ARKF Vs TPAY: Tracking and Exposure
4 min read
By Ron Koren, ETF Insider

ARKF Vs TPAY: Tracking and Exposure

Exchange-Traded Funds (ETFs) have gained significant popularity in recent years as versatile investment instruments offering exposure to various sectors and asset classes. In this article, we will conduct an in-depth comparison between two notable ETFs: ARKF (ARK Fintech Innovation ETF) and TPAY (Direxion Daily 20+ Year Treasury Bull 3X Shares). By exploring key aspects such as ETF tickers, full names, issuers, sectors, top holdings, capitalization, strategy, tracking, and exposure, we aim to provide investors with valuable insights for informed decision-making.

ARKF Vs TPAY: Overview

ARKF and TPAY represent two distinct investment opportunities within the ETF landscape. ARKF is dedicated to fintech innovation, investing in companies driving advancements in financial technology. On the other hand, TPAY is a leveraged ETF designed to deliver triple the daily performance of the ICE U.S. Treasury 20+ Year Bond Index. Despite their differing focus, both ETFs play a role in diversified portfolios and present unique risk-return profiles.

ARKF Vs TPAY: Sectors and Top Holdings

ARKF's portfolio consists of companies involved in various fintech segments, including digital wallets, blockchain technology, peer-to-peer lending, and more. Some of its top holdings include Square Inc., PayPal Holdings, and Shopify Inc. In contrast, TPAY's holdings are primarily focused on long-term U.S. Treasury bonds. Understanding these sectors and top holdings can help investors assess the potential impact of market trends and economic conditions on their investment choices.

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ARKF Vs TPAY: Capitalization and Strategy

ARKF has garnered substantial attention and assets, reflecting the growing interest in fintech disruption. Its strategy revolves around identifying innovative companies that have the potential to reshape the financial industry. On the other hand, TPAY employs leverage to magnify the daily returns of its underlying index, targeting investors with a strong belief in long-term U.S. Treasury bond performance. The difference in capitalization and strategy between these ETFs necessitates careful consideration of risk and potential returns.

ARKF Vs TPAY: Tracking and Exposure

ARKF's objective is to capture the growth potential of fintech innovations, and it does so by actively selecting and investing in companies it believes are at the forefront of disruptive technologies. TPAY's exposure, due to its leveraged nature, aims to amplify the returns of long-term U.S. Treasury bonds. While ARKF's tracking involves stock selection, TPAY's performance is tied to its underlying index's daily performance. Evaluating tracking methods and exposure strategies is crucial for aligning investments with personal objectives.

Conclusion

ARKF and TPAY are compelling ETFs that cater to different investment preferences and market views. Investors seeking a window into the holdings, correlations, overlaps, and other insights of these ETFs can turn to ETF Insider—a user-friendly app designed to provide comprehensive information on various financial instruments. Whether it's analyzing fintech companies or leveraged exposure to Treasury bonds, ETF Insider empowers investors to make informed decisions based on detailed data.

Disclaimer: This article is intended for informational purposes only and does not provide investment advisory services. It's crucial for investors to conduct thorough research and consider their financial goals and risk tolerance before making investment decisions.

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FAQ

  • Why is ARKF better than TPAY?

    ARKF may be considered better than TPAY for some investors due to its specific focus, offering diversification.

  • Does TPAY beat ARKF?

    TPAY's performance relative to ARKF will vary over time, depending on market conditions.

  • Should I invest in ARKF or TPAY?

    The choice between ARKF and TPAY should align with your investment goals, risk tolerance, and desired exposure.

  • Are ARKF and TPAY good investments?

    Both ARKF and TPAY can be suitable investments depending on individual investment strategies, goals, and risk profiles.

  • What is the correlation between ARKF and TPAY?

    The correlation between ARKF and TPAY can vary over time, reflecting differences in performance.