Is ARKW a good investment?

There's no single investment that's ideal for every investor. For those looking for a growth opportunity and who have long-term investing horizons, the ARK Next Generation Internet ETF is a solid choice for gaining exposure to companies developing innovative digital platforms.

What is ARK Next Generation Internet ETF?

An ETF found under the ARK Invest umbrella, the ARK Next Generation Internet ETF includes numerous companies at the forefront of technological innovation, from cloud computing companies to those involved with cryptocurrencies.

Where can you buy ARKW?

ARKW is available from most brokerages. To buy shares, open your brokerage account and indicate the number of shares you want to buy, as well as what type of order you're placing.

How to Buy ARK Next Generation Internet ETF (ARKW)

How to Invest in ARK Next Generation Internet ETF (ARKW)

By Scott Levine – Updated Feb 25, 2026 at 4:13 PM EST | Fact-checked by Robin Hartill, CFP

Key Points

ARK Next Generation Internet ETF focuses on cloud and digital platform stocks.
The fund consists of large- and mega-cap tech stocks.
You can invest in the ARKW fund through a standard brokerage account.

Investors closely monitor the exchange-traded funds (ETFs) under the ARK Invest umbrella, including the ARK Next Generation Internet ETF (ARKW -0.14%). Famed growth investor Cathie Wood has been at the helm of the ETF for more than a decade, providing investors with exposure to a basket of companies dedicated to developing cloud-based technological infrastructure and other niches within the tech industry.

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NYSEMKT: ARKW

Ark ETF Trust - Ark Next Generation Internet ETF

Today's Change

(-0.14%) $-0.22

Current Price

$152.13

Key Data Points

AUM

$1.6B

Dividend Yield

1.55%

Expense Ratio

0.76%

Top Holdings

TSLA

7.31%

AMD

6.70%

HOOD

4.55%

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The ARK Next Generation Internet ETF allows investors to pick up exposure to companies leading the way toward an exceedingly digital future. From cryptocurrencies to smart devices to autonomous mobility, the ARK Next Generation Internet ETF includes a diverse assortment of tech-based businesses that, despite the ETF's name, go far beyond the internet.

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What is the ARK Next Generation Internet ETF?

The ARK Next Generation Internet ETF is an actively-managed fund that includes companies facilitating the transition to a more digitally-based future. According to Ark Invest, the fund's manager, the ETF provides exposure to companies that are "expected to benefit from shifting the bases of technology infrastructure from hardware and software to the cloud, enabling mobile and local services, such as companies that rely on or benefit from the increased use of shared technology, infrastructure and services."

Next-generation cloud stocks represent the largest weighting in the ETF -- about 25%. Smart devices are close behind with a 22% weighting. Combined, digital wallet, cryptocurrency, and neural network stocks make up the next three largest technologies found in the ETF.

Large-cap stocks, which ARK Invest defines as companies with market caps between $10 billion and $100 billion, make up 53% of the ETF. Mega-cap stocks (those with market caps over $100 billion) account for 37% of the fund.

To gain better insight into the fund's composition with respect to market caps, investors can look to the weighted average market cap, which is $400 billion.

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Exchange-Traded Fund (ETF)

An exchange-traded fund, or ETF, allows investors to buy many stocks or bonds at once.

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How to buy the ARK Next Generation Internet ETF (ARKW)

Open your brokerage account: Log in to your brokerage account where you handle your investments. If you don't have one yet, take a look at our favorite brokers and trading platforms to find the right one for you.
Search for the ETF: Enter the ticker "ARKW" into the search bar to bring up the ETF's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this ETF.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

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Holdings of ARK Next Generation Internet ETF

As of Sept. 12, 2025, the ARK Next Generation Internet ETF had 46 holdings and about $2.35 billion in net assets. While there are often daily adjustments to the funds, Ark Invest expects the ETF to hold between 35 and 55 stocks at any given time.

