The Global X Cloud Computing ETF (CLOU) has reached its "medal round." After a grueling 12-month stretch that saw the fund shed more than 25% of its value, CLOU is currently teetering on a critical support level that will likely determine the fate of the broader software sector for the rest of 2026. If CLOU cannot find its footing here, the market may finally confirm that the SaaS-pocalypse — the structural disruption of software by autonomous artificial intelligence (AI) — is a permanent reality. More ...

Core Insights - The First Trust Cloud Computing ETF (SKYY) is designed to provide broad exposure to the Technology - Cloud Computing segment of the equity market, launched on May 27, 2011 [1] - The ETF has accumulated over $3.03 billion in assets, making it one of the larger ETFs in its category [3] - SKYY seeks to match the performance of the ISE Cloud Computing Index, which tracks companies in the cloud computing industry [3] Fund Details - The ETF has an annual operating expense ratio of 0.6%, which is competitive within its peer group [4] - The fund has a significant allocation of approximately 84.1% in the Information Technology sector, with Telecom and Consumer Discretionary also being notable sectors [5] - The top three holdings include Arista Networks, Inc. (6.2% of total assets), Oracle Corporation, and Alphabet Inc. (class A) [6] Performance Metrics - As of September 2, 2025, the ETF has gained about 7.09% year-to-date and approximately 30.26% over the past year [7] - The ETF has a beta of 1.23 and a standard deviation of 28.19% over the trailing three-year period, indicating medium risk [7] - The ETF effectively diversifies company-specific risk with around 62 holdings [7] Investment Alternatives - SKYY holds a Zacks ETF Rank of 1 (Strong Buy), indicating strong potential for investors seeking exposure to Technology ETFs [8] - Other ETFs in the cloud computing space include Global X Cloud Computing ETF (CLOU) and WisdomTree Cloud Computing ETF (WCLD), with assets of $313.01 million and $341.46 million respectively [9]

Core Insights - The WisdomTree Cloud Computing ETF (WCLD) was launched on September 6, 2019, and offers broad exposure to the Technology ETFs category [1] - The fund is managed by WisdomTree and has accumulated over $320.63 million in assets, making it an average-sized ETF in the Technology sector [5] - The ETF seeks to match the performance of the BVP NASDAQ Emerging Cloud Index, which is designed to measure the performance of emerging public companies focused on cloud-based software [5] Fund Characteristics - WCLD has an annual operating expense ratio of 0.45%, which is competitive within its peer group [6] - The ETF has a 12-month trailing dividend yield of 0.00% [6] - The top 10 holdings account for approximately 118.09% of total assets under management, indicating a concentration in a few key stocks [7] Performance Metrics - The ETF has experienced a loss of approximately -9.81% year-to-date and has gained roughly 11.02% over the past year as of August 14, 2025 [8] - Over the past 52 weeks, the ETF has traded between $28.33 and $41.58 [8] - The ETF has a beta of 1.17 and a standard deviation of 32.59% for the trailing three-year period, indicating a higher level of volatility compared to the market [9] Alternatives and Market Context - Other ETFs in the cloud computing space include Global X Cloud Computing ETF (CLOU) and First Trust Cloud Computing ETF (SKYY), with assets of $306.26 million and $3.46 billion respectively [11] - CLOU has an expense ratio of 0.68% while SKYY has an expense ratio of 0.60%, suggesting that there are lower-cost alternatives available [11] - Investors seeking to outperform the Technology ETFs segment may find WCLD to be a suitable option, but should also consider traditional market cap weighted ETFs for potentially lower risk [10][11]

