"IGPT delivers aggressive growth through concentrated AI exposure. With 72% of assets in information technology and communication services, this is a pure-play thematic fund. The ETF holds roughly 115 positions, but the top 10 represent 62% of assets. IGPT overweights companies directly building or deploying AI systems rather than those tangentially benefiting from the trend."
"The return engine is straightforward - capital appreciation from companies experiencing explosive revenue growth tied to AI adoption. Micron Technology ( NASDAQ:MU), the fund's largest holding at 9.35%, exemplifies this strategy. The memory chip maker posted 175% quarterly earnings growth as demand for high-bandwidth memory chips essential to AI training surged. NVIDIA ( NASDAQ:NVDA), Advanced Micro Devices ( NASDAQ:AMD), and SK Hynix ( NYSE:SKM) round out the semiconductor infrastructure layer, while Alphabet ( NASDAQ:GOOGL) and Meta Platforms ( NASDAQ:META) represent the application and platform side."
"IGPT has delivered on its promise. The ETF gained 34% over the past year and an extraordinary 380% over the past decade, significantly outpacing broader market indices. The five-year return of 34% being nearly identical to the one-year return reveals gains concentrated in the recent AI boom period starting in 2023."
IGPT is an Invesco ETF providing concentrated exposure to AI infrastructure and applications, allocating 72% of assets to information technology and communication services. The fund holds roughly 115 positions with the top 10 accounting for 62% of assets and prioritizes companies directly building or deploying AI systems. Key holdings include Micron (9.35%), NVIDIA, AMD, SK Hynix, Alphabet, and Meta. Recent performance shows a 34% gain over the past year and 380% over the past decade. With a 0.56% expense ratio and $652 million in assets, IGPT remains nimble enough to add emerging AI plays.
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