iShares Future AI & Tech ETF

ARTY

Market cap $2.16B

ETFs can make it easier to buy into the artificial intelligence (AI) industry with less effort than investing in individual stocks. Some AI ETFs are riskier (and more lucrative) than others.

Artificial intelligence (AI) stocks like Nvidia and Palantir propelled the broader market higher during 2025. AI is likely to remain a dominant theme for the stock market in 2026, but picking the winners and losers won't be easy.

The hardest part about investing in artificial intelligence isn't believing in the technology—it's deciding which companies will actually profit from it.

Artificial intelligence still has plenty of growth left, and these AI ETFs are poised to benefit. Many of the top AI ETFs focus on chipmakers and software companies.

Investing in an AI-specific ETF can provide more diversification than buying individual stocks. However, this type of investment is prone to significant volatility.

Thematic investors are split between two big future bets: robotics and electric vehicles.

Investing in ETFs can help mitigate risk while still amplifying your earnings. Growth ETFs sometimes carry more risk, but they also have potential for greater rewards.

THNQ outperforms ARTY on risk-adjusted returns and diversification but suffers from poor liquidity, limiting its investability. ARTY offers better liquidity and lower costs, yet its high concentration and excessive portfolio turnover undermine long-term performance. Both ETFs receive a hold rating: THNQ for illiquidity and ARTY for a flawed strategy and disappointing growth capture.

Artificial intelligence (AI) stocks like Nvidia and Palantir Technologies have delivered blistering returns over the last few years. Not all AI stocks are created equal, and picking the long-term winners and losers in this industry won't be easy for investors.

iShares Future AI & Tech ETF continues to outperform, rising 19.3% since August and doubling assets under management to over $2B. It maintains a concentrated portfolio focused on AI infrastructure—chips, hardware, and data centers—delivering strong momentum and sector-leading returns. Despite high volatility and premium valuation, ARTY offers exceptional liquidity and operational depth, justifying its role as a structural AI investment.