AMD-OpenAI Seal Deal: Your Signal to Ride the Wave With AMD-Heavy ETFs

Group 1: Strategic Partnership - Advanced Micro Devices (AMD) and OpenAI signed a multi-billion dollar strategic partnership on October 6, 2025, involving OpenAI deploying 6 gigawatts (GW) of computing power using AMD's Instinct GPUs and a warrant for OpenAI to acquire up to 10% stake in AMD [1]. Group 2: Market Reaction - Following the announcement, AMD's share price surged nearly 24% in the last trading session, which also positively impacted ETFs with significant AMD holdings [2]. Group 3: AI Sector Growth - The AI sector is experiencing rapid growth due to its transformative potential across various industries, including healthcare, autonomous vehicles, and financial services, driven by the demand for generative AI applications [3]. Group 4: Hardware Demand - The increasing pressure on global computing infrastructure, combined with advancements in GPU technology, has led to historic collaborations between AI companies and chipmakers like AMD and Nvidia, resulting in multi-billion dollar deals [4]. Group 5: Investment Opportunities - The current environment presents a favorable opportunity for tech investors to gain exposure to the AI revolution through AI-heavy ETFs, which can mitigate risks associated with investing in individual stocks [5]. Group 6: AMD-Heavy ETFs - Several AI-focused Technology ETFs with significant AMD weightage have shown price appreciation recently and delivered strong year-to-date performance [6]. Group 7: iShares Semiconductor ETF (SOXX) - SOXX provides exposure to U.S. semiconductor companies, with AMD holding 6.96%. It gained 3% in the last trading session and 33.9% year-to-date, charging 34 basis points in fees [7]. Group 8: Invesco PHLX Semiconductor ETF (SOXQ) - SOXQ focuses on the largest U.S.-listed semiconductor companies, with AMD at 6.91%. It rose 2.9% in the last trading session and 36% year-to-date, with fees of 19 basis points [8]. Group 9: Invesco AI and Next Gen Software ETF (IGPT) - IGPT targets companies contributing to future software development, with AMD at 7.42%. It increased by 2.6% in the last trading session and 26% year-to-date, charging 56 basis points in fees [9].