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    Home»ETFs»3 ETFs Set for Explosive Growth in 2026 as Generative AI Adoption Soars
    ETFs

    3 ETFs Set for Explosive Growth in 2026 as Generative AI Adoption Soars

    January 9, 2026


    There are some great ways to get generative AI exposure, including some that aren’t quite so obvious.

    There’s no question that generative AI is one of the biggest investment opportunities of our time. Fortunately, even if you aren’t comfortable with choosing individual stocks, there are plenty of excellent ETFs that can allow you to benefit as generative AI adoption increases.

    Of course, there are some that are specifically labeled as “AI ETFs”, but it would be a mistake to stop your search there. Read on to learn about three excellent ETFs for AI investors — including some that are not obvious choices.

    Man using laptop in data center.

    Image source: Getty Images.

    A great way to get AI exposure

    Perhaps the most obvious generative AI ETF on the list, the Global X Artificial Intelligence & Technology ETF (AIQ +0.84%) is an index fund that, as the name implies, focuses on AI and related technologies.

    The fund has $7.7 billion in assets under management, and although its expense ratio of 0.68% is certainly on the higher end for an index fund, it is reasonable for a highly specialized fund like this one.

    As of the latest information, the Global X Artificial Intelligence & Technology ETF owns 86 stocks, and unlike some of the other major AI ETFs, it isn’t especially top-heavy, nor does if have outsized exposure to the mega-cap tech companies you may already have a ton of exposure to through S&P 500 and Nasdaq ETFs.

    The fund’s top holding is Samsung, which accounts for about 5% of the total assets. Other major holdings include Alphabet (GOOGL +0.96%)(GOOG +1.05%), Micron (MU +5.50%), Taiwan Semiconductor (TSM +1.81%), and Advanced Micro Devices (AMD 0.67%).

    An active approach

    It’s tough to find AI ETFs that aren’t index funds, but one that belongs on your radar in 2026 is the Ark Next Generation Internet ETF (ARKW 0.37%). This ETF is managed by notable tech investor Cathie Wood, and focuses on companies that could benefit from the growth of cloud infrastructure, evolving mobile technology, digital payment growth, and autonomous mobility, among others. The key point is that all of these stand to benefit from increased generative AI adoption.

    As an actively managed fund, the Ark Next Generation Internet ETF seeks to identify stocks that outperform the AI benchmark indices used by other AI ETFs. Among the top holdings of the ETF, you’ll find traditional AI plays like Alphabet and AMD, but you’ll also find less obvious generative AI plays like Roku (ROKU +2.12%), Shopify (SHOP 2.24%), and Robinhood (HOOD 0.10%), just to name a few.

    An outside-the-box choice

    It may sound odd to say that a Vanguard dividend ETF could be a big winner of generative AI adoption, but hear me out.

    The fund is the Vanguard Dividend Appreciation ETF (VIG +0.69%), which focuses on stocks that either have an excellent track record of growing their dividends every year, or that are expected to do so in the future. In short, it focuses on growing income, not current income.

    Because it doesn’t emphasize what a stock’s current yield is, it allows for more technology exposure than other dividend ETFs. For example, Broadcom (AVGO +3.76%) is the top holding of the Vanguard Dividend Appreciation ETF — although it only has a 0.75% dividend yield right now, it has raised the payout for 15 consecutive years.

    Other holdings include Microsoft (MSFT +0.24%), Apple (AAPL +0.13%), Oracle (ORCL +4.95%), Cisco Systems (CSCO 0.11%), and IBM (IBM +0.50%), all of which are among the ETF’s 20 largest positions. In fact, the tech sector carries the largest amount of weight in the ETF, accounting for 28% of the total assets.

    In a nutshell, if you’re looking for generative AI exposure in your portfolio but don’t have a particularly high risk tolerance or plan to eventually rely on your ETFs for income, the Vanguard Dividend Appreciation ETF could be an option worth considering.

    Matt Frankel, CFP has positions in Advanced Micro Devices and Shopify and has the following options: short January 2027 $170 calls on Shopify. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Apple, Cisco Systems, International Business Machines, Microsoft, Oracle, Roku, Shopify, Taiwan Semiconductor Manufacturing, and Vanguard Dividend Appreciation ETF. The Motley Fool recommends Broadcom and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.



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