FOWF vs SHLD

FOWFBPacer Solactive Whitney Future of Warfare ETF

SHLDBGlobal X Defense Tech ETF

In short

FOWF Most defense funds are built around the old primes. FOWF tracks the Solactive Whitney Future of Warfare Index, aimed at companies behind emerging defense technology across the U.S. and allied nations.

SHLD Most defense ETFs are a bet on American aerospace primes. SHLD goes global and leans into the tech side of modern war: cybersecurity, AI and big data, drones and advanced military hardware, wherever it gets built.

Stated mandate

FOWF The Fund seeks capital appreciation by tracking companies that support critical emerging defense technologies in the U.S. and its allied nations.

SHLD The Fund seeks results that generally track the price and yield performance, before fees and expenses, of the Global X Defense Tech Index.

Why people hold it

• FOWF Points at the next war, not the last one: the index targets companies supporting critical emerging defense technologies, not a broad aerospace-and-defense basket.
• 0.49% a year, right at the middle of the defense-theme pack. No niche premium charged for the narrower mandate.
• The mandate covers the U.S. and its allied nations, so allied suppliers abroad are in scope, not just Pentagon contractors.
• Roughly 100 holdings spread the theme across many names instead of a few giants, and the fund distributes quarterly.

• SHLD The mandate reaches past US airframes to global companies building cybersecurity systems, applying AI and big data, and making advanced military hardware like robotics and aircraft.globalxetfs.com
• At 0.50%, the fee sits right at the middle of the defense-theme pack. The global, tech-tilted twist doesn't cost extra versus the typical rival.
• A multi-billion-dollar fund that trades actively, which puts it among the easier names in this niche to move in and out of.
• Index-tracking and rules-based: it follows the Global X Defense Tech Index rather than a manager's hunch about which contractor wins next.

Worth knowing

• FOWF Launched in December 2024, so the track record is short and any read on its risk profile rests on limited history.
• Small and thinly traded next to category heavyweights like ITA and XAR, which can mean wider spreads on larger orders.
• A narrow theme tied to defense budgets and procurement cycles, so it can move very differently from a broad market fund.

• SHLD Cheaper US-centric alternatives exist. XAR (0.35%) and ITA (0.37%) cover aerospace and defense for less, with a narrower, more domestic lineup.
• About 50 stocks in one theme driven by government budgets and geopolitics. Concentration sharpens the exposure in both directions.
• Launched in 2023, so the record is short by cycle standards, and cash comes back once or twice a year rather than monthly.

Full FOWF profile⁠

Full SHLD profile⁠