Arm Holdings (ARM): Returns, Risk & Drawdowns

Reviewed by Sid Kalla CFA Charterholder

Quick Answer

What is Arm Holdings' risk, return, and volatility like?

Arm Holdings returned +94.6% over the 1Y window. On the Since inception lens, Sharpe ratio is 1.14, annualized volatility is 59.3%, and max drawdown is -41.5%.

Total Return

1Y +94.6%

Since inception +82.6%

Sharpe Ratio

1Y 1.44

Since inception 1.14

Annualized Volatility

1Y 53.4%

Since inception 59.3%

Max Drawdown

1Y -41.5%

Since inception -41.5%

Trade ARM

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Affiliate disclosure

Price history

Arm Holdings price since inception

Track Arm Holdings's standalone price path with macro and asset-specific events enabled by default.

Arm Holdings price since inception

ARM

Latest close $204.61 Data through 2026-04-23

Since inception low $85.82 Window low

Since inception high $204.61 Window high

Key takeaways

Total Return: ARM returned +94.6% over the 1Y window and +82.6% over the Since inception window ; annualized return over Since inception was +71.9%.
Risk-adjusted return: Sharpe was 1.14 and Sortino was 1.90 over Since inception. Sharpe counts total volatility; Sortino focuses on downside volatility.
Volatility & drawdown: Annualized volatility was 53.4% over 1Y and 59.3% over Since inception ; max drawdown was -41.5% over 1Y and -41.5% over Since inception .
Tail risk (Expected Shortfall): Over Since inception, daily VaR (5%) was -5.1% and Expected Shortfall was -7.5%. VaR is the cutoff; Expected Shortfall is the average move inside the worst 5% of daily returns.
Skew & kurtosis: Over Since inception, skew was 0.80 and excess kurtosis was 5.91. Skew shows return asymmetry; excess kurtosis shows how fat the tails were versus a Normal distribution.
Risk ratios: Sortino Ratio: 1.90 , Calmar Ratio: 1.73 , Sterling Ratio: 2.17 , Treynor Ratio: 0.31 , Ulcer Index: 20.39% .

Arm Holdings Drawdown

ARM 1Y Max Drawdown

↓ -41.5%

2025-10-27 to 2026-02-03

ARM Since inception Max Drawdown

↓ -41.5%

2025-10-27 to 2026-02-03

Max drawdown shows the deepest peak-to-trough decline Arm Holdings suffered in each research window. 1Y: -41.5%; Since inception: -41.5%.

Arm Holdings is currently 0.0% below its prior peak, with the high-water mark at $204.61. Since inception low is $85.82.

ARM underwater plot (Since inception). Zero means at a prior peak; dips show how far below peak the close was on each day. Deepest trough: -41.5% on Feb 3, 2026.

Since inception drawdown episodes

-41.5% Oct 27, 2025 to Feb 3, 2026

Recovered Apr 22, 2026 177 total days

-31.3% Mar 24, 2025 to Apr 8, 2025

Recovered May 13, 2025 50 total days

-20.7% Jun 27, 2025 to Aug 20, 2025

Recovered Oct 8, 2025 103 total days

Arm Holdings Volatility

ARM 1Y Volatility

53.4%

Annualized daily closes

ARM Since inception Volatility

59.3%

Annualized daily closes

Volatility Arm Holdings's annualized volatility shows how widely daily closes moved over 1Y and Since inception. Higher values mean a noisier path, not automatically a better or worse investment. 1Y: 53.4%; Since inception: 59.3%.

Benchmark context

Where ARM fits relative to other lenses

Benchmark links are secondary on this page. Use them when you want to place the asset against a specific market, factor, or historical counterpart.

Default benchmark

S&P 500

SPY

Broad equity benchmark

1Y return

↑ +30.7%

ARM minus SPY

↑ +52.0%

Correlation

0.55

ARM vs SPY average correlation

Moderately linked

0.55

QQQ

Nasdaq 100

Corr 0.57

Growth and tech benchmark

1Y return +39.9%

ARM minus QQQ +42.8%

BTC

Bitcoin

Corr 0.35

Cross-asset crypto benchmark

1Y return -17.1%

ARM minus BTC +99.8%

XAU

Gold

Corr 0.02

Store-of-value benchmark

1Y return +40.2%

ARM minus XAU +42.5%

Risk-adjusted ratios

These ratios compare return against different definitions of risk: total volatility, downside volatility, drawdowns, benchmark beta, and time spent underwater.

Arm Holdings Sharpe Ratio

ARM 1Y Sharpe ratio

↑ 1.44

Recent window

ARM Since inception Sharpe ratio

↑ 1.14

Deeper research window

ARM Sharpe Ratio (Since inception)

Return per total volatility

The dot sits at (Arm Holdings's annualized volatility, its excess annualized return). The slope from the origin to the dot is the Sharpe ratio — steeper means the asset converted risk into return more efficiently.

