This AI ETF holds 19% of its portfolio in Nvidia, Google, and Microsoft

Core Viewpoint - The Roundhill Generative AI & Technology ETF (CHAT) offers a balanced investment approach in the rapidly growing AI sector, providing exposure to both high-profile and lesser-known stocks, while outperforming the S&P 500 in 2024 [2][5]. Group 1: ETF Overview - CHAT began trading on May 18, 2023, and consists of 49 stocks, with major holdings in Nvidia (8.32%), Alphabet (5.31%), and Microsoft (5.21%) [2][3]. - The ETF has a gross expense ratio of 0.75%, which is considered reasonable given its performance and industry standards [4]. - As of the time of publication, CHAT has achieved a year-to-date return of 28.72%, compared to the S&P 500's 22.53% [5][7]. Group 2: Portfolio Composition - The ETF includes a mix of high-profile AI stocks and lesser-known equities, providing a diversified approach within the AI sector [2][7]. - In addition to U.S. stocks, CHAT also offers exposure to Chinese, Taiwanese, and Japanese AI equities, as well as energy stocks like Constellation Energy Corp. and NRG Energy [7]. Group 3: Investment Strategy - CHAT serves as a middle-ground investment option, avoiding the pitfalls of traditional tech ETFs that may include underperforming companies [1]. - While it allows for sector-specific diversification, it should be considered as part of a broader investment strategy due to its concentrated nature [7].