Investing in top AI ETFs for August 2025: A Guide on How to Get Involved
In the rapidly evolving world of artificial intelligence (AI), investing in AI-focused Exchange-Traded Funds (ETFs) has become an attractive option for many. Here, we take a look at the top-performing AI ETFs of 2025 and provide some context for potential investors.
The Top Performers
The top-performing AI ETF by one-year return in 2025 is the ARK Autonomous Technology & Robotics ETF (ARKQ), with a return of 97.86%. Following closely are the iShares Future AI and Tech ETF (ARTY) with a 1-year return of 38.9%, and the Global X Robotics and Artificial Intelligence ETF (BOTZ) with a 1-year return of 19.1%. Among these, ARKQ leads significantly, nearly doubling the returns of the next in line, ARTY.
A Closer Look
ARTY invests in around 50 companies globally that could benefit from AI growth, with major holdings including Advanced Micro Devices (AMD) and Nvidia (NVDA). BOTZ focuses on companies involved in robotics, automation, and autonomous vehicles, holding companies like Nvidia (NVDA) and ABB Ltd. ARKQ appears as the standout ETF for AI-focused investing in 2025, indicating strong performance in the autonomous technology and robotics sector.
Making a Decision
Investors interested in AI ETFs might consider these funds based on their growth, holdings, and expense ratios. However, past performance does not guarantee future results. It's always a good idea to consult a financial advisor such as a certified financial planner about any trading decisions.
Other Options
Other top-performing AI ETFs include Spear Alpha ETF, Defiance Quantum ETF, Innovator Deepwater Frontier Tech ETF, First Trust Dow Jones Internet Index Fund, Themes Generative Artificial Intelligence ETF, Global X E-commerce ETF, and more. Semiconductor ETFs may also be of interest if you're looking for ETFs that invest specifically in the makers of GPUs and similar high-end computer hardware.
Long-Term Investment
If you're interested in making a long-term investment in AI technology, a market order for an AI ETF could be an option. AI has the potential to transform the global economy, adding tens of trillions of dollars of value in the next couple of decades. Therefore, the question of "is now a good time to buy?" may be moot for those who believe in the long-term potential of AI.
Day Trading Considerations
For those looking to actively trade AI stocks or ETFs, news-related fluctuations could provide opportunities to buy the dip or sell at a relative high. For day trading AI ETFs to take advantage of short-term market fluctuations, limit orders can be used to enter and exit trades at a favorable price. However, day trading isn't suitable for everyone, and it's always a good idea to consult a financial advisor before making such decisions.
In conclusion, the AI sector presents exciting opportunities for investors. The top-performing AI ETFs of 2025 offer a diverse range of options, each with its unique focus and strategy. As with any investment, it's essential to do thorough research and consider seeking advice from a financial advisor.
Note: The author and editor did not hold positions in the aforementioned investments at the time of publication.
- In the area of AI investments, the ARK Autonomous Technology & Robotics ETF (ARKQ) emerged as the top performer in 2025, delivering a return of 97.86%.
- ARTY, another AI ETF, invests in approximately 50 companies globally that could benefit from AI growth, with major holdings like Advanced Micro Devices (AMD) and Nvidia (NVDA).
- Investors contemplating AI ETFs may find it helpful to evaluate the funds based on their growth, holdings, and expense ratios, although past performance does not ensure future results.
- The rapid advancement of AI technology indicates potential for long-term investment in AI ETFs, as it has the ability to add tens of trillions of dollars in value to the global economy in the coming years.
- For those considering day trading AI ETFs, employing limit orders to enter and exit trades at favorable prices can help take advantage of short-term market fluctuations, but it's crucial to consult a financial advisor before making such decisions due to the inherent risks associated with day trading.
