Defiance AI & Power Infrastructure ETF

AIPO

Capitalización de mercado USD 799 M

On Holding AG (NYSE: ONON) is down 2.6% at $26.44 today, the footwear stock extending its recent slide to trade around two-year lows.

Nvidia (NVDA) showed the AI trade remains very much alive, says Sylvia Jablonski, along with how important everything that energizes AI really is. She talks about how memory and photonics "fuel the engine" to AI, pointing to several ETFs investors can use to add exposure to portfolios.

AI-driven data center power demand is transforming utilities from defensive income plays to growth vehicles, with demand expected to more than double by 2027. Investors can choose between aggressive growth via Defiance AI & Power Infrastructure ETF (AIPO) or lower-volatility, regulated exposure through Utilities Select Sector SPDR ETF (XLU).

The Defiance AI & Power Infrastructure ETF offers targeted exposure to the accelerating AI-driven infrastructure buildout, focusing on power, grid, and data center assets. AIPO is rated a BUY, supported by robust hyperscaler CapEx, nuclear deal momentum, and potential Fed policy shifts, despite elevated valuation multiples. Top holdings like GE Vernova, Eaton, Vertiv, and Quanta Services are positioned to benefit from multi-year order backlogs and secular electricity demand growth.

The Utilities Select Sector SPDR Fund (NYSEARCA:XLU) has quietly become one of the more popular AI-adjacent trades on Wall Street.

The Defiance AI & Power Infrastructure ETF is rated hold, reflecting fair valuation and heightened volatility amid macro headwinds. AIPO's 31x P/E and 18.7% long-term EPS growth yield a reasonable PEG of 1.66x, but technicals signal caution after breaking key support levels. The fund's concentration in Industrials, Utilities, and Energy exposes it to both AI-driven growth and sector-specific risks.

The Mag-7 erased nearly $800 billion in value as AI spending worries resurfaced. Here are the ETF themes that could benefit from the shift.

Following a 7% pullback earlier in June, the tech-heavy Nasdaq-100 has bounced back more than 5% as bullish investors demonstrate that they believe the artificial intelligence (AI) trade still has plenty of room to run. But with volatility remaining elevated, investors are finding it increasingly difficult to identify potential individual winners.

Markets have treated AI as a gold rush of LLMs, chips and cloud applications, but as the industry shifts from chatbots to agentic systems —  AI that autonomously runs workflows and makes decisions — hyperscalers are now facing a brutal physical bottleneck.

Investors searching for the biggest stock winners of 2026 may be surprised to learn they already own some of them through small-cap ETFs.