The Top-Performing Stock ETFs of 2025

Stock exchange-traded funds, or equity ETFs, are often low-cost, tax-efficient instruments for investors to track popular indexes or leverage experienced manager choices to beat the market. The best serve as low-cost building blocks in a portfolio, and unlike open-end mutual funds, all ETFs are traded throughout the day on an exchange.

In 2025, the top-performing stock ETFs included mid-cap growth funds ARK Autonomous Technology & Robotics ETF ARKQ and ARK Space & Defense Innovation ETF ARKX. Data in this article is sourced from Morningstar Direct.

Screening for the Best-Performing ETFs

When evaluating ETFs, investors should focus on long-term returns across multiple years and market cycles. However, short-term returns can provide valuable information about biases within strategies.

To find the year’s best-performing stock ETFs, we screened the ones in the Morningstar US equity category that trade within the United States. We excluded exchange-traded notes and ETFs with less than $100 million in total assets. Within our list, two funds fell into the large growth category, where the average name rose 16.07% in 2025.

The 10 Best-Performing ETFs of 2025

1. ARK Autonomous Technology & Robotics ETF ARKQ
2. ARK Space & Defense Innovation ETF ARKX
3. ARK Next Generation Internet ETF ARKW
4. Alger 35 ETF ATFV
5. ARK Innovation ETF ARKK
6. Alger Concentrated Equity ETF CNEQ
7. Strategas Macro Thematic Opportunities ETF SAMT
8. Invesco S&P 500 High Beta ETF SPHB
9. TCW Transform Systems ETF PWRD
10. iShares Large Cap Core Active ETF BLCR

Metrics for the Best-Performing Stock ETFs

ARK Autonomous Technology & Robotics ETF

• Morningstar Rating: ★★★★
• Expense Ratio: 0.75%
• Morningstar Category: Mid-Cap Growth

The $1.8 billion ARK Autonomous Technology & Robotics ETF ranked first for the year, returning 48.7%. The ARK ETF, which is actively managed, beat the 7.73% gain on the average mid-cap growth fund. Over the past three years, the fund has risen 40.92%, outperforming the 15.17% gain on funds in its category, placing it in the 1st percentile for the period.

The Neutral-rated ARK Autonomous Technology & Robotics ETF was launched in September 2014.

ARK Space & Defense Innovation ETF

• Morningstar Rating: ★★★★★
• Expense Ratio: 0.75%
• Morningstar Category: Mid-Cap Growth

The $534.9 million ARK Space & Defense Innovation ETF was the second-best-performing ETF in 2025, with a 48.28% gain. The actively managed ARK ETF beat the 7.73% gain on the average fund in Morningstar’s mid-cap growth category for the year. Over the last three years, the fund has gained 32.58%, outperforming the 15.17% gain on funds in its category, placing it in the 4th percentile for the period.

The ARK Space & Defense Innovation ETF has a Negative Morningstar Medalist Rating, meaning our analysts expect it to be one of the worst performers in its category and think it is unlikely to deliver positive returns after fees.

ARK Next Generation Internet ETF

• Morningstar Rating: ★★★
• Expense Ratio: 0.76%
• Morningstar Category: Mid-Cap Growth

The third-best-performing ETF in 2025 was the $2.1 billion ARK Next Generation Internet ETF. The actively managed ARK ETF returned 38.69%, outperforming the average mid-cap growth fund, which gained 7.73%. Over the last three years, the fund has climbed 57.23%, outperforming the 15.17% gain on funds in its category, placing it in the 1st percentile for the period.

The Neutral-rated ARK Next Generation Internet ETF launched in September 2014.

Alger 35 ETF

• Morningstar Rating: ★★★★★
• Expense Ratio: 0.55%
• Morningstar Category: Large Growth

The $115.1 million Alger 35 ETF ranked fourth for the year, returning 37.49%. The Alger ETF, which is actively managed, beat the 16.07% gain on the average large growth fund. Over the past three years, the fund has risen 38.78%, outperforming the 27.62% gain on funds in its category, placing it in the 4th percentile for the period.

The Neutral-rated Alger 35 ETF launched in May 2021.

ARK Innovation ETF

• Morningstar Rating: ★
• Expense Ratio: 0.75%
• Morningstar Category: Mid-Cap Growth

The $7.1 billion ARK Innovation ETF was the fifth-best-performing ETF in 2025, with a 35.58% gain. The actively managed ARK ETF beat the 7.73% gain on the average fund in Morningstar’s mid-cap growth category for the year. Over the last three years, the fund has gained 35.09%, outperforming the 15.17% gain on funds in its category, placing it in the 2nd percentile for the period.

The Negative-rated ARK Innovation ETF launched in October 2014.

