SCHA vs. ARKK

Last updated Aug 2, 2026

SCHA (Schwab U.S. Small-Cap ETF) and ARKK (ARK Innovation ETF) are both exchange-traded funds - SCHA is a Small Cap Blend Equities fund tracking the Dow Jones U.S. Small-Cap Total Stock Market Index, while ARKK is a Technology Equities fund actively managed by ARK. SCHA is passively managed, while ARKK is actively managed. Over the past 10 years, SCHA returned 10.65%/yr vs 14.31%/yr for ARKK. Their 0.72 correlation means they have sometimes moved together and sometimes differently. SCHA charges 0.04%/yr vs 0.75%/yr for ARKK.

Performance

SCHA vs. ARKK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab U.S. Small-Cap ETF (SCHA) and ARK Innovation ETF (ARKK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SCHA achieves a 18.33% return, which is significantly higher than ARKK's -7.38% return. Over the past 10 years, SCHA has underperformed ARKK with an annualized return of 10.65%, while ARKK has yielded a comparatively higher 14.31% annualized return.

SCHA

• 1D: -0.39%
• 1M: -3.89%
• 6M: 12.19%
• YTD: 18.33%
• 1Y: 34.29%
• 3Y*: 15.08%
• 5Y*: 7.26%
• 10Y*: 10.65%
• ALL TIME*: 12.36%

ARKK

• 1D: -2.28%
• 1M: -12.32%
• 6M: -4.85%
• YTD: -7.38%
• 1Y: 0.11%
• 3Y*: 13.25%
• 5Y*: -9.65%
• 10Y*: 14.31%
• ALL TIME*: 12.17%

*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
SCHA Schwab U.S. Small-Cap ETF	$74.33M	$80.60M	$78.60M

SCHA vs. ARKK - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SCHA Schwab U.S. Small-Cap ETF	18.33%	11.60%	11.16%	18.46%	-19.81%	16.45%	19.34%	26.50%	-11.79%	14.94%
ARKK ARK Innovation ETF	-7.38%	35.49%	8.40%	69.04%	-66.97%	-23.60%	152.71%	35.08%	3.52%	87.33%

Correlation

The correlation between SCHA and ARKK 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.	0.77
Correlation (5Y) Shows whether the relationship held over a longer period.	0.78
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 SCHA and ARKK has been stable across timeframes, ranging from 0.72 to 0.78 - a consistent structural relationship.

SCHA vs. ARKK - Sectors Allocation Comparison

Sectors	SCHA	ARKK
Technology	21.0%	25.8%
Financial Services	16.0%	12.8%
Healthcare	15.8%	32.0%
Industrials	14.6%	9.4%
Consumer Cyclical	9.2%	13.0%
Real Estate	6.5%	-
Energy	4.9%	-
Basic Materials	4.5%	-
Communication Services	2.5%	7.1%
Consumer Defensive	2.5%	-
Utilities	2.2%	-

Return for Risk

SCHA vs. ARKK — Risk / Return Rank

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

SCHA

SCHA Risk / Return Rank: 77
SCHA Sharpe Ratio Rank: 74
SCHA Sortino Ratio Rank: 76
SCHA Omega Ratio Rank: 68
SCHA Calmar Ratio Rank: 86
SCHA Martin Ratio Rank: 82

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

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.

SCHA vs. ARKK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab U.S. Small-Cap ETF (SCHA) and ARK Innovation ETF (ARKK). 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.

	SCHA	ARKK	Difference
Sharpe ratio: Return per unit of total volatility	1.66	-0.15	+1.81
Sortino ratio: Return per unit of downside risk	2.43	0.05	+2.38
Omega ratio: Gain probability vs. loss probability	1.28	1.01	+0.28
Calmar ratio: Return relative to maximum drawdown	3.37	-0.17	+3.54
Martin ratio: Return relative to average drawdown	10.77	-0.35	+11.12

SCHA vs. ARKK - Sharpe Ratio Comparison

The current SCHA Sharpe Ratio is 1.66, which is higher than the ARKK Sharpe Ratio of -0.15. The chart below compares the historical Sharpe Ratios of SCHA and ARKK, 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

SCHA vs. ARKK - Drawdown Comparison

The maximum SCHA drawdown since its inception was -42.41%, smaller than the maximum ARKK drawdown of -80.97%. Use the drawdown chart below to compare losses from any high point for SCHA and ARKK.

Drawdown Indicators

	SCHA	ARKK	Difference
Max Drawdown Largest peak-to-trough decline	-42.41%	-80.97%	+38.56%
Max Drawdown (1Y) Largest decline over 1 year	-9.50%	-31.35%	+21.85%
Max Drawdown (3Y) Largest decline over 3 years	-27.29%	-39.56%	+12.27%
Max Drawdown (5Y) Largest decline over 5 years	-30.79%	-76.27%	+45.48%
Max Drawdown (10Y) Largest decline over 10 years	-42.41%	-80.97%	+38.56%
Current Drawdown Current decline from peak	-7.11%	-53.87%	+46.76%
Average Drawdown Average peak-to-trough decline	-7.54%	-30.38%	+22.84%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.97%	15.57%	-12.60%

Volatility

SCHA vs. ARKK - Volatility Comparison

The current volatility for Schwab U.S. Small-Cap ETF (SCHA) is 5.74%, while ARK Innovation ETF (ARKK) has a volatility of 10.19%. This indicates that SCHA experiences smaller price fluctuations and is considered to be less risky than ARKK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SCHA	ARKK	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.74%	10.19%	-4.45%
Volatility (6M) Calculated over the trailing 6-month period	14.70%	27.72%	-13.02%
Volatility (1Y) Calculated over the trailing 1-year period	19.29%	36.83%	-17.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.06%	46.55%	-24.49%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.77%	40.48%	-17.71%

SCHA vs. ARKK - Expense Ratio Comparison

SCHA has a 0.04% expense ratio, which is lower than ARKK's 0.75% expense ratio.

Dividends

SCHA vs. ARKK - Dividend Comparison

SCHA's dividend yield for the trailing twelve months is around 1.07%, while ARKK has not paid dividends to shareholders.

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%
SCHA Schwab U.S. Small-Cap ETF	1.07%	1.26%	1.51%	1.42%	1.37%	1.19%	1.05%	1.39%	1.58%	1.24%	1.50%	1.48%

Frequently Asked Questions

Can I hold both SCHA and ARKK in my portfolio?

SCHA and ARKK 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, SCHA or ARKK?

ARKK has higher volatility (10.19%) compared to SCHA (5.74%). In terms of maximum drawdown, SCHA dropped -42.41% vs ARKK's -80.97%.

Which ETF is better, SCHA or ARKK?

On 10-year performance, ARKK leads with 14.31% vs 10.65% for SCHA. On fees, SCHA is cheaper at 0.04% per year. On volatility, SCHA has been the lower-risk option at 5.74%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SCHA or ARKK?

Over the 10-year period, ARKK has performed better with a 14.31% return vs 10.65%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SCHA or ARKK?

SCHA is cheaper with a 0.04% expense ratio, compared with 0.75% for ARKK.

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

SCHA has the higher dividend yield at 1.07%, compared with 0.00% for ARKK.

What is the main difference between SCHA and ARKK?

SCHA is categorized as Small Cap Blend Equities, while ARKK is Technology Equities. They also come from different issuers: Charles Schwab and ARK. Their fees differ too: 0.04% for SCHA and 0.75% for ARKK.

Which has better risk-adjusted returns?

SCHA currently has the higher Sharpe Ratio (1.66 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.