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1. Global X Robotics & Artificial Intelligence Thematic ETF
Beginning our discussion with the industry leader, and undeniably prolific, is the Global X Robotics & Artificial Intelligence Thematic ETF (BOTZ). The BOTZ ETF has grown consistently since its inception with over $2.2 billion in decisions under its management, reflecting a steadfast investor trust. BOTZ mostly invests in companies focused on the automated and AI sectors, including companies like ABB Ltd and Nvidia Corp. The ETF has seen a 15 percent rise in CAGR over the last five years, reflecting its solid growth trajectory.
2. Robo Global Robotics and Automation Index ETF
The Robo Global Robotics and Automation Index ETF (ROBO) boasts an impressive portfolio comprising 92 stocks, including big names like iRobot Corp, AeroVironment, and Brooks Automation. With more than $1 billion in net assets by the end of 2024, ROBO has cemented its place as the second-largest Robotics ETF. It has its biggest exposure in the IT sector with about 40 percent of the total portfolio. The ETF has consistently offered a decent annualized return of around 12 percent to its investors.
3. First Trust Nasdaq Artificial Intelligence and Robotics ETF
At number three we have the First Trust Nasdaq Artificial Intelligence and Robotics ETF (ROBT). With around $690 million in assets under management, ROBT is determined to back companies involved in AI and robotics. It has a diversified portfolio of 105 companies with substantial holdings in leading companies like Intuitive Surgical, Keyence Corp, and Nvidia. Its performance in 2024 saw an unprecedented return of approximately 18 percent.
4. iShares Robotics and Artificial Intelligence ETF
Next up is the iShares Robotics and Artificial Intelligence ETF (IRBO). This ETF has about $620 million in assets under management, indicating its reliable performance in the robotics sector. Its top holdings include companies such as Tesla Inc., Alphabet Inc., and Boston Scientific Corp. With an astonishing five-year net return of around 24 percent, IRBO could be a smart addition to any investor’s portfolio.
5. ARK Autonomous Technology & Robotics ETF
Last but not least, the ARK Autonomous Technology & Robotics ETF (ARKQ) has also demonstrated a promising contribution to the robotics market. Having around $590 million in assets under management, ARKQ focuses primarily on the autonomous tech and robotics segments. Companies like Tesla Inc, Materialise NV, and 2U Inc, are among the top holdings. In 2024, the ETF enjoyed a substantial annualized return of about 22 percent, making it another high-performing choice in the space.
The above-mentioned ETFs represent the largest funds in the robotics industry as per their assets under management and performance in 2024. These ETFs offer an attractive investment avenue to investors looking to benefit from the exponential growth trail of the robotics industry. Each ETF possesses its own unique selling points and caters to investors with varied risk and return preferences. The consistent growth and high returns suggest that robotics ETFs are indeed a remarkable investment alternative in the present as well as in the foreseeable future.
