The space industry is no longer limited to government-funded missions and traditional aerospace contractors. Advances in reusable rockets, satellite communications, Earth observation and space-based infrastructure are creating new commercial opportunities—and opening up a growing range of investment possibilities.
SpaceX has become one of the industry's most prominent players, but it is far from the only company benefiting from the expansion of the space economy. From launch providers and satellite operators to data analytics firms and defense contractors, a broad ecosystem of publicly traded companies is helping build the industry's next phase.
For investors looking to gain exposure to this long-term theme, several U.S.-listed ETFs offer different approaches to the space sector. This guide examines the industry's key segments, introduces three space-focused ETFs and compares their latest holdings.
1. Understanding the Space Industry: More Than Rockets and Satellites
The space economy covers a wide range of businesses. For investors, it can be divided into several major segments.
Rocket Launches and Spacecraft Manufacturing
Launch providers and spacecraft manufacturers form the foundation of the commercial space industry. Their businesses include rocket development, satellite deployment, spacecraft manufacturing and in-space transportation.
Notable publicly traded companies include:
Rocket Lab (RKLB): Provides launch services through its Electron rocket and is developing the larger Neutron launch vehicle. The company also manufactures satellite components and spacecraft systems.
Firefly Aerospace (FLY): Develops launch vehicles and lunar landers, with business activities spanning commercial, civil and defense-related space missions.
Intuitive Machines (LUNR): Focuses on lunar access, infrastructure and services, including lunar lander missions and related space systems.
Satellite Communications and Satellite Internet
Satellite communications are among the most commercially established parts of the space economy. Demand for connectivity in remote areas, maritime and aviation communications, and direct-to-device services is creating new growth opportunities.
Companies to watch include:
AST SpaceMobile (ASTS): Developing a space-based cellular broadband network designed to connect standard mobile phones directly to satellites.
Iridium (IRDM): Operates a global satellite communications network serving businesses, governments and consumers.
Viasat (VSAT): Provides satellite broadband and communications services across aviation, government and other markets.
EchoStar (ECHO): Has operations spanning satellite communications, broadband and wireless connectivity.
Earth Observation and Satellite Data Services
Satellites are increasingly used to collect information about the Earth's surface, monitor infrastructure, track environmental changes and support defense and intelligence operations.
Key companies include:
Planet Labs (PL): Operates a large Earth-observation satellite fleet and provides imagery and geospatial data services.
BlackSky (BKSY): Uses satellite imagery and analytics to deliver intelligence and monitoring services to government and commercial customers.
Space Technology and Supporting Infrastructure
The space industry also depends on a broader network of suppliers and technology providers. These companies develop communications equipment, navigation systems, sensors, electronics and other technologies used in aerospace and defense applications.
Examples include:
L3Harris Technologies (LHX): Supplies aerospace and defense technologies, including space-based sensors, satellite systems and related mission equipment.
Trimble (TRMB): Provides positioning, navigation and geospatial technologies that support applications across multiple industries, including aerospace.
Garmin (GRMN): Develops navigation and positioning products, with technologies relevant to aviation and other specialized markets.
These companies do not all derive the same proportion of revenue from space-related activities. Some are pure-play or relatively focused space businesses, while others have broader aerospace, defense or technology operations.
2. Three U.S.-Listed Space-Themed ETFs to Know
Investors who prefer diversified exposure rather than selecting individual stocks can consider ETFs focused on the space economy. Three funds worth examining are UFO, ARKX and NASA.
Procure Space ETF (UFO)
The Procure Space ETF (UFO) tracks the VettaFi Space Index and invests in companies involved in the space industry. Its portfolio includes businesses across satellite communications, launch services, spacecraft manufacturing and related technologies.
UFO offers a relatively direct way to access the space theme through an index-based strategy. However, its holdings are not limited to pure-play space companies.
Key details:
Ticker: UFO
Strategy: Index-tracking
Benchmark: VettaFi Space Index
Expense ratio: 0.75%
Top holdings as of October 30, 2026:
Company | Ticker | Portfolio weight |
|---|---|---|
SpaceX | SPCX | 15.17% |
Trimble | TRMB | 5.61% |
Viasat | VSAT | 5.23% |
EchoStar | ECHO | 5.09% |
Garmin | GRMN | 4.96% |
Sirius XM | SIRI | 4.69% |
Rocket Lab | RKLB | 4.68% |
AST SpaceMobile | ASTS | 3.50% |
Globalstar | GSAT | 3.31% |
MDA Space | — | 3.24% |
ARK Space & Defense Innovation ETF (ARKX)
The ARK Space Exploration & Innovation ETF (ARKX) is an actively managed fund that invests in companies involved in space exploration, aerospace and defense innovation.
Unlike a narrowly defined space-industry fund, ARKX has a broader investment mandate. Its holdings can include companies in defense technology, autonomous systems, artificial intelligence and other areas that ARK believes may benefit from innovation in space and defense.
The fund was renamed from ARK Space Exploration & Innovation ETF to ARK Space & Defense Innovation ETF in November 2025, reflecting its expanded investment scope.