Higher is better

excess annualized return / total volatility

Formula

\displaystyle \mathrm{Sharpe} = \frac{\mathbb{E}[R] - R_f}{\sigma_R}

Sharpe ratio Arm Holdings's Sharpe ratio measures excess return per unit of total volatility. Higher readings mean the asset converted risk into return more efficiently over the same window. 1Y: 1.44; Since inception: 1.14.

A Sharpe above 1.0 is generally considered good, above 2.0 is excellent. Negative Sharpe means the asset underperformed the risk-free rate. Calculated on each asset's full 365-day lookback of available prices and annualized using the asset calendar (365 for crypto, 252 trading days for equities/ETFs/metals).

Arm Holdings Sortino Ratio

ARM 1Y Sortino ratio

↑ 2.37

Recent window

ARM Since inception Sortino ratio

↑ 1.90

Deeper research window

ARM Sortino Ratio (Since inception)

Return per downside volatility

Arm Holdings's daily-return distribution over the long window. Days left of the target line are the only ones Sortino penalizes in the denominator — so a distribution with a fat left tail produces a smaller Sortino even at the same mean return.

Higher is better

excess annualized return / downside volatility

Formula

\displaystyle \mathrm{Sortino} = \frac{\mathbb{E}[R] - R_f}{\sigma_{\mathrm{down}}}

Sortino ratio Arm Holdings's Sortino ratio isolates downside volatility instead of all volatility. It is the cleaner lens when you care more about bad downside moves than upside noise. 1Y: 2.37; Since inception: 1.90.

A higher Sortino is better. It's useful when upside volatility is common (crypto is the obvious example). Calculated on each asset's full 365-day lookback of available prices, using the daily risk-free rate as the target return, and annualized using the asset calendar (365 for crypto, 252 trading days for equities/ETFs/metals).

Arm Holdings Calmar Ratio

ARM 1Y Calmar ratio

↑ 2.28

Recent window

ARM Since inception Calmar ratio

↑ 1.73

Deeper research window

ARM Calmar Ratio (Since inception)

CAGR per worst drawdown

Arm Holdings's CAGR bar sits above zero, the max drawdown bar sits below. Calmar is the ratio of those two magnitudes — a shallow drawdown bar with a tall CAGR bar produces a strong Calmar.

Higher is better

CAGR / max drawdown

Formula

\displaystyle \mathrm{Calmar} = \frac{\mathrm{CAGR}}{|\mathrm{MaxDD}|}

Calmar ratio Arm Holdings's Calmar ratio measures return per unit of max drawdown. It is useful when the path of losses matters as much as the final return. 1Y: 2.28; Since inception: 1.73.

Calmar is computed on each asset's full 365-day lookback and uses the max drawdown over that same window.

Arm Holdings Sterling Ratio

ARM 1Y Sterling ratio

↑ 2.91

Recent window

ARM Since inception Sterling ratio

↑ 2.17

Deeper research window

ARM Sterling Ratio (Since inception)

Return per average drawdown

The underwater curve shows Arm Holdings's drawdowns over the long window. Sterling averages every event deeper than the 10% threshold instead of taking only the worst one — so an asset with many mid-size drawdowns scores worse here than on Calmar.

Higher is better

excess CAGR / average deep drawdown

Formula

\displaystyle \mathrm{Sterling} = \frac{\mathrm{CAGR} - R_f}{\overline{D}_{>10\%}}

Sterling ratio Arm Holdings's Sterling ratio compares return against deep drawdown pressure. It gives a harsher read on assets that compound well but suffer ugly declines along the way. 1Y: 2.91; Since inception: 2.17.

Sterling uses average drawdown events deeper than 10% and subtracts the risk-free rate to report excess return.

Arm Holdings Ulcer Index

ARM 1Y Ulcer Index

20.75

Recent window

ARM Since inception Ulcer Index

20.39

Deeper research window

ARM Ulcer Index (Since inception)

Drawdown pain

The underwater curve shows how deep and how long Arm Holdings's drawdowns were. Ulcer is the root-mean-square of that curve — both depth and persistence count, so lower is better.

Lower is better

root-mean-square drawdown

Formula

\displaystyle \mathrm{UI} = \sqrt{\mathbb{E}[D_t^2]}

Ulcer Index Arm Holdings's Ulcer Index measures both the depth and persistence of drawdowns. Lower is better because it means fewer and shallower underwater periods. 1Y: 20.75; Since inception: 20.39.

Ulcer Index is computed from each asset's drawdown series over the full lookback window.

Arm Holdings Treynor Ratio

ARM 1Y Treynor

↑ 0.33

Beta 2.33 vs SPY

ARM Since inception Treynor

↑ 0.31

Beta 2.15 vs SPY

ARM Treynor Ratio (Since inception)

Excess return per beta vs SPY

The line's slope is Arm Holdings's beta to SPY — steeper means more market-sensitive. Treynor divides excess return by that slope, so an asset can look efficient with a shallow beta and a small return, or inefficient with a steep beta and a big return.

