Cactus Personal Finance

Hello everyone! Welcome back to my website and today I’m going to talk about an interesting ETF which has been performing really well.

In this post you will all the details to invest in defence sector to diversify your investment portfolio.

As per usual, this is not financial advice. If you’re unsure about anything, it’s worth seeking advice from a regulated financial advisor.

If you didn’t have time to follow the news, here’s the key takeway.

• Rising military budgets.
• Government spending resilience.
• Weapons and other military equipments.

It’s worth noting that defense sector is controversial and it doesn’t always follow sustainable and ethical values. If this is an issue for you then you probably shouldn’t look into this ETF as an investment for your portfolio.

Now if you think having this in your portfolio, here’s two relevant ETF.

ETF: Vaneck defense ucits etf
ISIN: IE000YYE6WK5
Fees: 0.55%
Fund size: $8bn on the 9th of October 2025
Ticker: DFNS
Currency: USD
ISA Eligible: YES
Number of companies: 32
Country breakdown: US (48.73%), South Korea (12.23%), France (10.07%), Italy (7.7%), etc.

In 2025 the ETF is up 80.68% and 60.19% since inception.

And another idea, this one is very exposed to US environment.

ETF: Invesco aerospace & defense etf
ISIN: US46137V1008
Fees: 0.58%
Fund size: $110 bn (September 2025)
Ticker: PPA
Currency: USD
Number of companies: 56
Country breakdown: US (96.55%)
Top holdings: Boeing (~7%), RTX (~7%), General electric (~7%), Lockheed Martin (~7%).

In 2025 the ETF is up 36.54%.

I hope you found these ETF interesting and drop me a line if you want to discuss this further. Cheers!