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Launched · SEC filings

AltShares Merger Arbitrage ETF

ARBNYSE ArcaAltsharesB

$30.13+0.21 (+0.71%)

As of Nov 2, 2026, 3:59 PM ET

B57/ 100

Rank 3 of 5 in Merger Arbitrage

B57/100Rank 3 of 5inMerger Arbitrage
Intraday session: up, 78 prints from 29.92 to 30.13. Range 30.10 to 30.16. Use the arrow keys to read each point.29.9530.0030.0530.1010 AM12 PM2 PM4 PM
Expense ratio
0.82%
Fund size
$111M
1Y total return
+3.5%
Yield · Last 12 months
0.42%
Holdings
70
Avg volume · 30D
17.6K sh
52W range
low $28.30high $32.48
Launched
Filings
SEC EDGAR

The ETF.net ARB Grade

Based on 5 of 6 pillars

B

Score 57 out of 100

Category
Merger Arbitrage⁠
Rank
3 of 5
Six-pillar profile for ARB. Scores out of 100: Cost 50, Risk 55, Mission not scored, Tradability 65, Holdings 75, Durability 56. Strongest: Holdings (75). Weakest: Cost (50). Based on 5 of 6 pillars.

Score 57 of 100 falls in the B band. A is 70 or higher, B 55 to under 70, C 40 to under 55, D 25 to under 40, F under 25.

  • Cost

    The fund’s net expense ratio, ranked against its category.
    C50 out of 100
    Rank 3 of 5

  • Mission

    Whether the fund did what it promised, tested against its stated mandate.
    Not scored

  • Risk

    How the fund held up when markets fell: downside volatility, drawdowns and tail loss.
    B55 out of 100
    Rank 2 of 4

  • Tradability

    How easy the fund is to trade: daily volume, and how far its price strays from net asset value.
    B65 out of 100
    Rank 2 of 5

  • Holdings

    How concentrated the fund is, and how complete and current its disclosed holdings are.
    A75 out of 100
    Rank 1 of 5

  • Durability

    Whether the fund is likely to stay open, judged by its age, its assets and its issuer’s assets.
    B56 out of 100
    Rank 3 of 5

Our read on ARB

ETF.net Research

In short

BMerger arb, the hedge fund classic, rendered as index rules: go long announced takeover targets, short the acquirer in stock-for-stock deals, hedge the currency. Run by Water Island Capital, which has been doing this since 2000.

Stated mandate

The Fund seeks to track the performance of the Water Island Merger Arbitrage USD Hedged Index, which reflects a global merger-arbitrage strategy involving announced mergers, takeovers, tender offers, and leveraged buyouts.

Why people hold it

  • No side project: Water Island Capital has run a merger arbitrage fund since September 2000, and ARB tracks an index built by its affiliate on the same deal-spread playbook.sec.govsec.gov 2
  • When a deal pays in acquirer stock, the index shorts that stock at the deal's exchange ratio, aiming to lock in the spread instead of riding the acquirer's share price.sec.gov
  • Foreign targets bring foreign currency. The index is hedged back to the US dollar, so a euro or pound swing is dampened rather than passed straight into returns.sec.gov
  • Rules, not hunches: the index reconstitutes and rebalances twice a month and generally expects 30-50 targets, so new deals enter and completed ones exit on a set schedule.sec.gov

Worth knowing

  • Fee is 0.82%, near the category median and above MNA's 0.78% and MRGR's 0.75% (net of a waiver through September 30, 2027; 2.03% gross).
  • Thinly traded next to mainstream ETFs, so bid-ask spreads can run wider. Distributions come annually or semiannually, not monthly.
  • Deal spreads are narrow by design and a collapsed merger stings. The hedges address acquirer stock and currency, not the chance a deal falls apart.sec.gov

ARB Performance

Launched May 7, 2020

Shows how $10,000 changes over the selected period, with cash distributions reinvested at the closing price on each ex-dividend date.

