IYW VS ARKK
3 min read
By Ron Koren, ETF Insider

IYW VS ARKK

Exchange-Traded Funds (ETFs) have transformed the landscape of modern investing, offering diversified exposure to various sectors and asset classes. In this article, we will conduct an in-depth comparison between two prominent ETFs: IYW (iShares U.S. Technology ETF) and ARKK (ARK Innovation ETF). Our exploration will encompass critical aspects such as ETF tickers, full names, issuers, sectors, top holdings, capitalization, investment strategy, tracking mechanisms, and exposure.

IYW Vs ARKK: Overview

IYW and ARKK are two ETFs that cater to different investment strategies within the technology sector. While IYW is designed to mirror the performance of the U.S. technology industry, ARKK focuses on innovative companies across various sectors. This distinction in focus leads to varying exposures and potential returns, which we will dissect in the upcoming sections.

IYW Vs ARKK: Sectors and Top Holdings

The IYW ETF primarily concentrates on the technology sector, holding significant positions in companies like Apple, Microsoft, and Nvidia. On the other hand, ARKK seeks companies with disruptive innovations in various industries, including Tesla, Teladoc Health, and Square. Understanding the sectors and top holdings aids investors in selecting an ETF that aligns with their investment objectives and risk tolerance.

IYW  overlap IYW VS ARKKIYW overlap IYW VS ARKK

IYW Vs ARKK: Capitalization and Investment Strategy

IYW boasts substantial assets under management (AUM), indicative of its popularity among investors interested in the tech sector's growth. ARKK's investment strategy revolves around identifying companies with transformative technologies and high growth potential. The variation in capitalization and investment approach introduces different levels of risk and return potential, necessitating careful consideration from investors.

IYW Vs ARKK: Tracking and Exposure

IYW aims to provide investors with exposure to the overall performance of the U.S. technology industry. In contrast, ARKK seeks to capture the potential of innovation across sectors, not limited to technology. IYW achieves this through a selection of technology-related stocks, while ARKK employs active management to uncover companies with groundbreaking advancements. Distinguishing the tracking and exposure methodologies helps investors make informed decisions based on their specific investment goals.

Conclusion

IYW and ARKK stand as distinct ETFs, each offering a unique approach to investing in the technology and innovation sectors. For those seeking a deeper understanding of the holdings, correlations, overlaps, and insightful analyses, ETF Insider serves as the ultimate tool. With its user-friendly app, it empowers investors with comprehensive information about these and other financial instruments, facilitating well-informed investment choices.

Disclaimer: This article is intended for informational purposes only and does not provide any investment advisory services.

Sources:
iShares: iShares.com
ARK Invest: ark-invest.com

IYW quote and analysis

Discover the top holdings, correlations, and overlaps of ETFs using our visualization tool.
Our app allows you to build and track your portfolio.
To learn more about the IYW iShares U.S. Technology ETF, access our dedicated page now.

Get started

FAQ

  • Why is IYW better than ARKK?

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

  • Does ARKK beat IYW?

    ARKK's performance relative to IYW will vary over time, depending on market conditions.

  • Should I invest in IYW or ARKK?

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

  • Are IYW and ARKK good investments?

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

  • What is the correlation between IYW and ARKK?

    The correlation between IYW and ARKK can vary over time, reflecting differences in performance.