There's great diversity among the five largest holdings in the ETF. Electric car manufacturer Tesla (TSLA 5.89%), for example, holds the top spot, representing an 8.8% weight in the fund, while streaming platform provider Roku (ROKU +0.40%) and Bitcoin (BTC +0.85%) wallet Coinbase Global (COIN +1.40%) are the next two largest positions, representing 5.8% and 5.6%, respectively.

With its rabid fan base -- about 112 million daily active users as of September 2025 -- online gaming platform Roblox (RBLX -0.79%) represents the fourth largest holding in the ARK Next Generation Internet ETF, while E-commerce platform Shopify (SHOP -3.67%) rounds out the top five positions in the fund.

For those who question whether the companies providing cloud computing infrastructure are represented in the ETF, it's worth noting that Amazon (AMZN -0.51%), Meta Platforms (META -3.54%), and Alphabet (GOOG -0.61%) (GOOGL -0.55%) all count as holdings.

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Should you invest in the ARK Next Generation Internet ETF?

Naturally, just because the ARK Next Generation Internet ETF is a smart investment for one person doesn't mean it's one of the best ETFs for another. If you can answer yes to most of the following questions, however, investing in the ARK Next Generation Internet ETF may be the right move for you.

Are you looking for exposure to a wide variety of stocks that benefit from the growth of e-commerce, cryptocurrencies, online gaming, streaming video services, and other internet-based platforms?
Do you want additional portfolio diversification?
Are you interested in mitigating the risk of investing in individual stocks by investing in an ETF?
Are you comfortable with not earning dividends from your investment?
Since some online-focused businesses may not develop as quickly as expected, are you comfortable with exercising patience and allowing the industry to mature -- albeit slower than you previously thought?

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Does ARK Next Generation Internet ETF pay a dividend?

As of September 2025, the ARK Next Generation Internet ETF doesn't pay a dividend and hasn't declared one since December 2021. If you're looking for passive income, you'll need to look at other investments, like dividend ETFs.

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What is the ARK Next Generation Internet ETF expense ratio?

Some passively managed funds have extremely low investment fees. For example, many Vanguard ETFs have expense ratios as low as 0.03% or 0.04%. But the ARK Next Generation Internet ETF costs significantly more to own, with an expense ratio of 0.82% as of September 2025.

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Expense Ratio

A percentage of mutual fund or ETF assets deducted annually to cover management, operational, and administrative costs.

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Historical performance of ARK Next Generation Internet ETF

Some ETFs aim to replicate the performance of a stock index, pay dividends, or provide exposure to a specific sector. However, ARK Invest states that the ARK Next Generation Internet ETF's objective is the "long-term growth of capital." How successful has the ETF been in achieving this? Let's gauge the fund's performance by comparing its total return to that of the S&P 500.

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Data source: YCharts. Returns as of Sept. 12, 2025.
Fund	1-Year	3-Year	5-Year	10-Year
ARK Next Generation Internet ETF	106.7%	195.9%	112.5%	849%
S&P 500 Index	20.2%	69.4%	68.7%	300.6%

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The bottom line

The ARK Next Generation Internet ETF has significantly outperformed the S&P 500 at some points, including over the past year. But it's important to recognize that there's no guarantee it will achieve the same feat in the future. That said, it could be a top long-term ETF to invest in for forward-looking investors who are bullish on the idea of internet-based businesses across a variety of industries.

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Investing in ARK Next Generation Internet ETF FAQ

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About the Author

Scott Levine is a contributing Motley Fool stock market analyst covering energy, industrials, technology, and materials. He is also a high school English teacher and a small business owner. He holds a bachelor’s degree in English and creative writing from Binghamton University, a master’s degree in secondary education from Adelphi University, and an advanced certificate in school building leadership from CUNY Queens College. A crossword puzzle enthusiast, he has solved more than 3,100 New York Times puzzles with a 97% solve rate.

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Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, Bitcoin, Meta Platforms, Roblox, Roku, and Shopify. The Motley Fool recommends Coinbase Global. The Motley Fool has a disclosure policy.

How to Invest in ARK Next Generation Internet ETF (ARKW)

Key Points