Best ARK ETF UK – Compare Top ETFs 2021

ARK’s range of innovative ETFs has taken the market by storm, producing returns that far exceed many market indices. Through smart investments in innovative technologies, these ETFs are some of the most attractive investment options available on the market in 2021.

This guide will examine some of the Best ARK ETFs UK, looking at the type of assets they include in their portfolio and showing you how to invest in these ETFs without having to pay a penny in commissions.

Best ARK ETF UK 2021 List

The list below highlights the eight best ARK ETFs available in the market today. In the section that follows, we will discuss each of these ETFs in detail, ensuring you have all the information you need to make an efficient investment decision.

  1. ARK Innovation ETF – Overall Best ARK ETF UK – Invest Now
  2. ARK Fintech Innovation ETF – Best ARK ETF UK to Invest in the Fintech Sector – Invest Now
  3. ARK Next Generation Internet ETF – Best ARK ETF UK for High Returns – Invest Now
  4. ARK Genomic Revolution ETF – Best ARK ETF UK for Exposure to Medical Innovations
  5. ARK Autonomous Technology & Robotics ETF – Best ARK ETF UK for Long Term Capital Growth
  6. ARK Space Exploration & Innovation ETF – Best ARK Innovation ETF UK
  7. ARK 3D Printing ETF – Best ARK ETF for Growth Potential
  8. ARK Israel Innovative Technology ETF – Best ARK ETF for Geographical Diversification

Best ARK ETFs UK Reviewed

With the recent explosion in the popularity of ARK ETFs, large numbers of retail investors are becoming interested in getting involved in the assets that ARK have to offer. However, you must perform your due diligence before investing to ensure that you choose the best asset for your investment goals.

In the section below, we review eight of the best ARK ETFs available on the market, discussing their asset composition and providing insight into their past performance.

1. ARK Innovation ETF – Overall Best ARK ETF UK

In our opinion, the best ARK ETF UK available in 2021 is the ARK Innovation ETF. The flagship product of Ark Invest, this ETF invests in a selection of the best companies that are included in other ETFs in ARK’s range. These companies are all thought of as innovative disruptive in terms of the products and technologies they are developing. Some examples of the industries that these companies operate in are Fintech, Genomics, and Next-Generation Internet.

ARK Innovation ETF

With over $22 billion worth of assets under management, the ARK Innovation ETF is a favourite of many investors worldwide. One of the best things about this fund is its exceptional returns. Over the past one-year period, this ETF has produced a return of 175.20% for investors – so if you’d invested £5000 a year ago, you’d have £13,760 today (minus any related fees). In terms of these fees, the ARK Innovation ETF charges a modest expense ratio of 0.75% each year. If you’re interested in investing in this ETF, we recommend using eToro to facilitate this – eToro allows you to invest in ARK ETFs without paying any commissions and for as little as $50!

67% of retail investor accounts lose money when trading CFDs with this provider.

2. ARK Fintech Innovation ETF – Best ARK ETF UK to Invest in the Fintech Sector

A recent report by Deloitte noted that, although Fintech companies’ growth is slowing down, the amount of investment into the Fintech sector remains robust, even amid the Coronavirus pandemic. One of the best performing ARK ETFs in this sector is the ARK Fintech Innovation ETF. This ETF aims to provide long-term growth to investors through an active management style that involves investing in domestic and foreign equities of fintech companies. These companies tend to be involved in areas such as blockchain technology, transaction innovations, and frictionless funding platforms.

ARK Fintech Innovation ETF

Much like other ETFs in ARK’s range, this fund has performed exceptionally well recently, returning 107.91% to investors in 2020 alone. Furthermore, the fund is already up 11.20% in 2021, with the scope for this figure to increase even further. Similar to the ARK Innovation ETF, this fund also charges an expense ratio of 0.75% per year – meaning that if you invested £1000 into the fund, you’d pay £7.50 each year in fees. So, if you’re looking to gain exposure to the fintech sector cost-effectively, then the ARK Fintech Innovation ETF might be an excellent option for you.

67% of retail investor accounts lose money when trading CFDs with this provider.

3. ARK Next Generation Internet ETF – Best ARK ETF UK for High Returns

Next-generation internet technologies are poised to become the norm over the next decade, with companies involved in this sector predicted to grow at a rapid rate. The ARK Next Generation Internet ETF holds a portfolio of these companies, aiming to consistently provide investors with high returns. With over $6.9 billion of assets under management, this ETF is becoming increasingly popular due to the nature of the companies it invests in.

