iShares Future Exponential Technologies ETF

XT

Market cap $4.07B

The AI rally may look stretched, but history and massive spending forecasts suggest AI ETFs could still offer long-term upside.

AI boom fears persist, but some strategists say today's rally looks far more rational than the dot-com bubble, backed by decent valuation and real demand.

Big Tech is doubling down on AI, with 2026 capex estimates hitting $725B (per Yahoo Finance). Ride the spending boom with tech, semiconductor and AI-focused ETFs.

The iShares Future Exponential Technologies ETF is highly sensitive to cost of capital shifts, driven by its tech and disruptor focus, also with a lot of high-multiple healthcare. XT's global diversification does not mitigate its vulnerability to rising rates and geopolitical risks, especially from the Iran conflict, which is having a global upward cost of capital shift effect. XT is less concentrated in mega-cap US tech than IVV, but its higher IT and healthcare exposure increases sensitivity to inflation and capital costs and maintains sensitivity to overbuild risks.

Innovation-focused investors face a persistent dilemma: how to capture exposure to disruptive technologies without overpaying for hype or concentrating too heavily in mega-cap names.

Artificial intelligence remains a key driver of stock market success. These three AI ETFs have been successful in the past, and have underperformed the market in the last month.

The tech sector has been far choppier in recent weeks, and the new year might see more of the same as volatility continues working its way through parts of the tech scene.

Financial Engines sold 1,452,015 shares, decreasing its position value by $127.13 million. The transaction represented a 0.19% change in 13F reportable assets under management (AUM).

AI-fueled record Black Friday spending and soaring e-commerce traffic may lift AI-focused ETFs like IYW, AIQ, FDN, XT and BOTZ amid strong tech and online retail demand.

OpenAI's partnership spree with AMD, Oracle & NVIDIA fuels AI boom -- ETFs like IYW, FTEC, FDN, AIQ & XT stand to gain.