Global X Defense Tech ETF (SHLD)
ARCA ARCA Primary 
XBER 
Defense Stocks And ETFs Such As SHLD Are Declining Today: Why?
Defense industry firms rise and fall in the short term when investors fear war or expect sudden peace. Instead, look at the big picture: defense is essential to our survival. I prefer strategic investment in defense ETFs over picking individual stocks, due to complex contract allocation and political factors. My top picks include Global X Defense Tech ETF, Select STOXX Europe Aerospace & Defense ETF, and WisdomTree Europe Defense Fund ETF.
SHLD: Defense-Tech ETF That's Priced To Perfection
Global X Defense Tech ETF has surged over 80% YTD, outperforming legacy defense ETFs like ITA due to its unique composition and global focus. SHLD excels by emphasizing tech-driven defense, broader geographic exposure—especially Europe—and a more diversified, growth-oriented portfolio than ITA. Despite higher fees and volatility, SHLD benefits from Europe's unprecedented rearmament cycle and the fusion of traditional and tech defense sectors.
AI, Robotics, And Drones Have Changed Defense Firms Forever
Defense industry giants like Lockheed (LMT) and Raytheon (RTX) retain top spots, but innovative firms and European players are gaining ground. Boeing (BA) has fallen in defense revenue rankings, while newcomers like GE Aerospace (GE), SpaceX, and Palantir show strong growth potential. To capture defense innovation, I recommend ETFs such as SHLD, EUAD, and WDEF, with SHLD as a top pick for technology-driven exposure.
SHLD: My Top Aerospace And Defense Pick For The Drone Crisis In Europe
The Global X Defense Tech ETF offers the best balance of European and US defense exposure, with strong performance and a focus on counter-drone solutions. Rising threat levels in Europe, especially from drone incursions, highlight the urgent need for advanced and cost-efficient counter-drone technologies. SHLD stands out for its substantial exposure to both European defense firms and pure-play counter-drone companies, outperforming US-focused ETFs like ITA and XAR.
SHLD: Liquidity, Momentum, And Geopolitics Are Its Three Weapons
Global X Defense Tech ETF offers unique, diversified exposure to both traditional defense contractors and cutting-edge tech firms, capitalizing on global military spending and technological innovation. The ETF has demonstrated exceptional momentum, outperforming peers with 6- and 12-month returns far above the ETF median, and boasts outstanding liquidity. Key risks include higher volatility, concentration in top holdings, and reliance on government defense budgets, though turnover remains low.
SHLD: The Defense ETF That's Crushing Big Tech
SHLD tracks the Global X Defense Tech Index, focusing on cybersecurity, AI, hardware, and military systems leaders. Launched in September 2023, SHLD has quickly amassed $3.5 billion in assets under management. The ETF charges a 0.50% expense ratio, which is moderate for a thematic ETF in this sector.
SHLD: Shield Yourself From Losses - Sell
SHLD offers exposure to top global defense and aerospace firms, benefiting from long-term catalysts like rising NATO and government military spending. Recent earnings and contract wins highlight sector strength and ongoing global conflicts and spending commitments drive continued demand for defense technologies. Valuation analysis shows SHLD's top holdings, especially PLTR, are significantly overvalued across P/E, P/S, and EV/EBITDA metrics versus sector medians.
SHLD: A Compelling ETF, But Prefer To Wait For Some Retracement
SHLD ETF, a $3B sized ETF which covers 42 global defense tech stocks, most of which are large-caps, has trounced global stocks and US stocks by 6-9x on average thisyear. Despite its passively managed profile, SHLD, which covers stocks that have over 50% of their revenue from defense tech, witnesses a high tracking error. Global defense spending is poised to grow by mid-single-digits for the forseeable future, but SHLD's top 10 stocks are poised to deliver weighted average topline growth of almost 3x more.
SHLD: The Pause That Refreshes
Global X Defense Tech ETF offers exposure to cutting-edge global defense technology firms, blending innovative newcomers with established industry leaders for robust portfolio diversification. Rising global defense spending, especially in Europe, underpins sustained growth potential for SHLD's holdings and the ETF's long-term outlook. Key holdings like BAE Systems, Palantir, Rheinmetall, and Saab exemplify advanced capabilities, cost advantages, and operational readiness in modern warfare.
SHLD: Time For The Defense Rally To Take A Breather
SHLD has delivered stellar returns since launch, fueled by surging global defense spending amid heightened geopolitical tensions. Top holdings like Rheinmetall and Palantir are trading at extreme valuations, making the ETF vulnerable to a sharp pullback. While the defense theme remains attractive long-term, SHLD's current price reflects high levels of investor optimism.
SHLD: A Lot Of Potential Growth In Current Environment
The Global X Defense Tech ETF focuses on aerospace, defense, and cybersecurity. Key holdings like Palantir, Rheinmetall, and RTX Corporation are driving bullish sentiment due to their strong market positions and growth prospects in defense and AI. Despite high historical valuations, macro factors like global conflicts and defense spending trends support a cautiously bullish rating for SHLD.
SHLD: The New And Enduring Trend Of Global Defense Prioritization
Geopolitical tensions, especially Russia's invasion of Ukraine and rising concerns about China, are driving global defense spending, creating a favorable environment for defense investments. The Global X Defense Tech ETF offers focused exposure to defense spending, excluding non-defense sectors and certain countries, making it a solid investment choice. Technological advancements in AI and drones require new answers, further supporting the long-term growth potential of defense companies.