Higher is better

excess return / market beta

Formula

\displaystyle \mathrm{Treynor} = \frac{\mathbb{E}[R] - R_f}{\beta}

Treynor ratio measures excess return per unit of market beta versus SPY. A high Treynor means the asset compensated its market exposure well over this window. A low or negative Treynor means the asset's market risk wasn't rewarded.

Treynor uses beta vs the S&P 500 (SPY) on shared dates and the average 3-month Treasury rate as the risk-free rate.

Arm Holdings Tail Risk

Tail-risk stats use daily return distributions rather than simple end-point returns. They show how ugly the left tail has been, how severe the worst 5% of days were, and whether returns were skewed toward outsized upside or downside shocks.

The histogram shows the shape of Arm Holdings's daily log returns over the Since inception window. Bars left of the 5% VaR marker are the worst 5% of days; the ES marker is the average loss inside that tail. Skew and excess kurtosis describe whether the distribution is symmetric around zero and whether extreme days are more common than a Normal distribution predicts.

ARM daily return distribution (Since inception)

Log-return histogram with Value-at-Risk and Expected Shortfall markers at the 5% left tail.

Days

worst-5% daily return and the average loss inside it

Formula

\displaystyle \mathrm{VaR}_{5\%} = Q_{0.05}(R),\quad \mathrm{ES}_{5\%} = \mathbb{E}[R \mid R \le \mathrm{VaR}_{5\%}]

Metric	1Y	Since inception
VaR (5%)	-4.8% Historical daily threshold	-5.1% Historical daily threshold
Expected shortfall (5%)	-6.6% Beyond the VaR threshold	-7.5% Beyond the VaR threshold
Skew	0.40	0.80
Excess kurtosis	3.45	5.91

Less negative daily VaR and Expected Shortfall values mean the left tail was less violent. Skew and excess kurtosis help distinguish between steady compounding and a path dominated by occasional extreme moves.

Full stats table

Every window-consistent research metric

Each column keeps the same horizon across returns, ratios, drawdowns, and tail-risk metrics.

Metric	1Y Recent window	Since inception Deeper research window
Total return	+94.6%	+82.6%
Annualized return	+94.7%	+71.9%
Volatility	53.4% Annualized daily closes	59.3% Annualized daily closes
Sharpe ratio	1.44	1.14
Sortino ratio	2.37	1.90
Calmar ratio	2.28	1.73
Sterling ratio	2.91	2.17
Ulcer Index	20.75	20.39
Max drawdown	-41.5% 2025-10-27 to 2026-02-03	-41.5% 2025-10-27 to 2026-02-03
VaR (5%)	-4.8% Historical daily threshold	-5.1% Historical daily threshold
Expected shortfall (5%)	-6.6% Beyond the VaR threshold	-7.5% Beyond the VaR threshold
Skew	0.40	0.80
Excess kurtosis	3.45	5.91

What viewers usually ask next

What is Arm Holdings's Since inception CAGR?

Arm Holdings's since inception cagr is +71.9% on Gale using the since-inception window.

What is Arm Holdings's 1-year volatility?

Annualized volatility is 53.4% over the past year.

What is Arm Holdings's since-inception Sharpe ratio?

Arm Holdings's Sharpe ratio is 1.14 using the since-inception window.

What is Arm Holdings's since-inception Sortino ratio?

Arm Holdings's Sortino ratio is 1.90 using the since-inception window.

What is Arm Holdings's since-inception Calmar ratio?

Arm Holdings's Calmar ratio is 1.73 using the since-inception window.

What is Arm Holdings's since-inception Sterling ratio?

Arm Holdings's Sterling ratio is 2.17 using the since-inception window.

What is Arm Holdings's since-inception Ulcer Index?

Arm Holdings's Ulcer Index is 20.39 using the since-inception window. Lower is better because it means shallower and less persistent drawdowns.

What is Arm Holdings's since-inception max drawdown?

Max drawdown is -41.5% over the since-inception window from 2025-10-27 to 2026-02-03.

What is Arm Holdings's since-inception daily Value at Risk?

Using historical daily returns, Gale estimates a 5% Value at Risk of -5.13% over the since-inception window.

What is Arm Holdings's since-inception Expected Shortfall?

Expected Shortfall is -7.52% over the since-inception window, which captures the average outcome inside the worst 5% of daily returns.

Is Arm Holdings still below its all-time high?

Current drawdown is +0.0% versus the all-time high of $204.61 reached on 2026-04-23.

Which benchmark should viewers open first for Arm Holdings?

S&P 500 is the default benchmark lens on Gale because it gives the cleanest context for Arm Holdings's recent behavior.