3 AI ETFs Gaining Momentum in 2025

3 AI ETFs Gaining Momentum in 2025

Artificial intelligence (AI) stock investors are breathing a sigh of relief as earnings season winds down. The last month showed investors that the AI trade is alive and well. Many companies beat revenue and earnings expectations. More importantly, they issued guidance confirming that AI spending would continue in 2025 and beyond.

That’s also good for investors who prefer to get exposure to AI through exchange-traded funds (ETFs). Some of these funds fell sharply to start the year as concerns over DeepSeek and then tariffs weighed on the sector.

However, any long-term concerns are shifting to the back burner as investors view AI as a train that continues to build momentum. That means there’s still time to jump in on these AI-focused ETFs, which appear ready to move higher in the year’s second half.

If You Want Magnificent 7 Exposure, This Fund Is for You

Xtrackers Artificial Intelligence and Big Data ETF Today

XAIX

Xtrackers Artificial Intelligence and Big Data ETF

$36.32 +0.47 (+1.31%)

As of 06/6/2025 03:59 PM Eastern

52-Week Range
$26.95

$36.56

Dividend Yield
0.06%

Assets Under Management
$46.07 million

The first ETF to consider is the Xtrackers Artificial Intelligence and Big Data ETF NASDAQ: XAIX. The fund is a market-cap weighted fund that is heavily focused on mega-cap U.S. technology stocks such as the Magnificent 7. If you’re looking for a set it and forget it AI ETF this is a strong choice.

In fact, as of June 5, Meta Platforms Inc. NASDAQ: META and Microsoft Corp. NASDAQ: MSFT are the fund’s two largest holdings, and four additional Mag Seven names are part of the fund’s 10 largest holdings.

This fund launched in late 2024. However, it already has $44.7 million of assets under management (AUM). An expense ratio of 0.35% is a premium compared to many broad-based funds. However, investors expect that kind of a premium in a sector like AI. Plus, that expense ratio is significantly lower than that of other AI-focused ETFs.

An AI-Focused Fund for Aggressive Growth Investors

Invesco AI and Next Gen Software ETF Today

IGPTIGPT 90-day performance

Invesco AI and Next Gen Software ETF

$46.49 +0.33 (+0.71%)

As of 06/6/2025 04:10 PM Eastern

52-Week Range
$33.80

$50.00

Assets Under Management
$435.93 million

Investing in mega-cap tech stocks isn’t a bad idea. But when many investors think about the possibilities of AI, they’re thinking about the technology itself and the infrastructure that will be required. That means looking at pure-play AI companies and the Invesco AI and Next Gen Software ETF NYSEARCA: IGPT.

This is a modified market-cap weighted fund, which means it will have tilt slightly to mid- and small-cap AI names. Investors get exposure to some of the Mag Seven, but they also get names like Snowflake Inc. NYSE: SNOW, Equinix NASDAQ: EQIX, and Intuitive Surgical Inc. NASDAQ: ISRG.

The idea is to expose investors to some of the smaller AI innovators offering significant growth potential. However, that does add volatility.

The IGPT fund launched in 2006, and it currently has over $433 million in AUM. It has a 0.60% expense ratio.

A Technology Fund That Proves Bigger Is Better

Global X Artificial Intelligence & Technology ETF Today

Global X Artificial Intelligence & Technology ETF stock logo
AIQAIQ 90-day performance

Global X Artificial Intelligence & Technology ETF

$41.62 +0.42 (+1.02%)

As of 06/6/2025 04:00 PM Eastern

52-Week Range
$30.60

$42.78

Dividend Yield
0.12%

Assets Under Management
$3.35 billion

The Global X Artificial Intelligence & Technology ETF NASDAQ: AIQ is the largest of the funds on this list. As of June 5, it had over $3.3 billion of assets under management. The fund is a modified equal-weight fund, which provides more diversity for investors, including names that are not associated with AI.

For example, investors get exposure to many of the Magnificent Seven stocks, but there are none in the top five of the fund’s holdings. Instead, investors get names like Palantir Technologies Inc. NASDAQ: PLTR and Netflix Inc. NASDAQ: NFLX. However, it should be noted that the fund rebalances quarterly.

The fund launched in 2019 and has $3.3 billion in AUM. It has a 0.68% expense ratio, which is the highest in this group. However, the fund has delivered a total return of over 103% in the last five years so investors are getting a solid return for the premium they’re paying.

Before you consider Global X Artificial Intelligence & Technology ETF, you’ll want to hear this.

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While Global X Artificial Intelligence & Technology ETF currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.

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