Core Insights - The First Trust Cloud Computing ETF (SKYY) launched on May 27, 2011, offers broad exposure to the Technology ETFs category, with a focus on cloud computing [1] - SKYY is managed by First Trust Advisors and aims to match the performance of the ISE Cloud Computing Index, which tracks companies in the cloud computing industry [5] Fund Characteristics - SKYY has accumulated over $3.45 billion in assets, making it one of the larger ETFs in the Technology sector [5] - The ETF has an annual operating expense ratio of 0.60% and a trailing dividend yield of 0.00% [6] - The fund's portfolio is heavily weighted in the Information Technology sector, comprising approximately 84.4% of its assets [7] Holdings and Performance - Oracle Corporation (ORCL) is the largest holding at about 5.4%, with the top 10 holdings accounting for approximately 40.42% of total assets [8] - As of August 6, 2025, SKYY has returned roughly 1.04% year-to-date and is up approximately 39.23% over the past year [10] - The ETF has a beta of 1.23 and a standard deviation of 28.45% over the trailing three-year period, indicating medium risk [10] Alternatives - Other ETFs in the cloud computing space include Global X Cloud Computing ETF (CLOU) and WisdomTree Cloud Computing ETF (WCLD), with assets of $311.28 million and $345.29 million respectively [12] - CLOU has an expense ratio of 0.68% while WCLD has a lower expense ratio of 0.45% [12]

Core Viewpoint - The Global X Cloud Computing ETF (CLOU) provides broad exposure to the Technology - Cloud Computing segment, appealing to both institutional and retail investors due to its low costs and transparency [1][2]. Group 1: ETF Overview - CLOU is a passively managed ETF launched on April 12, 2019, with assets exceeding $333.37 million, categorizing it as an average-sized ETF in its sector [1][3]. - The fund aims to match the performance of the INDXX GLOBAL CLOUD COMPUTING INDEX, which includes companies benefiting from cloud computing technology [4]. Group 2: Costs and Performance - The annual operating expense ratio for CLOU is 0.68%, making it one of the more expensive ETFs in the cloud computing space [5]. - As of July 30, 2025, CLOU has experienced a year-to-date loss of approximately 2.13% but has gained about 17.6% over the past year, with trading prices ranging from $18.22 to $26.34 in the last 52 weeks [7]. Group 3: Holdings and Sector Exposure - Zscaler Inc (ZS) constitutes about 5.15% of CLOU's total assets, with the top 10 holdings representing approximately 43.44% of total assets under management [6]. - CLOU has a beta of 1.10 and a standard deviation of 27.91% over the trailing three-year period, indicating more concentrated exposure compared to its peers [7]. Group 4: Alternatives - CLOU holds a Zacks ETF Rank of 1 (Strong Buy), indicating strong potential for investors seeking exposure to the Technology ETFs segment [8]. - Other alternatives in the cloud computing ETF space include WisdomTree Cloud Computing ETF (WCLD) and First Trust Cloud Computing ETF (SKYY), with respective assets of $367.34 million and $3.59 billion [9][10].

Core Insights - The WisdomTree Cloud Computing ETF (WCLD) is a passively managed ETF launched on September 6, 2019, aimed at providing exposure to the Technology - Cloud Computing segment of the equity market [1] - The Technology - Cloud Computing sector is ranked 5th among the 16 Zacks sectors, placing it in the top 31% [2] Fund Overview - WCLD has assets exceeding $367.34 million, categorizing it as an average-sized ETF that seeks to match the performance of the BVP NASDAQ EMERGING CLOUD INDEX [3] - The BVP Nasdaq Emerging Cloud Index is designed to measure the performance of emerging public companies focused on cloud-based software [4] Cost Structure - The annual operating expenses for WCLD are 0.45%, which is competitive with most peer products in the sector [5] Holdings and Exposure - The ETF's holdings are transparent, with Us Dollar accounting for about 100% of total assets, followed by Zscaler Inc (ZS) and Olo Inc - Class A (OLO) [6] - The top 10 holdings represent approximately 118.09% of total assets under management [6] Performance Metrics - As of July 30, 2025, WCLD has experienced a loss of about 3.07% year-to-date but is up roughly 14.41% over the past year [7] - The fund has traded between $28.33 and $41.58 in the past 52 weeks, with a beta of 1.18 and a standard deviation of 32.78% over the trailing three-year period [7] Investment Alternatives - WCLD holds a Zacks ETF Rank of 1 (Strong Buy), indicating strong potential for investors seeking exposure to Technology ETFs [8] - Other ETFs in the cloud computing space include Global X Cloud Computing ETF (CLOU) and First Trust Cloud Computing ETF (SKYY), with assets of $333.37 million and $3.59 billion respectively [9][10]