%	28.95%	2.37%	10.93%	3.01%	21.62%
PPA Invesco Aerospace & Defense ETF	8.41%	37.15%	25.28%	18.41%	9.52%	7.09%	0.45%	39.63%	-7.51%	30.10%

Correlation

The correlation between BRK-B and PPA is 0.07, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.07
Correlation (3Y) Calculated over the trailing 3-year period	0.32
Correlation (5Y) Calculated over the trailing 5-year period	0.50
Correlation (10Y) Calculated over the trailing 10-year period	0.56
Correlation (All Time) Calculated using the full available price history since Oct 26, 2005	0.55

Over the past year, the correlation between BRK-B and PPA has dropped to 0.07 - well below their long-term average of 0.55, suggesting their price drivers have been diverging.

Return for Risk

BRK-B vs. PPA — Risk / Return Rank

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

BRK-B

BRK-B Risk / Return Rank: 35
BRK-B Sharpe Ratio Rank: 38
BRK-B Sortino Ratio Rank: 30
BRK-B Omega Ratio Rank: 30
BRK-B Calmar Ratio Rank: 38
BRK-B Martin Ratio Rank: 37

PPA

PPA Risk / Return Rank: 40
PPA Sharpe Ratio Rank: 41
PPA Sortino Ratio Rank: 42
PPA Omega Ratio Rank: 38
PPA Calmar Ratio Rank: 41
PPA Martin Ratio Rank: 37

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.

BRK-B vs. PPA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Berkshire Hathaway Inc. (BRK-B) and Invesco Aerospace & Defense ETF (PPA). 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.

	BRK-B	PPA	Difference
Sharpe ratio: Return per unit of total volatility	-0.09	1.32	-1.41
Sortino ratio: Return per unit of downside risk	-0.03	1.94	-1.97
Omega ratio: Gain probability vs. loss probability	1.00	1.23	-0.23
Calmar ratio: Return relative to maximum drawdown	-0.14	1.84	-1.98
Martin ratio: Return relative to average drawdown	-0.30	5.29	-5.59
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BRK-B vs. PPA - Sharpe Ratio Comparison

The current BRK-B Sharpe Ratio is -0.09, which is lower than the PPA Sharpe Ratio of 1.32. The chart below compares the historical Sharpe Ratios of BRK-B and PPA, 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

	BRK-B	PPA	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.09	1.32	-1.41
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.65	0.97	-0.33
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.68	0.84	-0.16
Sharpe Ratio (All Time) Calculated using the full available price history	0.48	0.66	-0.17

Drawdowns

BRK-B vs. PPA - Drawdown Comparison

The maximum BRK-B drawdown since its inception was -53.86%, smaller than the maximum PPA drawdown of -57.37%. Use the drawdown chart below to compare losses from any high point for BRK-B and PPA.

Drawdown Indicators

	BRK-B	PPA	Difference
Max Drawdown Largest peak-to-trough decline	-53.86%	-57.37%	+3.51%
Max Drawdown (1Y) Largest decline over 1 year	-9.42%	-13.71%	+4.29%
Max Drawdown (3Y) Largest decline over 3 years	-14.95%	-15.24%	+0.29%
Max Drawdown (5Y) Largest decline over 5 years	-26.58%	-18.37%	-8.21%
Max Drawdown (10Y) Largest decline over 10 years	-29.57%	-43.92%	+14.35%
Current Drawdown Current decline from peak	-9.78%	-8.50%	-1.28%
Average Drawdown Average peak-to-trough decline	-11.07%	-9.18%	-1.89%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.49%	4.76%	-0.27%

Volatility

BRK-B vs. PPA - Volatility Comparison

The current volatility for Berkshire Hathaway Inc. (BRK-B) is 3.98%, while Invesco Aerospace & Defense ETF (PPA) has a volatility of 6.71%. This indicates that BRK-B experiences smaller price fluctuations and is considered to be less risky than PPA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BRK-B	PPA	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.98%	6.71%	-2.73%
Volatility (6M) Calculated over the trailing 6-month period	10.87%	16.11%	-5.24%
Volatility (1Y) Calculated over the trailing 1-year period	14.38%	19.23%	-4.85%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.13%	18.53%	-1.40%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.44%	20.66%	-1.22%

Dividends

BRK-B vs. PPA - Dividend Comparison

BRK-B has not paid dividends to shareholders, while PPA's dividend yield for the trailing twelve months is around 0.39%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BRK-B Berkshire Hathaway Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
PPA Invesco Aerospace & Defense ETF	0.39%	0.42%	0.61%	0.67%	0.83%	0.59%	0.88%	0.95%	0.90%	0.67%	1.70%	1.41%

Frequently Asked Questions

Can I hold both BRK-B and PPA in my portfolio?

BRK-B and PPA have a correlation of 0.07, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BRK-B or PPA?

PPA has higher volatility (6.71%) compared to BRK-B (3.98%). In terms of maximum drawdown, BRK-B dropped -53.86% vs PPA's -57.37%.

Which has better risk-adjusted returns?

PPA currently has the higher Sharpe Ratio (1.32 vs -0.09), 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.