ARK Next Generation Internet ETF

A large portion of this fund’s investments focuses on cloud-based technology, which is expected to become increasingly popular over the next few years. Due to these investments, this ETF has produced some incredible returns in recent years. It returned 157.07% in 2020 alone and has previously returned 87.17% in 2017. Also, the fund has not produced a negative return in any of its six years of existence. Finally, this ETF even offers a small yield of 1.18% each year – providing an additional stream of income for investors to benefit from.

67% of retail investor accounts lose money when trading CFDs with this provider.

4. ARK Genomic Revolution ETF – Best ARK ETF UK for Exposure to Medical Innovations

The rate of medical innovation is increasing each year, with more advanced technology being developed which can extend and enhance human life. One of the best ARK ETFs which invests in this industry is the ARK Genomic Revolution ETF. The companies that this ETF focuses on are involved in areas such as CRISPR research, Targeted Therapeutics, and Stem Cell research.

ARK Genomic Revolution ETF

Looking at this ETF’s holdings, some of the largest weightings are given to companies such as Teladoc, Exact Sciences, and Pacific Biosciences of California. Through investments in these companies, the ARK Genomic Revolution ETF produced a remarkable return of 180.56% for investors in 2020. This is in addition to the 44.06% return it made in 2019. Finally, this ETF charges an acceptable expense ratio of 0.75% each year, similar to other ETFs within ARK’s range. If this ETF is an asset that you are interested in investing in, you can do so commission-free with eToro.

67% of retail investor accounts lose money when trading CFDs with this provider.

5. ARK Autonomous Technology & Robotics ETF – Best ARK ETF UK for Long Term Capital Growth

Another addition to our list of the best ARK ETFs is the ARK Autonomous Technology & Robotics. This ETF is one-of-a-kind when it comes to the exchange-traded funds available in the market currently, as it focuses on companies that operate in exciting sectors such as robotics, 3D printing, autonomous transportation, and even space exploration! Looking at its holdings, the ARK Autonomous Technology & Robotics has significant stakes in Tesla, Trimble, and NVIDIA, amongst other innovative companies.

ARK Autonomous Technology & Robotics ETF

Much like the other ARK ETFs in the rage, this ETF has performed incredibly well over recent years. Looking at annual returns, this fund produced 106.73% for investors in 2020 alone – meaning that if you’d invested at the beginning of the year, you would have more than doubled your money! Also, this ETF has produced a positive return in four of the six years it has been in existence, which is impressive considering the high-risk nature of its investments. So, if you’re looking to invest in disruptive industries whilst exposing yourself to potentially high returns, this ETF represents a fantastic option for you.

67% of retail investor accounts lose money when trading CFDs with this provider.

6. ARK Space Exploration & Innovation ETF – Best ARK Innovation ETF UK

With companies such as SpaceX raising awareness of space exploration’s potential in the coming years, more and more companies are launching within the industry to try and get ahead of the curve. The ARK Space Exploration & Innovation ETF invests in a diverse selection of these companies, intending to benefit from their potential for high returns. This fund is extremely new, having only been incepted on the 30th March 2021. However, it already has $63 million of assets under management, with this figure growing week on week.

ARK Autonomous Technology & Robotics ETF

This ETF is already up 2.15% since inception – although this figure seems small, it is still impressive considering it has only been in operation for a few weeks. Following the standard set by other funds in ARK’s range, this ETF charges an expense ratio of 0.75% each year to investors. Managed by Cathie Wood, who Bloomberg News named as the best stock picker of 2020, this fund is in a prime position to profit from the potentially colossal growth that space exploration companies may experience.

67% of retail investor accounts lose money when trading CFDs with this provider.

7. ARK 3D Printing ETF – Best ARK ETF for Growth Potential

The 3D printing industry was valued at approximately $11.58 billion in 2019, with annual growth expected to total 14% each year between now and 2027. This industry’s potential is vast, and many exciting new companies are springing up with disruptive ideas that could change various sectors for the better. The ARK 3D Printing ETF aims to track a benchmark index composed of companies involved in the 3D printing industry to generate consistent capital growth for investors.

ARK 3D Printing ETF

This ETF invests in countries from across the globe, including the US and Taiwan. With $557 million of assets under management, the ARK 3D Printing ETF has produced excellent returns in the past few years, generating 39.48% for investors in 2020 and 12.90% in 2019. In addition, it has made a positive return in three of the four years the ETF has been in existence. Furthermore, this ETF has a slightly smaller expense ratio than the other ARK ETFs, stated at only 0.66% per annum. This inexpensive fee structure, combined with consistent annual returns, makes this one of the best long term investments in 2021.