Alger Concentrated Equity ETF

• Morningstar Rating: N/A
• Expense Ratio: 0.55%
• Morningstar Category: Large Growth

The $224.1 million Alger Concentrated Equity ETF ranked sixth for the year, returning 33.45%. The Alger ETF, which is actively managed, beat the 16.07% gain on the average large growth fund. The fund launched in April 2024 and does not have a three-year record.

The Alger Concentrated Equity ETF has a Morningstar Medalist Rating of Neutral.

Strategas Macro Thematic Opportunities ETF

• Morningstar Rating: ★★★
• Expense Ratio: 0.66%
• Morningstar Category: Large Blend

The $377 million Strategas Macro Thematic Opportunities ETF was the seventh-best-performing ETF in 2025, with a 33.10% gain. The actively managed Strategas ETF beat the 15.52% gain on the average fund in Morningstar’s large blend category for the year. Over the last three years, the fund has gained 20.00%, performing roughly in line with the 20.07% gain on funds in its category, placing it in the 62nd percentile for the period.

The Neutral-rated Strategas Macro Thematic Opportunities ETF launched in January 2022.

Invesco S&P 500 High Beta ETF

• Morningstar Rating: ★★★★★
• Expense Ratio: 0.25%
• Morningstar Category: Mid-Cap Blend

The $620.4 million Invesco S&P 500 High Beta ETF ranked eighth for the year, returning 32.81%. The Invesco ETF, which is passively managed, beat the 9.08% gain on the average mid-cap blend fund. Over the past three years, the fund has risen 24.28%, outperforming the 13.23% gain on funds in its category, placing it in the 3rd percentile for the period.

The Silver-rated Invesco S&P 500 High Beta ETF launched in May 2011.

TCW Transform Systems ETF

• Morningstar Rating: ★★★★★
• Expense Ratio: 0.75%
• Morningstar Category: Large Blend

The $980.5 million TCW Transform Systems ETF was the ninth-best-performing ETF in 2025, with a 32.58% gain. The actively managed TCW ETF beat the 15.52% gain on the average fund in Morningstar’s large blend category for the year. Over the last three years, the fund has gained 27.23%, outperforming the 20.07% gain on funds in its category, placing it in the third percentile for the period.

The Neutral-rated TCW Transform Systems ETF launched in February 2022.

iShares Large Cap Core Active ETF

• Morningstar Rating: N/A
• Expense Ratio: 0.36%
• Morningstar Category: Large Blend

The $109.5 million iShares Large Cap Core Active ETF ranked tenth for the year, returning 30.85%. The BlackRock ETF, which is actively managed, beat the 15.52% gain on the average large blend fund. The fund launched in October 2023 and does not have a three-year record.

The iShares Large Cap Core Active ETF has a Morningstar Medalist Rating of Silver.

What Are ETFs?

Exchange-traded funds are investments that trade throughout the day on stock exchanges, much like individual stocks. They differ from traditional mutual funds—known as open-end funds—which can only be bought or sold at a single price each day. Historically, ETFs have tracked indexes, but in recent years, more ETFs have been actively managed. ETFs cover a range of asset classes, including stocks, bonds, commodities, and most recently cryptocurrency.

ETFs offer investors an efficient way to gain exposure to the markets, often with low fees and an ease of buying and selling. They also generally offer higher tax efficiency than open-end funds.

How to Find Top ETFs for the Long Term

ETFs are often equated with low-cost indexing. However, the ETF marketplace has grown increasingly complicated. Some ETFs track a very narrow part of the market or pursue specific themes. Some ETFs invest based on a particular factor or a combination of them. And now there are actively managed ETFs.

Use these Morningstar resources to help find the best ETFs for the long term:

• Learn about the types of exchange-traded funds, their costs, and how to invest in them by reading Morningstar’s Guide to ETF Investing.
• Find the highest-rated ETFs across all investment categories in The Best ETFs and How They Fit in Your Portfolio.
• Review Morningstar director of personal finance Christine Benz’s suggested ETF portfolios for those saving for or already in retirement, including Tax-Efficient Retirement-Saver Portfolios for ETF Investors, Tax-Sheltered Retirement-Saver Portfolios for ETF Investors, ESG Tax-Sheltered Retirement-Saver Portfolios for ETF Investors, Tax-Sheltered Retirement-Bucket Portfolios for ETF Investors, and Tax-Sheltered ESG Retirement-Bucket Portfolios for ETF Investors.
• Research ETFs based on your personal selection criteria by using our Morningstar Investor Screener. The tool, which is available to Morningstar Investor members, allows investors to screen ETFs based on various criteria, including asset class, Morningstar Category, Medalist Rating, and fee level.
• Visit Morningstar’s ETF page for the latest articles and videos from our ETF specialists.