Alger AI Enablers & Adopters ETF

ALAI

Market cap $302M

The Alger AI Enablers & Adopters ETF outperformed the S&P 500 Index during the third quarter of 2025. NVIDIA Corporation, Nebius Group N.V., and Talen Energy Corp were among the top contributors to performance. Netflix, Inc., Twilio, Inc., and Spotify Technology were among the top detractors from performance.

Every month, TMX VettaFi publishes hundreds of articles across our ETF-focused websites. Reviewing the pieces that capture our readers' attention provides a clear picture of prevailing advisor and investor sentiment.

The Alger AI Enablers & Adopters ETF offers concentrated exposure to high-growth companies driving AI infrastructure and application adoption. ALAI's portfolio is heavily weighted toward large-cap leaders like NVDA, MSFT, and AMZN, resulting in a higher valuation and increased concentration risk. The ETF has outperformed the S&P 500 and peer AI ETFs since inception, with a moderate 0.55% expense ratio and a growth-oriented strategy.

Corporate adoption of artificial intelligence is extending far beyond merely employing AI as an augmented search engine. The Alger team recently broke down how different firms in the U.S. are using artificial intelligence.

Corporations aren't the only major source that can drive capital expenditures (CapEx) spending on artificial intelligence infrastructure. Recent insights from Alger highlighted how spending from foreign governments could serve as a key accelerator for AI CapEx spending.

Even as some of the largest tech companies have continued to pour hundreds of billions of dollars into scaling up their AI infrastructure, some investors may be skeptical about AI's practical utility and broader adoption.

The corporate enthusiasm driving AI adoption isn't solely due to the helpful nature of AI chat bots.  It may come as a surprise to some, but one of the industries that has been affected most by artificial intelligence is the marketing industry.

On this week's episode of ETF Prime, Ben Fulton, CEO of WEBs Investments joins Nate Geraci to discuss the firm's suite of defined volatility ETFs. Later, Arthur Nowak, Client Portfolio Manager at Alger, shares the firm's high-conviction approach to investing in innovation and growth, including the Alger AI Enablers & Adopters ETF (ALAI).

It's certainly no secret that many of the largest tech companies in the world have spent billions of dollars each year to rapidly scale up their artificial intelligence operations.

It looks like the race for global AI innovation is quickly shifting to the next heat. On August 7, OpenAI released its latest artificial intelligence model, GPT-5.