Key details:
Ticker: ARKX
Strategy: Actively managed
Expense ratio: 0.75%
Investment focus: Space and defense innovation
Top holdings as of November 2, 2026:
Company | Ticker | Portfolio weight |
|---|---|---|
SpaceX | SPCX | 10.64% |
L3Harris Technologies | LHX | 7.47% |
Kratos Defense & Security Solutions | KTOS | 6.19% |
AeroVironment | AVAV | 5.95% |
Deere & Company | DE | 5.66% |
Rocket Lab | RKLB | 5.36% |
NVIDIA | NVDA | 5.17% |
Amazon | AMZN | 4.46% |
Palantir Technologies | PLTR | 4.00% |
Tesla | TSLA | 3.89% |
ARKX may appeal to investors who want exposure to a wider range of aerospace and defense technologies, rather than only companies directly engaged in space operations.
Tema Space Innovators ETF (NASA)
The Tema Space Innovators ETF (NASA) invests in companies involved in the development and commercialization of space technologies. Its portfolio spans launch services, satellite communications, spacecraft manufacturing and related infrastructure.
One notable feature is its exposure to SpaceX through both a dedicated investment vehicle and a direct holding. This gives the fund a relatively significant allocation to the private space company.
Key details:
Ticker: NASA
Strategy: Actively managed
Expense ratio: 0.75%
Investment focus: Space technology and commercialization
Top holdings as of November 2, 2026:
Holding | Ticker / structure | Portfolio weight |
|---|---|---|
SpaceX exposure through SPV | SPV | 17.47% |
Rocket Lab | RKLB | 9.80% |
SpaceX | SPCX | 8.80% |
Viasat | VSAT | 5.50% |
AST SpaceMobile | ASTS | 5.30% |
Universal Microwave Technology | — | 4.72% |
MDA Space | — | 4.24% |
Filtronic | — | 4.03% |
Firefly Aerospace | — | 3.60% |
Intuitive Machines | — | 3.08% |
The SPV position and the direct SpaceX holding represent different investment structures. Combined, they account for approximately 26.27% of NASA's portfolio, based on the holdings data above.
3. How Do the Three ETFs Compare?
Although UFO, ARKX and NASA all provide exposure to the space theme, their portfolio construction and investment approaches differ.
ETF | Investment approach | Notable characteristics |
|---|---|---|
UFO | Index-tracking | Broad exposure to companies across the space industry |
ARKX | Actively managed | Combines space-related businesses with aerospace and defense innovators |
NASA | Actively managed | More concentrated exposure to selected space companies, including substantial SpaceX exposure |
The difference is particularly visible in their SpaceX and Rocket Lab allocations.
SpaceX and Rocket Lab portfolio exposure:
UFO: SpaceX 15.17%; Rocket Lab 4.68%
ARKX: SpaceX 10.64%; Rocket Lab 5.36%
NASA: SpaceX 26.27% in combined exposure; Rocket Lab 9.80%
NASA's combined SpaceX exposure includes its SPV position and direct holding. The figures for the three ETFs reflect different reporting dates: October 30 for UFO and November 2 for ARKX and NASA.
Investors should also note that a larger allocation to SpaceX or Rocket Lab does not automatically make an ETF a better investment. Portfolio concentration, valuation, business fundamentals and the fund's overall strategy all matter.
4. Key Risks of Investing in Space ETFs
The space industry has significant long-term growth potential, but investing in the sector also comes with considerable risks.
High capital requirements and long development cycles. Rocket development, satellite manufacturing and space infrastructure require substantial investment. Projects can take years to reach commercial scale, and delays or technical failures may weigh on a company's financial performance.
Execution and technology risks. Launch failures, satellite malfunctions and unsuccessful missions can lead to significant financial losses and damage investor confidence.
Valuation volatility. Many space-related companies are still developing their businesses or have limited profitability. Their share prices can be particularly sensitive to changes in growth expectations, interest rates and market sentiment.
Policy and regulatory uncertainty. The industry is closely linked to government contracts, spectrum allocation, export controls and national security policies. Changes in regulations or government spending priorities could affect companies' prospects.
ETF concentration and thematic overlap. A fund marketed as a space ETF may hold companies with substantial businesses outside the space sector. Conversely, a fund with a large allocation to one or two companies may carry significant single-stock risk. Investors should examine the full portfolio rather than relying solely on an ETF's name.
5. Conclusion
The space economy extends well beyond rocket launches. Satellite communications, Earth observation, spacecraft manufacturing and aerospace technologies are all contributing to the industry's expansion.
For investors, UFO, ARKX and NASA offer three distinct ways to gain exposure to this theme. UFO provides index-based access to a broad group of space-related companies; ARKX takes a wider approach that includes defense and aerospace innovation; while NASA offers more concentrated exposure to selected space businesses, including a significant combined allocation to SpaceX.
Ultimately, the right choice depends on an investor's preferred level of concentration, investment horizon and appetite for risk. As the commercial space industry continues to develop, investors should focus not only on the excitement surrounding space exploration, but also on the underlying businesses, valuations and financial performance.
Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell any security. ETF holdings and portfolio weights are subject to change. Investors should consult the latest fund disclosures before making investment decisions.
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