Not enough history yet.
ARB$10,351
SPY tracks large US stocks. It provides market context, rather than representing this fund’s strategy, asset class or investment benchmark.$11,199
Oct 31, 2025 to Oct 30, 2026. ARB $10,351. SPY $11,199. Use the arrow keys to read each point.$10,000$11,000Oct 2025Apr 2026Oct 2026

Oct 31, 2025 – Oct 30, 2026

Returns run to the Oct 30, 2026 close, with cash distributions reinvested. Each period starts on the same date that many months or years earlier. Periods over one year show the average yearly return.

Trailing total return for ARB. Periods over one year show the average yearly return.
PeriodARB
Year to date+2.9%
1 month−0.1%
3 months+1.0%
1 year+3.5%
3 yearsper year+5.0%
5 yearsper year+4.0%
10 yearsFund is under 10 years oldper yearNo data

With distributions reinvested.

Calendar-year total return with cash distributions hypothetically reinvested at the ex-dividend date’s closing price. The current year shows year to date.

Annual total returns for ARB
YearReturn barARB
2026 YTD+2.9%
2025+6.1%
2024+4.1%

ARB in the news

ARB Dividends

Adds up every distribution paid per share over the last 12 months, divided by the last completed close. Distributions are counted by ex-date. Data through Oct 30, 2026.
0.42%Last 12 months
Payout per share
$0.13Last 12 months
Last payment
$0.13 per share
Paid on
Shares bought on or after this date do not qualify for this distribution.
Frequency
Annual

Distribution history

2020–2026

One bar per payment. 4 payments from 2020 to 2026 YTD. Dec 17, 2020 $0.73; Dec 15, 2022 $1.08; Dec 18, 2024 $0.31; Dec 18, 2025 $0.13. Use the arrow keys to read each point.2020202120222023202420252026YTD
Ex-datePay dateAmount per share
Dec 18, 2025Dec 19, 2025$0.13
Dec 18, 2024Dec 19, 2024$0.31
Dec 15, 2022Dec 19, 2022$1.08
Dec 17, 2020Dec 21, 2020$0.73

$10,000 in ARB 5 years ago paid $579 in dividends.

ARB Risk

Risk pillarB55 out of 100Rank 2 of 4 in Merger Arbitrage
How much the fund’s monthly returns vary, scaled to a year.
2.2%
Annualised · 36 months to Oct 2026
How it’s calculated: standard deviation

The sample standard deviation of monthly total returns, multiplied by the square root of 12.

Uses up to 36 complete months, with at least 12 required. Total returns include reinvested distributions.

Return above 3-month US Treasury bills per unit of volatility.
0.21
vs 3-month T-bills · to Oct 2026
How it’s calculated: Sharpe ratio

Subtract each month’s Treasury-bill return from the fund’s monthly total return.

Divide the average of those excess returns by their sample standard deviation, then multiply by the square root of 12.

Uses up to 36 complete months, with at least 12 required. Each month uses the Treasury yield quoted at the end of the previous month.

The largest fall from a peak to the low that followed.
−5.6%
Trough May 2023
How it’s calculated: maximum drawdown

The largest percentage decline from an earlier peak, using total returns with reinvested distributions.

Uses up to five years through the last close, with at least 12 months required.

How strongly the fund’s returns move with its asset-class index.
0.03
vs its asset-class index
How it’s calculated: beta

The beta figure is supplied by FMP. The comparison index depends on the fund’s broad asset class.

FMP measures it over up to five years of monthly returns.

ARB Cost

Compare ARB and MRGR

Overpaying vs MRGR, cheapest in Merger Arbitrage

$1,207

On $10,000 over 30 years. 7% growth a year before fees, expense ratio only.

  • ARB 0.82%

    $15,689

  • MRGR 0.75% Cheapest

    $14,482

$10,000
30 years

Cost over time

  • ARB 0.82%
  • MRGR 0.75%
  • Overpaying
One line per fund, from year 0 to year 30. Use the arrow keys to read each point.$0$5K$10K$15K$20K051015202530ARB $15,689MRGR $14,482

Year by year

YearARBMRGROverpaying
10$1,457$1,336$121
20$5,519$5,078$441
30$15,689$14,482$1,207

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