ARKX vs QQQ
ARK Space & Defense Innovation ETF vs Invesco QQQ Trust, Series 1
Which is better, ARKX or QQQ?
Mid Cap Growth against Large Cap Growth.
QQQ has a lower expense ratio. ARKX led over 1Y and 3Y, QQQ over 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 55.9%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | ARKX | QQQ |
|---|---|---|
| Expense Ratio | 0.75% | 0.18%Best |
| AUM | $760M | $483.5B |
| Dividend Yield | 0.00% | 0.44% |
| Holdings | 37 | 107 |
| YTD Return | +5.48% | +15.86%Best |
| 1Y Return | +23.69%Best | +22.63% |
| 3Y Return (annualized) | +29.94%Best | +24.15% |
| 5Y Return (annualized) | +8.78% | +14.16%Best |
| Volatility (annualized) | 27.7% | 20.4%Best |
| Max Drawdown | -43.6% | -35.1%Best |
| $10,000 over 5 years | $15,232 | $19,390Best |
| Top 10 Weight | 55.9% | 46.5%Best |
| Fund Family | Ark Invest | Invesco (US) |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Growth |
| Inception | Mar 30, 2021 | Mar 10, 1999 |
Volatility and max drawdown are measured over the window both funds cover: Mar 30, 2021 to Sep 10, 2026 (5.4 years).
ARKX vs QQQ growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 5.4 years both funds cover.
ARKX vs QQQ Performance
ARK Space & Defense Innovation ETF (ARKX) is an ETF from Ark Invest and Invesco QQQ Trust, Series 1 (QQQ) is an ETF from Invesco (US). Over the past year ARKX returned +23.69% while QQQ returned +22.63%. Year to date, ARKX is up 5.48% versus a gain of 15.86% for QQQ.
Over three years, ARKX compounded at +29.94% per year against +24.15% for QQQ; over five years the annualized figures are +8.78% and +14.16% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ARKX has been the more volatile fund, with annualized monthly volatility of 27.7% compared with 20.4% for QQQ. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -43.6% for ARKX and -35.1% for QQQ. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.76. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ARKX charges 0.75% per year while QQQ charges 0.18%. On a $10,000 position that is $75 vs $18 annually, a gap of $57 per year that compounds over a long holding period. On income, ARKX currently yields 0.00% against 0.44% for QQQ.
Holdings Overlap
44.9% of ARKX's money is in holdings QQQ also owns. 29.6% of QQQ's money is in holdings ARKX also owns.
The two portfolios partly overlap.
13 positions in common, counted across the 34 positions we hold weights for in ARKX and 102 in QQQ, against full books of 37 and 107.
What only one of them owns
Our book lists 82 positions for QQQ that do not appear in our book for ARKX (67.5% of the fund), and 16 for ARKX that do not appear in QQQ (46.2%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in ARKX | Weight in QQQ | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 3.69% | 8.44% | 4.75% |
| SPCXSpace Exploration Technologies | 8.95% | 0.91% | 8.04% |
| AMZNAmazon.Com Inc | 4.32% | 4.67% | 0.35% |
| AMDAdvanced Micro Devices Inc. | 4.67% | 3.45% | 1.22% |
| GOOGAlphabet Inc | 3.68% | 3.13% | 0.55% |
| RKLBRocket Lab Corporation | 5.70% | 0.19% | 5.51% |
| TSLATesla Inc | 2.93% | 2.56% | 0.37% |
| PLTRPalantir Technologies Inc | 3.54% | 1.60% | 1.94% |
| TERTeradyne Inc | 3.95% | 0.27% | 3.68% |
| GOOGLAlphabet A Usd 0.001 | 0.25% | 3.36% | 3.11% |
44.9% of ARKX is already inside QQQ.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, ARKX or QQQ?
ARKX has an expense ratio of 0.75% while QQQ charges 0.18%. QQQ is the cheaper option, by $57 a year on a $10,000 investment.
Which performed better, ARKX or QQQ?
Over the past year ARKX returned +23.69% vs +22.63% for QQQ, so ARKX leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ARKX or QQQ?
ARKX has been the more volatile fund at 27.7% annualized versus 20.4% for QQQ. Worst drawdown: ARKX -43.6% vs QQQ -35.1%.
Should I hold both ARKX and QQQ?
ARKX and QQQ have a monthly-return correlation of 0.76, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between ARKX and QQQ?
44.9% of ARKX's money is in holdings QQQ also owns. 29.6% of QQQ's is in holdings ARKX also owns. They hold 13 positions in common, counted across the 34 positions we hold weights for in ARKX and 102 in QQQ.
Which pays a higher dividend, ARKX or QQQ?
ARKX yields 0.00% while QQQ yields 0.44%, so QQQ currently pays the higher dividend yield.
Is QQQ better than ARKX?
QQQ has a lower expense ratio. ARKX led over 1Y and 3Y, QQQ over 5Y and the full window. QQQ is less concentrated, with 46.5% of the fund in its ten largest positions against 55.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.