VettaFi has experienced strong growth as a differentiated index provider in 2026. This momentum continues with today’s acquisition of The SPADE® Defense Index. The deal adds a popular, high-conviction thematic sector strategy to a global platform. More than $260 billion in index-based assets is tied to VettaFi.
Brian Coco, chief product officer at VettaFi, highlighted the strategic rationale behind the deal: “The acquisition of The SPADE® Defense Index aligns with our mission to offer asset managers and investors specialized, institutional-grade exposure to critical, long-term trends. Defense and security capabilities remain top-of-mind globally, and integrating this benchmark strengthens our expansive indexing platform.”
Key Takeaways
- VettaFi acquired the index behind the Invesco Aerospace & Defense ETF (PPA ), an $8 billion ETF. Assets tied to VettaFi’s indexing business exceed $260 billion.
- Demand for targeted industry ETFs has increased in 2026 as defense modernization budgets climb.
- PPA owns 5% or more exposure to Boeing Company, GE Aerospace and RTX Corporation.
With the addition of the SPADE® index, assets tied to VettaFi’s global aerospace & defense franchise expanded to over $11 billion. This reinforces a key pillar of VettaFi’s specialized index suite and research insights.
Inside PPA: Scale, Holdings & Flow Momentum
The acquired benchmark serves as the underlying index for the Invesco Aerospace & Defense ETF (PPA ). The ETF provides focused exposure to U.S-listed leaders across defense, aerospace, national security, and space operations.
PPA has seen significant demand as modern defense priorities accelerate. As of late September, strong investors have added approximately $700 million to the index ETF in 2026. This pushed the fund’s total assets up to $8 billion.
Unlike broad industrial sector products, PPA delivers pure-play exposure to companies shaping national security supply chains. Key aerospace and defense contractors dominating its top holdings in late September were as follows:
Navigating Global Priorities & Smart Beta Expansion
Global military expenditures and defense modernization budgets continue to climb. Governments are prioritizing strategic readiness, autonomous technologies, and space capabilities. By systematic design, the SPADE® Defense Index captures market innovators spanning hardware, military electronics, and defense software.
The deal follows the August 2026 VettaFi acquisition of RAFI Indices, the pioneer in fundamental indexing. VettaFi continues to broaden its suite of innovative strategies to support advisors and investors.
Beyond defense, VettaFi’s thematic sector index lineup footprint powers well-known funds across energy- and disruptive-technology ETFs. The $13 billion Alerian MLP ETF (AMLP ) is used to gain midstream energy exposure. Meanwhile, the $2 billion ROBO Global Robotics and Automation Index ETF (ROBO ) provides another thematic approach.
For more news, information, and analysis, visit the Investing in Defense Content Hub.
VettaFi LLC (“VettaFi”) is the index provider for AMLP, PPA, ROBO, for which it receives an index licensing fee. However, AMLP, PPA, ROBO are not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of AMLP, PPA, ROBO.
