3 AI ETFs in 2026: One Is Up 77%, One Is Down 8%, and the Gap Tells You Everything

"IGPT takes a specific angle on AI that most investors overlook: it bets heavily on the hardware that makes AI possible rather than the software companies deploying it. The fund's largest position is Micron Technology at 12.6%, followed by SK Hynix at 8.5% and Nvidia at 7.6%."

"The portfolio spans over 100 holdings with 53.8% in Information Technology and 17% in Communication Services. A 0.18 portfolio turnover ratio signals a deliberate, low-churn approach."

"Its 44% gain over the past year reflects the AI infrastructure buildout that has driven memory and semiconductor demand."

"The tradeoff is concentration in cyclical hardware. Memory chip prices are notoriously volatile, and a downturn in enterprise spending or AI capex could hit IGPT harder than a fund weighted toward software."

Three AI-focused ETFs have different year-to-date performances: IGPT is up 3%, CHAT is up 8%, and JTEK is down 8%. The Nasdaq-100 is down 4%. IGPT focuses on semiconductor companies, with significant investments in Micron Technology, SK Hynix, and Nvidia. It has a low portfolio turnover and a long operating history, reflecting a 44% gain over the past year. However, its concentration in cyclical hardware may expose it to volatility in memory chip prices and enterprise spending downturns.

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