An AI ETF Soared 28% And Left QQQ In The Dust

"ARTY targets thematic growth exposure, specifically companies enabling or benefiting from AI infrastructure buildout. With a 0.09% dividend yield, this is not an income vehicle. The fund is oriented toward price appreciation rather than income generation."

"What distinguishes ARTY from a simple tech index is its global construction and tilt toward enablers over end-users. Top holdings include Micron, NVIDIA, AMD, SK Hynix, Marvell Technology, and Broadcom, all semiconductor or chip-adjacent names supplying the compute and memory AI systems require."

"Over the past year, ARTY has meaningfully outpaced both major benchmarks. ARTY returned 28.3% over the trailing 12 months, compared to 14.3% for QQQ and 13.7% for SPDR S&P 500 ETF Trust (NYSEARCA:SPY), a meaningful premium for investors who specifically wanted AI infrastructure exposure."

"The five-year picture tells a different story. ARTY gained just 8.7% over five years while QQQ returned 85.6%. That gap reflects the 2022 tech selloff and ARTY's concentration in hardware-heavy names that bore the brunt of rate sensitivity and inventory cycles."

ARTY targets companies enabling AI infrastructure buildout rather than end-user software names, offering global exposure to semiconductor suppliers like NVIDIA, Micron, and AMD alongside international names such as Naver and Advantest. The fund prioritizes price appreciation over income with a 0.09% dividend yield. Information Technology comprises 59.7% of holdings, with utilities, industrials, and real estate completing the portfolio through power infrastructure plays. Over the trailing 12 months, ARTY returned 28.3% versus 14.3% for QQQ and 13.7% for SPY. However, five-year returns reveal 8.7% for ARTY against 85.6% for QQQ, reflecting the 2022 tech selloff's disproportionate impact on hardware-heavy positions.

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