67% of retail investor accounts lose money when trading CFDs with this provider.

8. ARK Israel Innovative Technology ETF – Best ARK ETF for Geographical Diversification

The last fund we will discuss on our list of the best performing ARK ETFs is the ARK Israel Innovative Technology ETF. This ETF is an excellent option for investors who wish to diversify their portfolios geographically. It is designed to track an index composed of Israeli companies that display innovative or disruptive characteristics. These companies come from various sectors, including genomics, healthcare, biotechnology, industrials, and more.

ARK Israel Innovative Technology ETF

Much like the other funds on this list, the ARK Israel Innovative Technology ETF is equity-based and seeks to provide investors with consistent returns. This ETF produced a return of 32.41% in 2020 and 21.98% in 2019, with both returns comfortably beating indices such as the FTSE 100. Furthermore, this ETF has the lowest expense ratio on our list of only 0.49% per year. With many Israeli companies showing signs of innovation, this ETF is a great way for investors to gain exposure to these companies inexpensively and efficiently.

67% of retail investor accounts lose money when trading CFDs with this provider.

What are ARK ETFs?

ARK ETFs are exchange-traded funds provided by Ark Invest, an investment management firm based in New York City. The firm was founded by Chief Investment Officer Cathie Wood in 2014 and currently has over $50 billion in assets under management. Ark Invest is best known for its innovative investment options, showcased by its range of ARK ETFs.

These ETFs mainly focus on investing in companies that display extraordinary innovation levels and look to disrupt the industry they currently operate in. This investment strategy sees ARK ETFs invest in companies in the ‘growth phase’ of their development. Although this tactic is risky, due to there being a good chance that companies can fail, it can also provide exposure to potentially huge levels of returns.

what are ARK Etfs

In terms of the industries that ARK ETFs invest in, there is a multitude of sectors on offer that focus on various ground-breaking technological inventions or exciting new services. Some examples of industries that ARK ETFs invest in are space exploration, 3D printing, Robotics, and Genomic Revolution.

Through investments in these companies, ARK ETFs offer an aggressive growth strategy via a fund set rather than investing in individual stocks. The fund managers who are in charge of ARK’s range of active ETFs are constantly researching and analysing companies that might benefit the fund’s overall performance. This dynamic management style is one of the great things about ARK’s ETFs – and when you combine this with the type of companies that they invest in, it is clear to see why ARK offers some of the best ETFs available on the market today.

Are ARK ETFs a Good Investment?

The previous section has explained what ARK ETFs are and the type of assets that they invest in. Through these investments, ARK ETFs have solidified themselves as one of the best ways to invest money in 2021. In the section below, we examine three of the significant benefits associated with investing in ARK ETFs.

Exposure to High Growth Industries

The nature of the companies that ARK ETFs invest in means that investors get direct exposure to various industries that exhibit high-growth characteristics. Industries such as space exploration and robotics are typically not a focus of the majority of popular ETFs in the market today. As such, the options for investors who wish to gain exposure to these industries are pretty limited.

The great thing about ARK ETFs is that they invest directly in companies within these industries, offering an exciting and innovative ETF selection unrivalled in today’s market. These high-growth industries have the potential to produce incredibly high returns, as areas such as autonomous technology and 3D printing could positively impact the world in a significant way. It is worth noting that high-growth industries are theoretically much riskier to invest in; this is because companies will tend to be in the growth phase. Therefore, there is a higher chance for them to suffer revenue shortfalls and exhibit return volatility.

Diversification

Another reason to invest in an ARK ETF is due to the diversification benefits that they offer. Thanks to their investments in innovative industries, ARK ETFs tend to be uncorrelated to many asset types. The ETFs offered by ARK often move in different directions to traditional indices, which means that including one of these ETFs in your portfolio is a great way to optimise your risk/return profile.

In addition, ARK also offers an Israel Innovative Technology ETF. This exchange-traded fund focuses on disruptive companies based in Israel, which can provide investors with a significant degree of geographical diversification if this ETF was included in their portfolio. Furthermore, combining the geographical diversification with the diversification factors based on the industries invested in will ensure an asset that can optimise an investment portfolio’s correlation coefficient.

