ARKG vs IBB

ARKGDARK Genomic Revolution ETF

IBBAiShares Biotechnology ETF

In short

ARKG Most genomics exposure comes prepackaged in an index. ARKG is the active version: ARK's team hand-picks a global slate of companies tied to the genomics revolution, and has since 2014.

IBB Biotech's original index fund. Since 2001 IBB has packed the whole US biotech sector, roughly 250 names, into one line item for 0.44% a year, below what the typical biotech fund charges.

Stated mandate

ARKG The Fund seeks long-term growth of capital through active investment, primarily in domestic and foreign equity securities of companies relevant to the genomics revolution theme.

IBB The Fund seeks to track an index composed of U.S.-listed equities focused on the biotechnology sector.

Why people hold it

• ARKG Active by design. ARK's managers choose the names instead of tracking a genomics index, so the portfolio can move as the science does.
• Global mandate. The prospectus puts both domestic and foreign equities in bounds, so the hunt for genomics names isn't fenced in at the US border.
• Live since 2014 and now a multibillion-dollar fund that trades actively, which makes getting in and out one of the easier parts of owning it.

• IBB A 2001 launch makes it one of the sector's originals, and it has grown into a multi-billion-dollar fund that trades actively.
• Roughly 250 stocks, so the whole US biotech bench comes along instead of a few marquee drugmakers.
• 0.44% a year, set by the prospectus and below the median fee in its biotech peer group.
• Sticks closely to the job in its prospectus: US-listed biotech equities, nothing exotic bolted on. That lands it in the upper half of its peer group.ishares.com

Worth knowing

• ARKG The stock picking costs you: 0.75% a year, above the category median, while index rivals like IBB (0.44%) and XBI (0.35%) charge less for broad biotech.
• It sits at the more volatile end of its peer group. Concentrated bets on young science companies swing hard in both directions.
• Long-term growth of capital is the stated job. Income isn't part of the mandate, so there's no dividend cushioning the ride.

• IBB Cheaper seats exist in the same aisle: IBBQ at 0.19%, BBP at 0.34%, XBI at 0.35%.
• One industry carries the whole fund. Trial readouts, FDA decisions and patent expiries drive it, with no other sector to cushion a rough patch.
• Distributions arrive quarterly, but biotech is a growth sector and payouts are a side effect, not the point.

Full ARKG profile⁠

Full IBB profile⁠