2 Top Artificial Intelligence ETFs to Invest In

: IRBO | iShares Robotics and Artificial Intelligence Multisector ETF News, Ratings, and Charts

IRBO – iShares Robotics and Artificial Intelligence ETF (IRBO) and Global X Robotics & Artificial Intelligence Thematics ETF (BOTZ) are two of the top AI and robotics ETFs. These sectors are poised to expand at a double-digit rate over the next decade and these offers investors a low-risk way to participate in their growth.

Most investors don’t have the time or energy necessary to perform a deep dive into artificial intelligence stocks. If you want a piece of the artificial intelligence market in your portfolio yet lack the time necessary to research individual companies, consider investing in an ETF.
 

The potential upside to ETFs isn’t as great as that of individual stocks yet this approach spreads out risk while providing investors with an opportunity to make money as the sector continues to expand. Some investors are going as far as investing in multiple AI ETFs in an attempt to maximize exposure to the sector without subjecting their hard-earned money to the comparably high risk inherent to owning individual stocks.

iShares Robotics and Artificial Intelligence ETF (IRBO) and Global X Robotics & Artificial Intelligence Thematics ETF (BOTZ) are two of the top AI and robotics ETFs, each with its own unique holdings. Let’s take a look at each of these ETFs to give readers a better sense of whether both are worthy of sizable investment.

IRBO

IRBO’s top 10 holdings include Domo, MicroStrategy, Comet Holdings, HubSpot, and Splunk. Slightly more than 55% of IRBO’s holdings are based in the United States. About 10% of the fund’s holdings are in Japan, another 8% are in China and 6% are in Hong Kong.

IRBO is currently priced at $45. The ETF’s 52-week high is $52.10. IRBO has a 52-week low of $31.45.

IRBO is an open-ended worldwide fund with investments in businesses in both emerging and developed markets. These companies specialize in AI and robotics.

The businesses within the IRBO ETF must meet specific criteria such as a billion dollars in yearly revenue from a specific sub-industry or 20% market share to remain within the fund. IRBO is reconstituted each year. The fund is rebalanced semi-annually. All in all, IRBO has $440.15 million assets under management.

IRBO has a B POWR Rating grade. The ETF has a B Buy & Hold grade along with a B Trade grade. If you are curious as to how IRBO performs in the Peer component of the POWR Rating, click here.

Out of the 188 ETFs in the Technology Equities group, IRBO ranks 66th. This group of ETFs as a whole has an A POWR Rating grade. You can learn more about them by clicking here.

BOTZ

BOTZ has emerged as one of the top AI ETFs since debuting in September of ’16. This AI and robotics ETF has an A POWR Rating grade. BOTZ has A grades in the Buy & Hold and Trade components of the POWR Ratings. Investors who are curious as to how BOTZ fares in the remainder of the POWR Ratings components are encouraged to click here to find out that information.

Out of the 118 ETFs in the Technology Equities category, BOTZ is ranked 18th. You can learn more about Technology Equities ETFs by clicking here.

BOTZ is currently priced at $37.21. The ETF’s 52-week high is $37.23. BOTZ has a 52-week low of $26.02. BOTZ has an average daily volume of $15.81 million. The ETF’s net asset value is $36.68.

BOTZ’s purpose is to help investors make money through strategic investments in publicly traded companies that generate revenue through AI and robotics. The holdings’ components must provide industrial robotics and automation, AI, unmanned vehicles/drones, and/or nonindustrial robotics to remain as a holding.

All in all, BOTZ has 38 total holdings. BOTZ’s top holdings include NVIDIA, Intuitive Surgical, and Upstart Holdings. Exactly 8.86% of the fund’s holdings are invested in NVIDIA. Another 8.5% is invested in Intuitive Surgical. Exactly 7.74% of the fund’s holdings are parked in Upstart Holdings.

Additional BOTZ holdings include Fanuc Corporation, ABB Ltd., SMC Corporation, and Omron Corporation. Chances are you have heard of some of these companies and possibly even considered an investment in one or several in the past. BOTZ provides a golden opportunity to own each of these stocks with comparably less risk.

More than 45% of BOTZ’s holdings are based in the United States. It is interesting to note slightly more than one-third of the ETF’s holdings are headquartered in Japan. Another 11.28% of BOTZ’s holdings are located in Switzerland. BOTZ is also invested in publicly traded companies in countries including the United Kingdom, Canada, Israel, South Korea, and Finland.


IRBO shares were trading at $45.35 per share on Wednesday afternoon, up to $0.82 (+1.84%). Year-to-date, IRBO has gained 14.06%, versus a 21.88% rise in the benchmark S&P 500 index during the same period.


About the Author: Patrick Ryan


Patrick Ryan has more than a dozen years of investing experience with a focus on information technology, consumer and entertainment sectors. In addition to working for StockNews, Patrick has also written for Wealth Authority and Fallon Wealth Management. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
IRBOGet RatingGet RatingGet Rating
BOTZGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


:  |  News, Ratings, and Charts

2022 Stock Market Outlook

The stock market (SPY) has continued on a bullish path in 2021. Will that continue in 2022? And what could happen to awaken the bear market from hibernation? 40 year investment veteran Steve Reitmeister explores this and more in this early edition of his 2022 Stock Market Outlook. Read on for full details below...

:  |  News, Ratings, and Charts

How Recent Bearish Sentiment Will Impact the Stock Market

Last week, the S&P 500 (SPY) fell during a short trading week. Multiple factors were weighing on investor sentiment. First was September's history for being a weaker month for stock performance. In addition, the previous week's August payrolls miss seemed to linger on investors' minds due to concerns that the delta variant of COVID was slowing the rebound in the economy. The real estate sector led declines as long-term interest rates increased. Consumer staples and utility stocks performed the best. In terms of market cap, the small-cap Russell 2000 Index underperformed the market after two strong weeks of outperforming the larger benchmarks. Growth stocks also outperformed Value stocks. I’ll discuss this and more below…

:  |  News, Ratings, and Charts

How to Turn Low Priced Stocks into BIG Winners?

Some investors are into growth stocks...some prefer value stocks while others are into momentum, income, chart patterns, insider trading and more. But one area that most investors agree upon is the great appeal in buying low priced stocks. Like those under $10 given the potential that prices soar and you easily beat the stock market (SPY). Read on to discover our brand new strategy for selecting low priced stocks that has led to a surprising +62.88% average annual return. Get the rest below...

:  |  News, Ratings, and Charts

3 Growth Stocks You Can Buy at a Reasonable Price

Even with growth stocks falling last week, investors are still pouring money into companies with strong growth potential. When you add in a value component, you get the best of both worlds. That's why investors should consider growth at a reasonable price stocks such as Westlake Chemical Corporation (WLK), ManpowerGroup (MAN), AutoNation, Inc. (AN).

:  |  News, Ratings, and Charts

How to Turn Low Priced Stocks into BIG Winners?

Some investors are into growth stocks...some prefer value stocks while others are into momentum, income, chart patterns, insider trading and more. But one area that most investors agree upon is the great appeal in buying low priced stocks. Like those under $10 given the potential that prices soar and you easily beat the stock market (SPY). Read on to discover our brand new strategy for selecting low priced stocks that has led to a surprising +62.88% average annual return. Get the rest below...

Read More Stories

More iShares Robotics and Artificial Intelligence Multisector ETF (IRBO) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All IRBO News