XAR vs. ARKX

Last updated Aug 2, 2026

XAR (SPDR S&P Aerospace & Defense ETF) and ARKX (ARK Space Exploration & Innovation ETF) are both Aerospace & Defense funds. XAR is passively managed, while ARKX is actively managed. Over the past 5 years, XAR returned 16.36%/yr vs 8.51%/yr for ARKX. Their correlation of 0.83 means they have usually moved in the same direction. XAR charges 0.35%/yr vs 0.75%/yr for ARKX.

Performance

XAR vs. ARKX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Aerospace & Defense ETF (XAR) and ARK Space Exploration & Innovation ETF (ARKX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XAR achieves a 9.86% return, which is significantly higher than ARKX's 5.59% return.

XAR

• 1D: 0.77%
• 1M: -7.89%
• 6M: -2.90%
• YTD: 9.86%
• 1Y: 24.03%
• 3Y*: 29.11%
• 5Y*: 16.36%
• 10Y*: 17.38%
• ALL TIME*: 18.36%

ARKX

• 1D: 0.82%
• 1M: -9.65%
• 6M: -4.35%
• YTD: 5.59%
• 1Y: 19.77%
• 3Y*: 25.50%
• 5Y*: 8.51%
• 10Y*: —
• ALL TIME*: 7.80%

*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)
ARKX ARK Space Exploration & Innovation ETF	$20.56M	$23.90M	$44.78M
XAR SPDR S&P Aerospace & Defense ETF	$64.82M	$59.56M	$61.10M

XAR vs. ARKX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
XAR SPDR S&P Aerospace & Defense ETF	9.86%	46.15%	23.32%	23.79%	-5.02%	-5.87%
ARKX ARK Space Exploration & Innovation ETF	5.59%	48.46%	26.67%	24.37%	-34.27%	-8.05%

Correlation

The correlation between XAR and ARKX is 0.89, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.89
Correlation (3Y) Balances recent behavior with more history.	0.84
Correlation (5Y) Shows whether the relationship held over a longer period.	0.83
Correlation (All Time) Calculated using the full available price history since Mar 30, 2021	0.83

The correlation between XAR and ARKX has been stable across timeframes, ranging from 0.83 to 0.89 - a consistent structural relationship.

XAR vs. ARKX - Sectors Allocation Comparison

Sectors	XAR	ARKX
Industrials	95.8%	52.5%
Basic Materials	3.1%	0.0%
Technology	1.0%	22.8%
Communication Services	-	8.2%
Consumer Cyclical	-	7.2%
Consumer Defensive	-	-
Energy	-	-
Financial Services	-	-
Healthcare	-	0.1%
Real Estate	-	-
Utilities	-	-

Return for Risk

XAR vs. ARKX — Risk / Return Rank

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

XAR

XAR Risk / Return Rank: 34
XAR Sharpe Ratio Rank: 32
XAR Sortino Ratio Rank: 34
XAR Omega Ratio Rank: 31
XAR Calmar Ratio Rank: 38
XAR Martin Ratio Rank: 35

ARKX

ARKX Risk / Return Rank: 24
ARKX Sharpe Ratio Rank: 23
ARKX Sortino Ratio Rank: 25
ARKX Omega Ratio Rank: 23
ARKX Calmar Ratio Rank: 26
ARKX Martin Ratio Rank: 24

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.

XAR vs. ARKX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Aerospace & Defense ETF (XAR) and ARK Space Exploration & Innovation ETF (ARKX). 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.

	XAR	ARKX	Difference
Sharpe ratio: Return per unit of total volatility	0.79	0.51	+0.29
Sortino ratio: Return per unit of downside risk	1.29	0.93	+0.36
Omega ratio: Gain probability vs. loss probability	1.15	1.11	+0.04
Calmar ratio: Return relative to maximum drawdown	1.33	0.79	+0.53
Martin ratio: Return relative to average drawdown	3.45	1.83	+1.61

XAR vs. ARKX - Sharpe Ratio Comparison

The current XAR Sharpe Ratio is 0.79, which is higher than the ARKX Sharpe Ratio of 0.51. The chart below compares the historical Sharpe Ratios of XAR and ARKX, 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

XAR vs. ARKX - Drawdown Comparison

The maximum XAR drawdown since its inception was -46.37%, which is greater than ARKX's maximum drawdown of -43.61%. Use the drawdown chart below to compare losses from any high point for XAR and ARKX.

Drawdown Indicators

	XAR	ARKX	Difference
Max Drawdown Largest peak-to-trough decline	-46.37%	-43.61%	-2.76%
Max Drawdown (1Y) Largest decline over 1 year	-17.22%	-21.78%	+4.56%
Max Drawdown (3Y) Largest decline over 3 years	-19.73%	-25.47%	+5.74%
Max Drawdown (5Y) Largest decline over 5 years	-27.55%	-43.61%	+16.06%
Max Drawdown (10Y) Largest decline over 10 years	-46.37%	—	—
Current Drawdown Current decline from peak	-9.47%	-18.92%	+9.45%
Average Drawdown Average peak-to-trough decline	-6.78%	-19.79%	+13.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.61%	9.41%	-2.80%

Volatility

XAR vs. ARKX - Volatility Comparison

SPDR S&P Aerospace & Defense ETF (XAR) has a higher volatility of 8.97% compared to ARK Space Exploration & Innovation ETF (ARKX) at 8.26%. This indicates that XAR's price experiences larger fluctuations and is considered to be riskier than ARKX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XAR	ARKX	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.97%	8.26%	+0.71%
Volatility (6M) Calculated over the trailing 6-month period	23.17%	26.07%	-2.90%
Volatility (1Y) Calculated over the trailing 1-year period	28.75%	33.91%	-5.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.84%	28.38%	-4.54%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.85%	27.76%	-2.91%

XAR vs. ARKX - Expense Ratio Comparison

XAR has a 0.35% expense ratio, which is lower than ARKX's 0.75% expense ratio.

Dividends

XAR vs. ARKX - Dividend Comparison

XAR's dividend yield for the trailing twelve months is around 0.31%, while ARKX has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ARKX ARK Space Exploration & Innovation ETF	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
XAR SPDR S&P Aerospace & Defense ETF	0.31%	0.40%	0.66%	0.54%	0.50%	0.83%	0.63%	0.75%	1.19%	0.76%	1.09%	2.31%

Frequently Asked Questions

Can I hold both XAR and ARKX in my portfolio?

XAR and ARKX have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XAR or ARKX?

XAR has higher volatility (8.97%) compared to ARKX (8.26%). In terms of maximum drawdown, XAR dropped -46.37% vs ARKX's -43.61%.

Which ETF is better, XAR or ARKX?

On 5-year performance, XAR leads with 16.36% vs 8.51% for ARKX. On fees, XAR is cheaper at 0.35% per year. On volatility, ARKX has been the lower-risk option at 8.26%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XAR or ARKX?

Over the 5-year period, XAR has performed better with a 16.36% return vs 8.51%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XAR or ARKX?

XAR is cheaper with a 0.35% expense ratio, compared with 0.75% for ARKX.

Which ETF pays a higher dividend yield, XAR or ARKX?

XAR has the higher dividend yield at 0.31%, compared with 0.00% for ARKX.

What is the main difference between XAR and ARKX?

They also come from different issuers: State Street and ARK. Their fees differ too: 0.35% for XAR and 0.75% for ARKX.

Which has better risk-adjusted returns?

XAR currently has the higher Sharpe Ratio (0.79 vs 0.51), 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.