best space etf

**Best-in-Class Pick: Procure Space ETF (UFO)** 🚀🌌 Over the last 12 months, UFO has delivered the highest total return (+91.8 %) and the strongest risk-adjusted performance (Sharpe ≈ 2.54) among the major space-themed ETFs we screened, edging out ARKX and ROKT. While its volatility is the highest of the trio, your stated high risk tolerance and five-year horizon make UFO a compelling core vehicle for accessing the booming space economy. --- ### How the Leading Space ETFs Stack Up ```reference [{"type":"table-json","id":21}] ``` Key observations • **Performance** – UFO tops both absolute and risk-adjusted returns, with ARKX a close second and ROKT lagging but still strong. Data cover 22 Oct 2024 → 22 Oct 2025. • **Volatility** – ROKT’s narrower remit (space + deep-sea exploration) keeps its annualized volatility ~26 %, versus ~33–35 % for UFO/ARKX. • **Cost & Structure** – – UFO: Passive index, 0.75 % expense ratio, ~35 holdings. – ARKX: Actively managed by Cathie Wood’s ARK, 0.75 % fee, 35–55 holdings skewed to “space-enabled” tech like drones & AI. – ROKT: Passive AI-driven index, 0.45 % fee, ~30 holdings, AUM ~$30 M (lowest liquidity). • **Holdings Tilt** – – UFO emphasizes satellite operators (IRDM, LORL), launch & communications. – ARKX blends pure space with adjacent “aero/AI” disruptors (RKLB, PLTR). – ROKT adds a unique deep-sea component but still captures big names like BA & LMT. --- ### 1-Year Relative Price Performance ```reference [{"type":"plotly-json","id":10}] ``` --- ### Putting It All Together 1. **Core Choice – UFO**: Highest Sharpe, pure-play space index, but brace for swings. Pair with broader tech/industrial exposure (e.g., VGT, ITA) to diversify. 2. **Satellite Position – ARKX**: If you want an active manager hunting earlier-stage “space-enabled” themes (AI drones, hypersonics), ARKX can juice growth but charges the same 0.75 % fee as UFO and sometimes overlaps your existing growth picks (e.g., KTOS, PLTR). 3. **Cost-Conscious Buffer – ROKT**: Lowest fee (0.45 %) and volatility; suitable if you prefer a steadier ride or plan to size up your allocation without inflating expenses. --- ### Next Steps 🗺️ • **Sizing & Rebalancing** – Consider an initial 5 % weight in UFO, with optional 2–3 % in ARKX for active alpha, and/or a 3–5 % sleeve in ROKT for cost/vol dampening. • **Monitor Catalysts** – Watch for satellite-launch cadence, defense-budget updates, and quarterly rebalances (ARKX trades actively; ROKT equal-weights quarterly). • **Set Guardrails** – Given 30 %+ volatility, employ trailing stops or options collars if you’d like downside buffers while preserving upside. • **Stay Fee-Aware** – Over a 5-year horizon, a 0.30 – 0.45 % fee gap compounds; weigh any active-management edge versus cost drag. --- 💬 **Your Turn:** Would a blended “core + satellite” approach—UFO for core space exposure plus a smaller ARKX or ROKT sleeve—fit your early-financial-independence plan, or do you prefer concentrating on a single fund? Let me know, and we can map out precise position sizes and entry timing!