Market-Beating Returns

One of the main reasons to invest in an ARK ETF is the level of returns they can generate for investors. As mentioned, their investments in high-growth industries mean they are uniquely placed to benefit from innovative and disruptive technologies. One of the best ARK ETFs which does this efficiently is the ARK Innovation ETF. The image below showcases the level of returns this ETF has produced in recent years.

ark innovation etf returns

Returns such as these are very uncommon in the market and are much higher than what you would typically expect to receive from an investment in one of the best tracker funds. Furthermore, returns such as those showcased by the ARK Innovation ETF are not uncommon across ARK’s full ETF range. The fact that high returns such as this are produced on a consistent basis is one of the main reasons why ARK ETFs are so popular in 2021.

Best ARK ETF UK Investment Platforms 2021

To facilitate your ARK ETF investment, you must decide on a reliable broker that makes these ETFs available to trade. With so many brokers available on the market, and so many factors to consider, it can be quite a daunting process to narrow down who to choose.

Not to worry – in this section, we will highlight two of the best stock brokers when it comes to investing in ARK ETFs, allowing you to trade with confidence.

1. eToro – Overall Best Broker to Invest in ARK ETFs

etoro

When it comes to investing in ARK ETFs, we recommend using eToro as your broker of choice. eToro is regulated in the UK by both the FCA and the FSCS, ensuring both your capital and personal details are protected by the highest security standards. What’s more, with over 20million active users worldwide, you can be sure that eToro is the favoured investment platform for a large portion of market participants.

etoro invest in ark etfs

One of the main reasons eToro is so popular is down to its cost-effective fee structure. Many brokers will charge a commission each time you place an order. However, eToro offers commission-free investing, meaning that you can trade as much as you like without incurring any fees! In addition to this, eToro allows you to invest in ARK ETFs for as little as $50 (around £36), which is far less than what you’d have to invest if you opted to go directly with the fund provider.

Another reason we recommend eToro is due to their extensive asset selection. If you’re investing in the best ARK ETFs, you may want to invest in other assets too. Luckily, eToro offers over 2000 stocks to invest in from 13 different stock markets. Furthermore, you can also trade FX, commodities, and even cryptocurrencies such as Bitcoin!

 etoro invest in best performing ark etfs

Finally, eToro makes it super easy to sign up to their platform. Their sign-up process only takes around ten minutes, meaning you can invest in ARK ETFs in a speedy fashion. eToro also offers a solid range of deposit methods, such as credit/debit card, bank transfer, or e-wallet. The great thing is, eToro do not charge any fees to deposit into your account – combine this with their 0% commission structure, and it’s clear to see why eToro are our recommended broker for trading ARK ETFs.

Pros:

  • Ideal for beginners with its easy-to-use interface
  • Invest in a wide range of the best ARK ETFs with 0% commission
  • Trade CFDs in the form of stocks, indices, commodities, forex, and more
  • Copy-trade expert traders
  • Invest in thematic portfolios that give exposure to future trends
  • Deposit funds with a debit/credit card, e-wallet, or UK bank account
  • FCA and FSCS protection

Cons:

  • Doesn’t offer interactive stock charts or fundamental data that advanced traders need for technical analysis
  • No ISAs or SIPPs

67% of retail investor accounts lose money when trading CFDs with this provider.

2. Capital.com – Invest in ARK ETFs with Up To 1:5 Leverage

Capital.com

If you’re looking for an alternative to eToro, we’d recommend using Capital.com to invest in ARK ETFs. Capital.com is one of the most popular brokers in the UK, regulated by both the FCA and CySEC. Furthermore, with a minimum deposit of only $20, Capital.com ensures they are accessible to a wide range of investors.

As Capital.com offers CFD trading facilities, you will not actually own the assets you invest in. Instead, you will own a contract based on the price of the asset. The great thing about this is that you can then utilise Leverage on your investment which will boost your position size. Capital.com offers up to 1:5 Leverage on their fund offering, which essentially means you can increase your potential returns by up to 5X!

capital.com invest in ark etfs

Another benefit of Capital.com is its low fees. They do not charge any monthly account fees, inactivity fees, deposit fees, or withdrawal fees. When investing with Capital.com, you will pay the spread between the bid and ask prices as a sort of ‘commission’. This spread is usually minimal and is competitive with other brokers within the market.

Finally, Capital.com offer CFDs on many other types of assets. They offer over 3000 stock CFDs, along with CFDs on commodities and ETFs. Finally, the account opening process at Capital.com is very smooth and usually only takes one working day to complete.

