Artificial intelligence-related capital spending has reached record levels. That surge has revived interest in an old academic concept known as the Fama-French investment factor.
The theory suggests that, all else equal, companies that invest conservatively tend to outperform those that aggressively expand their asset base.
Yet today’s biggest technology companies appear to be ignoring that playbook. Rather than hoarding cash or boosting dividends, they are reinvesting enormous sums into AI infrastructure like data centers and graphics processing units, along with large language model development.
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Meta Platforms Inc. (ticker: META) offers a clear example. CEO and founder Mark Zuckerberg previously faced heavy criticism when he committed roughly $77 billion to a Metaverse pivot, an effort that many investors initially viewed as reckless.
In hindsight, Zuckerberg’s urgency to redeploy capital showed how a trillion-dollar company could move with startup-like urgency. While the Metaverse pivot flopped, Meta’s leadership has since redirected that same intensity toward AI, but with a more measured pace.
In its latest earnings updates, Meta projected 2026 capital expenditures of between $115 billion and $135 billion, driven by investments in data centers. Zuckerberg has framed the spending as necessary to compete in what he calls a race toward “superintelligence.”
From the perspective of big tech CEOs, the risk with the AI arms race is not overspending, but falling behind as rivals release increasingly capable models seemingly every week.
Investors who want exposure to AI’s long-term growth without dissecting each company’s capital expenditure line item may prefer a diversified approach via an exchange-traded fund (ETF).
Here are six of the best AI ETFs to consider for 2026:
| ETF | Expense ratio |
| Roundhill Generative AI & Technology ETF (CHAT) | 0.75% |
| Global X Artificial Intelligence & Technology ETF (AIQ) | 0.68% |
| Global X Robotics & Artificial Intelligence ETF (BOTZ) | 0.68% |
| Tortoise AI Infrastructure ETF (TCAI) | 0.65% |
| Xtrackers Artificial Intelligence and Big Data ETF (XAIX) | 0.35% |
| KraneShares Artificial Intelligence & Technology ETF (AGIX) | 0.99% |
Roundhill Generative AI & Technology ETF (CHAT)
“We believe it is critical to approach investing in generative AI companies with an actively managed approach,” says Thomas DiFazio, ETF strategist at Roundhill Investments. “The AI landscape is rapidly evolving, and it is crucial to be nimble.” In line with this philosophy, Roundhill’s flagship AI ETF, CHAT, does not track an index. The ETF is actively managed for a 0.75% expense ratio.
“CHAT actively selects stocks using a proprietary methodology that combines a transcript score and sector score to evaluate companies’ relevance to generative AI, factoring in their revenue, profit and R&D investment in AI technologies,” explains Dave Mazza, CEO at Roundhill Investments. “Companies are then scored and selected based on their exposure to AI, market capitalization and liquidity.”
Global X Artificial Intelligence & Technology ETF (AIQ)
“We’re still in the early stages of the AI cycle, and proper diversification is extremely important — be it across company stages or geographies — because it’s difficult to pick a winner or two this early,” says Tejas Dessai, director of thematic research at Global X ETFs. “With a thematic ETF you’re following an idea as opposed to a complex strategy.” AIQ represents one of four AI-themed ETFs offered by Global X.
This ETF is the “generalist” option, which provides broader exposure to the entire AI ecosystem as opposed to a specific component. It spans 84 companies represented by the Indxx Artificial Intelligence & Big Data Index. However, despite being a passively managed, index-tracking ETF, AIQ charges a high 0.68% expense ratio, almost as much as an actively managed AI ETF like CHAT.
Global X Robotics & Artificial Intelligence ETF (BOTZ)
“When you think about smartphones, laptops or even mobile applications, lower prices and cheaper development costs didn’t shrink the market but expanded it as innovation accelerated,” Dessai says. “AI could follow the same trajectory, embedding itself into the physical world, from factories and drones to delivery vans and buildings.” BOTZ’s portfolio is designed to capture this dynamic.
This ETF tracks the Indxx Global Robotics & Artificial Intelligence Thematic Index, which is far narrower in scope than AIQ. BOTZ’s portfolio only owns 50 companies, with a heavier tilt toward industrial and health care firms as opposed to strictly technology. Moreover, it has a sizable allocation to Japanese companies. BOTZ charges the same 0.68% expense ratio as AIQ does.
[Read: 7 Best Tech ETFs to Buy in 2026]
Tortoise AI Infrastructure ETF (TCAI)
AI infrastructure has quickly emerged as its own subtheme within the broader AI investment universe. This includes the physical backbone that enables AI systems to function, such as data centers, advanced semiconductor manufacturing facilities, high-performance memory chips and large-scale data storage hardware. Investors seeking exposure to this layer of the value chain can do so through TCAI.
Launched last August, TCAI is a relatively new entrant, but it’s already grown to over $50 million in assets under management (AUM), a level many industry observers view as a threshold for longer-term viability. The majority of the portfolio is concentrated in companies tied directly to compute capacity, storage, networking and power systems that support AI workloads. TCAI charges a 0.65% expense ratio.
Xtrackers Artificial Intelligence and Big Data ETF (XAIX)
You may have noticed a pattern with many AI-focused ETFs: They tend to charge well above the fees of a broad market index fund or even a traditional sector ETF. That premium is common in thematic strategies, which can be lucrative for asset managers if they accrue enough AUM. However, not every AI ETF carries a steep price tag. XAIX stands out with a comparatively modest 0.35% expense ratio.
XAIX tracks the Nasdaq Global Artificial Intelligence and Big Data Index, which uses a forward-looking patent engagement score as a key screening metric. This approach attempts to identify firms that are not just talking about AI, but investing meaningfully in research and development tied to it. Since its launch in August 2024, XAIX has grown to roughly $110 million in AUM and returned 41% cumulative.
KraneShares Artificial Intelligence & Technology ETF (AGIX)
Some of the most talked-about AI companies, including OpenAI, Anthropic and xAI, are not directly investable for retail investors. Their shares remain privately held. However, certain ETFs like AGIX offer a workaround. Operating under SEC Rule 22e-4, this ETF can allocate up to 15% of its assets to illiquid investments, allowing it to hold select private companies alongside public stocks.
The majority of AGIX tracks the Solactive Etna Artificial General Intelligence Index, which is composed of public AI companies. What differentiates it is a 3.2% position in SpaceX, which now also provides indirect exposure to xAI following their merger, and a 2.5% stake in Anthropic. However, that added complexity comes at a higher 0.99% expense ratio and wider bid-ask spreads versus other AI ETFs.
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6 of the Best AI ETFs to Buy for 2026 originally appeared on usnews.com
Update 02/25/26: This story was published at an earlier date and has been updated with new information.
