REX Drone ETF

DRNZ

Market cap $84.7M

Exchange traded fund inflows have topped $750 billion in 2026. This puts the industry on pace to challenge the $1.5 trillion annual record set last year, Todd Rosenbluth, head of research at VettaFi, told host Nate Geraci on this week's ETF Prime.

Exchange-traded funds (ETFs) are rarely identical, and drone ETFs are no exception. Though a relatively new entry into the burgeoning drone ETF space, the REX Drone ETF (DRNZ) is already outflying the Global X Defense Tech ETF (SHLD) in a total return dogfight this year.

The Q2 Market Outlook Symposium, Defining the Quarter Ahead, held on April 30, 2026, brought together industry leaders to dissect the evolving macroeconomic landscape and highlight sophisticated strategies for the modern portfolio.

The defense investing playbook is getting rewritten. However, portfolios built around legacy names like Lockheed Martin Corp. (LMT) miss the shift toward autonomous systems and next-generation warfare technology reshaping Pentagon priorities.

The history of warfare includes some major milestones that changed how war was fought. A recent announcement by Ukraine may represent just the latest in that long, bloody list.

Since the start of Operation Epic Fury at the end of February, Brent crude oil prices have risen as high as $150 a barrel as the Strait of Hormuz has been effectively closed by Iran.  Panic over supply is driving energy prices higher, and consumers are experiencing it at the pump with soaring gasoline prices.

The debate over whether artificial intelligence has entered bubble territory has reached a fever pitch. For this edition of Bull vs Bear, writers Nicholas Peters-Golden and DJ Shaw discuss the disconnect between infrastructure spending and software revenue.

Key Takeaways: Defense ETFs now hold $42 billion in assets with $9 billion in inflows this year amid rising geopolitical tensions. Eight out of nine new defense ETF launches since 2025 have been global or international offerings.

The defense industry is transforming into one of the most interesting areas of the market, particularly for investors seeking a stable growth alternative to higher-beta sectors like technology.

Drone-focused ETFs like JEDI gain traction as the Middle East conflict boosts demand for UAV makers, highlighting a shift in defense investing strategies.