Artificial Intelligence (AI) has become a transformative force across multiple industries, reshaping business models, driving innovation, and generating significant investment interest. Exchange-Traded Funds (ETFs) focused on AI offer investors a strategic way to gain exposure to a diversified selection of leading companies in this burgeoning sector. Here we highlight five prominent AI ETFs that investors should consider in 2025.
1. Global X Artificial Intelligence & Technology ETF (AIQ)
Overview
The Global X Artificial Intelligence & Technology ETF (AIQ) tracks the Indxx Artificial Intelligence & Big Data Index. This ETF invests primarily in companies poised to benefit significantly from advancements in AI and big data analytics, with a balanced mix of established technology giants and innovative smaller firms.
Key Holdings
- Tesla
- Netflix
- Broadcom
Expense Ratio
- 0.68%
Investment Thesis
AIQ appeals to investors looking for exposure to the intersection of AI and big data, two closely intertwined fields driving growth and innovation across sectors like automotive, entertainment, and semiconductor technology.
2. Global X Robotics & Artificial Intelligence ETF (BOTZ)
Overview
The BOTZ ETF is dedicated to investing in companies leading the fields of robotics and artificial intelligence. It emphasizes industrial automation, autonomous vehicles, and healthcare technologies, capturing the broad applications of AI-powered robotics.
Key Holdings
- Nvidia
- Intuitive Surgical
Expense Ratio
- 0.68%
Investment Thesis
Investors interested in the rapidly evolving robotics industry, which leverages AI to drive efficiency, productivity, and innovation, will find BOTZ particularly appealing. Its diverse sector exposure provides balanced risk and growth potential.
3. iShares Robotics and Artificial Intelligence ETF (IRBO)
Overview
The iShares Robotics and Artificial Intelligence ETF offers global exposure, tracking companies at the cutting edge of robotics and AI. It includes a diversified portfolio spanning multiple sectors to capture the broad scope and impact of these technologies.
Key Holdings
- Diversified global AI and robotics firms across multiple sectors
Expense Ratio
- 0.47%
Investment Thesis
IRBO is suitable for investors seeking broader, global exposure to AI and robotics, providing diversification and reduced sector-specific risks, making it attractive for long-term growth-focused portfolios.
4. First Trust Nasdaq Artificial Intelligence and Robotics ETF (ROBT)
Overview
The ROBT ETF tracks the Nasdaq CTA Artificial Intelligence and Robotics Index, investing in companies actively engaged in AI development, robotics innovation, and related technologies. It includes established technology corporations and emerging AI leaders.
Key Holdings
- Palantir Technologies
- Meta Platforms
Expense Ratio
- 0.65%
Investment Thesis
Investors targeting a blend of well-established and rapidly emerging AI and robotics companies will find ROBT beneficial. Its robust selection criteria and industry diversity ensure broad exposure to significant technological advancements.
5. WisdomTree Artificial Intelligence and Innovation ETF (WTAI)
Overview
WisdomTree’s WTAI ETF focuses on AI and innovation, investing across sectors including robotics, big data analytics, and cloud computing technologies. It seeks to identify companies effectively leveraging AI for transformative growth.
Key Holdings
- Companies spanning robotics, big data, cloud computing, and broader innovation sectors
Expense Ratio
- 0.45%
Investment Thesis
WTAI is designed for investors seeking exposure to the extensive applications of AI across various industries. Its emphasis on innovation-driven sectors positions it to benefit significantly from ongoing technological advancements.
Considerations When Choosing AI ETFs
When selecting an AI ETF, investors should:
- Evaluate the fund’s underlying holdings and sector diversification.
- Consider the expense ratio, as fees can significantly impact long-term returns.
- Align ETF choices with individual investment goals, risk tolerance, and time horizon.
Conclusion
AI ETFs present attractive opportunities for investors aiming to capitalize on the transformative potential of artificial intelligence. In 2025, ETFs like AIQ, BOTZ, IRBO, ROBT, and WTAI provide varied options tailored to diverse investment strategies and objectives, offering balanced risk and growth potential in one of the most innovative sectors of the modern economy.
ALSO READ: Why Stock Buybacks Matter to Investors
