FAI vs. ARMH

Last updated Jun 24, 2026

FAI (First Trust Bloomberg Artificial Intelligence ETF) and ARMH (Arm Holdings PLC ADRhedged ETF) are both Technology Equities funds. FAI is passively managed, while ARMH is actively managed. A 0.77 correlation means they provide meaningful diversification when combined. FAI charges 0.65%/yr vs 0.19%/yr for ARMH.

Performance

FAI vs. ARMH - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Bloomberg Artificial Intelligence ETF (FAI) and Arm Holdings PLC ADRhedged ETF (ARMH). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

FAI

• 1D: -4.82%
• 1M: 1.99%
• YTD: 27.58%
• 6M: 26.62%
• 1Y: 56.66%
• 3Y*: —
• 5Y*: —
• 10Y*: —

ARMH

• 1D: -9.46%
• 1M: —
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

FAI vs. ARMH - Yearly Performance Comparison

	2026 (YTD)
FAI First Trust Bloomberg Artificial Intelligence ETF	-1.27%
ARMH Arm Holdings PLC ADRhedged ETF	19.49%

Correlation

The correlation between FAI and ARMH is 0.77, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since May 28, 2026	0.77

Return for Risk

FAI vs. ARMH — Risk / Return Rank

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

FAI

FAI Risk / Return Rank: 64
FAI Sharpe Ratio Rank: 71
FAI Sortino Ratio Rank: 60
FAI Omega Ratio Rank: 63
FAI Calmar Ratio Rank: 67
FAI Martin Ratio Rank: 58

ARMH

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

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.

FAI vs. ARMH - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Bloomberg Artificial Intelligence ETF (FAI) and Arm Holdings PLC ADRhedged ETF (ARMH). 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.

	FAI	ARMH	Difference
Sharpe ratio: Return per unit of total volatility	2.08	—	—
Sortino ratio: Return per unit of downside risk	2.56	—	—
Omega ratio: Gain probability vs. loss probability	1.35	—	—
Calmar ratio: Return relative to maximum drawdown	3.02	—	—
Martin ratio: Return relative to average drawdown	9.38	—	—

Drawdowns

FAI vs. ARMH - Drawdown Comparison

The maximum FAI drawdown since its inception was -27.82%, which is greater than ARMH's maximum drawdown of -24.85%. Use the drawdown chart below to compare losses from any high point for FAI and ARMH.

Drawdown Indicators

	FAI	ARMH	Difference
Max Drawdown Largest peak-to-trough decline	-27.82%	-24.85%	-2.97%
Max Drawdown (1Y) Largest decline over 1 year	-18.84%	—	—
Current Drawdown Current decline from peak	-9.38%	-16.34%	+6.96%
Average Drawdown Average peak-to-trough decline	-5.37%	-7.72%	+2.35%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.06%	—	—

Volatility

Volatility by Period

	FAI	ARMH	Difference
Volatility (1M) Calculated over the trailing 1-month period	14.67%	—	—
Volatility (6M) Calculated over the trailing 6-month period	22.72%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	27.43%	122.02%	-94.59%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	31.12%	122.02%	-90.90%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	31.12%	122.02%	-90.90%

FAI vs. ARMH - Expense Ratio Comparison

FAI has a 0.65% expense ratio, which is higher than ARMH's 0.19% expense ratio.

Dividends

FAI vs. ARMH - Dividend Comparison

Neither FAI nor ARMH has paid dividends to shareholders.

Position	TTM	2025	2024
ARMH Arm Holdings PLC ADRhedged ETF	0.00%	0.00%	0.00%
FAI First Trust Bloomberg Artificial Intelligence ETF	0.00%	0.00%	0.04%

Frequently Asked Questions

Can I hold both FAI and ARMH in my portfolio?

FAI and ARMH have a correlation of 0.77, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, FAI or ARMH?

On fees, ARMH is cheaper at 0.19% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, FAI or ARMH?

ARMH is cheaper with a 0.19% expense ratio, compared with 0.65% for FAI.

Which ETF pays a higher dividend yield, FAI or ARMH?

FAI and ARMH have nearly identical dividend yields, around 0.00%.

What is the main difference between FAI and ARMH?

They also come from different issuers: First Trust and Precidian. Their fees differ too: 0.65% for FAI and 0.19% for ARMH.