As the highly anticipated SpaceX IPO draws near, investors are abuzz with excitement and trepidation. While directly investing in SpaceX stock may be a risky move due to its inherent volatility, there's a clever way to get in on the action without taking a leap of faith. Enter Cathie Wood's ETFs, which are poised to invest in SpaceX and offer a more measured approach for those eager to explore the space sector. Let's take a closer look at three of these ETFs and why they might be worth considering.
The Disruptive Innovator: ARK Innovation ETF (ARKK)
ARK Innovation ETF, with its focus on disruptive innovation, is a strong contender for SpaceX exposure. The fund's commitment to identifying companies that are at the forefront of technological disruption makes SpaceX an obvious fit. SpaceX's leading launch-services business and its cutting-edge AI initiatives, including xAI, Grok, and X, align perfectly with the ETF's investing theme. What's more, the ETF's robust AI segment, generating $3.2 billion in revenue in 2025, further cements SpaceX's appeal. However, it's worth noting that the ETF's expense ratio of 0.75% might be a deterrent for some investors.
Personally, I find it fascinating that ARK Innovation ETF is willing to take a leap of faith in disruptive companies like SpaceX. While the risk is there, the potential for significant returns is also high. In my opinion, this ETF is a must-have for investors who are willing to embrace the unknown and are looking for a long-term investment strategy.
The Space Economy Pioneer: ARK Space & Defense Innovation ETF (ARKX)
ARK Space & Defense Innovation ETF, with its focus on advancing the space economy, is another strong candidate for SpaceX exposure. The fund's emphasis on reusable rocket technology, with Rocket Lab as its second-largest weighting, makes SpaceX an obvious fit. SpaceX's Falcon 9 and Falcon Heavy rockets, which achieved orbital-class, rapidly reusable milestones in 2017, align perfectly with the ETF's investing theme. While the ETF's expense ratio of 0.75% is similar to ARKK, its focus on the space and defense industries makes it a more concentrated play for investors seeking exposure to this sector.
From my perspective, the ARK Space & Defense Innovation ETF is a more focused approach to investing in the space economy. While it may not offer the same level of diversification as ARKK, it provides a more concentrated exposure to the space and defense industries. This makes it an attractive option for investors who are looking for a more targeted investment strategy.
The Digital Future Pioneer: ARK Next Generation Internet ETF (ARKW)
ARK Next Generation Internet ETF, with its focus on companies that rely on or benefit from the increased use of shared technology, infrastructure, and services, may not seem like a candidate for SpaceX exposure at first glance. However, scratch the surface, and it becomes clear that SpaceX's Starlink, a space-based broadband service designed to provide low-latency internet connectivity worldwide, aligns perfectly with the ETF's investing theme. With Starlink subscribers growing from 2.3 million in 2023 to 8.9 million in 2025, the ETF's focus on internet innovation makes SpaceX an obvious fit.
What many people don't realize is that the ARK Next Generation Internet ETF is not just about providing launch services to others. SpaceX's interests lie elsewhere, and its focus on internet innovation makes it a compelling addition to the ETF. While the ETF's expense ratio of 0.76% is slightly higher than ARKK and ARKX, its focus on the digital future makes it an attractive option for investors looking for a more forward-thinking investment strategy.
A Broader Perspective
In my opinion, the three ARK ETFs offer a more measured approach to investing in SpaceX and the space sector as a whole. While the risk is there, the potential for significant returns is also high. However, it's essential to consider the expense ratios and the level of diversification offered by each ETF. For investors seeking a more concentrated exposure to the space and defense industries, ARKX is a strong contender. For those looking for a more diversified approach, ARKK and ARKW are excellent options. Ultimately, the choice comes down to an investor's risk tolerance and investment goals.
One thing that immediately stands out is that these ETFs offer a more accessible way to invest in SpaceX and the space sector. While the IPO may be a significant event, it's not the only way to get in on the action. By investing in these ETFs, investors can gain exposure to SpaceX and the broader space economy without taking a leap of faith. This raises a deeper question: How will the success of these ETFs impact the future of space investment and innovation?