Pros:

  • Cost Effective Investing in ARK ETFs
  • Offers tight spreads, leverage, and options
  • Advanced charting and analysis interface
  • AI assistant spots weak points
  • Has a minimum deposit of £20

Cons:

  • Cannot build custom trading strategies
  • CFDs only

71.2% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider.

How to Buy the Best ARK ETFs UK

If you’ve got your mindset on investing in an ARK ETF, and are wondering how to do this, then this section is a must-read. We will provide a step-by-step guide on how to invest in an ARK ETF using FCA-regulated broker eToro.

Step 1: Open your Account

Firstly, you’ll have to sign up for an eToro account. This is extremely easy to do and can be done on your computer or mobile device using their best stock app. Simply head to the eToro website and click ‘Join Now’. After this, follow the instructions by providing the necessary personal details, and choose a username and password for your account.

etoro sign up

67% of retail investor accounts lose money when trading CFDs with this provider.

Step 2: Verify your ID and Address

To invest with eToro, you will have to verify your ID and address. Luckily this is quick and easy to do and can be completed online. Simply upload proof of ID (a copy of your driver’s license or passport) and proof of address (a copy of a bank statement or utility bill). Once uploaded, eToro will get to work on verifying these documents – this usually only takes a few minutes.

Step 3: Deposit into your Account

Once verified, you can now deposit into your account. eToro allows you to do this through credit/debit card, bank transfer, or e-wallet. However, if you want the funds to go into your account instantly, we recommend using a credit or debit card.

Step 4: Search for the ARK ETF you are interested in

Click into the search bar at the top of the screen and type in the name of the ETF or its ticker symbol. In this example, we are looking to invest in the ARK Innovation ETF. Once you see your chosen ETF, click on it, and then click the ‘Trade’ button on the following screen.

etoro invest in ark etf

Step 5: Invest in ARK ETF

On the page that follows, all you need to do is enter how much you’d like to invest in the ETF (minimum of $50). After this, double-check everything is correct, and click ‘Set Order’.

etoro invest in best ark etfs UK

67% of retail investor accounts lose money when trading CFDs with this provider.

And that’s it! You’ve just made a commission-free investment in one of the best ARK ETFs!

eToro – Buy the Best ARK ETFs UK with 0% Commission

Throughout this guide, we have taken a detailed look at the best ARK ETFs available on the market, discussing each one in detail and examining their future prospects. Due to their investments in innovative and disruptive companies, these ETFs are poised to reap significant rewards in the years to come.

If like many other people, you are interested in investing in an ARK ETF – then we recommend using eToro. This is because eToro allows you to invest in their range of ARK ETFs completely commission-free. Also, eToro offers ARK ETF investing for as little as $50 per trade, meaning you can start small and build your position up gradually if you wish.

etoro

67% of retail investor accounts lose money when trading CFDs with this provider.

FAQs

What are the ARK ETFs?

ARK ETFs are a range of exchange-traded funds offered by Ark Invest, an investment management firm based in New York City. These ETFs are characterised by their investments in innovative and disruptive technologies, such as artificial intelligence and gene editing.

Can I invest in an ARK ETF in the UK?

A large percentage of UK brokers do not currently offer ARK ETFs. However, eToro is one of the few brokers that allow UK investors to invest in ARK ETFs – all for 0% commission.

Do ARK ETFs pay dividends?

Some ARK ETFs pay a dividend, although most of the ARK range is more focused on capital growth than passive income. However, the ARK Innovation ETF does offer a dividend yield of 1.61%, distributed annually.

Which ARK ETF is the best?

Each ARK ETF has its own merits, so it’s hard to determine which one is the best. However, the largest and most popular ARK ETF in 2021 is the ARK Innovation ETF.

Why are ARK ETFs so popular?

The main reason ARK ETFs are so popular is due to their investment strategy. These ETFs focus on disruptive innovations, which can generate huge returns due to the nature of the industries that the companies operate in. Furthermore, ARK ETFs are so popular due to their high returns over the past few years, prompting more investors to place their capital in ARK's offerings.

About Connor Brooke PRO INVESTOR

Connor is a Scottish financial expert, specialising in wealth management and equity investing. Based in Glasgow, Connor writes full-time for a wide selection of financial websites, whilst also providing startup consulting to small businesses. Holding a Bachelor’s degree in Finance, and a Master’s degree in Investment Fund Management, Connor has extensive knowledge in the investing space, and has also written two theses on mutual funds and the UK market.

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