Invesco AI and Next Gen Software ETF

IGPT

Market cap $706M

If you're interested in broad exposure to the Technology - Software segment of the equity market, look no further than the Invesco AI and Next Gen Software ETF (IGPT), a passively managed exchange traded fund launched on June 23, 2005.

Micron stands to benefit as AI demand drives a memory chip crunch through 2027, pushing prices higher and steering investors toward targeted ETFs.

IGV and IGPT ETFs, once closely correlated, have diverged sharply as AI disruption fears weigh on software and favor chipmakers. IGPT's August 2023 strategy shift increased semiconductor and AI exposure, driving outperformance versus IGV amid the data center boom. AI coding tools are eroding software moats, reducing switching costs and pricing power, while chipmakers see accelerated growth expectations.

AI stocks have been helping power the market higher for the past three years. The Roundhill's Generative AI ETF, Global X Artificial Intelligence & Technology ETF, and Invesco AI and Next Gen Software ETF are all great ways to invest in the AI trend.

Artificial intelligence has become the defining investment theme of the decade, but most investors face a dilemma: concentrate in a handful of chip makers or spread across hundreds of tech stocks and dilute exposure?

As the 2026 market landscape takes shape, artificial intelligence (AI) continues to serve as the primary catalyst for global equity performance.  According to BlackRock's 2026 outlook, AI remains the “dominant theme” for the investment community, fueling a capital-intensive expansion that is fundamentally supporting corporate earnings and broader macroeconomic growth.

This ETF has an interesting history as it was born as a software fund. Now it resides at the high-growth intersection of AI and software.

The Invesco AI and Next Gen Software ETF (IGPT) was launched on June 23, 2005, and is a passively managed exchange traded fund designed to offer broad exposure to the Technology - Software segment of the equity market.

Designed to provide broad exposure to the Technology - Software segment of the equity market, the Invesco AI and Next Gen Software ETF (IGPT) is a passively managed exchange traded fund launched on June 23, 2005.

The Invesco AI and Next Gen Software ETF (IGPT) uses a revenue-weighted methodology to capture AI and software growth, distinguishing itself from market-cap rivals. IGPT's approach reduces concentration risk, offers a value tilt, and provides broader sector exposure, but remains top-heavy with familiar tech giants. With a high P/E and forward P/B, IGPT is best suited for long-term investors willing to endure volatility and potential near-term losses as the AI hype cools.