Core Viewpoint - The Invesco AI and Next Gen Software ETF has been revitalized in 2023, positioning itself as a significant player in the AI ETF market, despite not being able to match the returns of individual high-performing stocks like Nvidia [1][4]. Group 1: ETF Overview - The Invesco AI and Next Gen Software ETF has $652 million in assets under management and was rebranded in June 2023 to reflect its focus on AI, transitioning from a software-centric ETF [5]. - This ETF holds 100 stocks across 17 industries, with an annual fee of 0.56%, and has outperformed the Nasdaq-100 slightly, although it lagged behind Nvidia's performance [6]. Group 2: Portfolio Composition - More than 43% of the ETF's portfolio is allocated to semiconductor stocks, while it also maintains exposure to AI hyperscalers and retains some software investments [7]. - Adobe is a top 10 holding in the ETF, recognized for its development of AI-related products, which enhances its relevance in the AI ecosystem [8]. Group 3: Growth Potential - The market for AI-powered customer service software is projected to grow by 20% to 45% by 2030, indicating significant growth potential compared to the broader software industry [12]. - Innovations in AI software, including those from companies within the ETF, are expected to enhance workplace productivity and drive further growth for the fund [13]. Group 4: Investment Outlook - While the ETF is unlikely to achieve Nvidia-like returns, it possesses the fundamental factors necessary to deliver substantial long-term gains, potentially reaching triple-digit growth over extended holding periods [14].

Core Insights - The State Street SPDR S&P Software & Services ETF (XSW) is a smart beta ETF launched on September 28, 2011, providing broad exposure to the Technology ETFs category [1] Fund Overview - XSW is managed by State Street Investment Management and has accumulated over $444.12 million in assets, categorizing it as an average-sized ETF within the Technology sector [5] - The fund aims to match the performance of the S&P Software & Services Select Industry Index, which represents the software sub-industry of the S&P Total Stock Market Index [6] Cost Structure - XSW has annual operating expenses of 0.35%, making it one of the least expensive options in its category, with a 12-month trailing dividend yield of 0.06% [7] Sector Exposure and Holdings - The ETF has a significant allocation to the Information Technology sector, representing 97% of its portfolio [8] - Cipher Mining Inc (CIFR) constitutes about 1.41% of the fund's total assets, with the top 10 holdings accounting for approximately 11.45% of XSW's total assets under management [9] Performance Metrics - As of December 24, 2025, XSW has gained roughly 1.22% year-to-date but is down about -1.03% over the past year, trading between $141.65 and $205.24 in the last 52 weeks [11] - The fund has a beta of 1.15 and a standard deviation of 24.81% over the trailing three-year period, indicating a higher risk profile [11] Alternatives - Other ETFs in the technology space include Invesco AI and Next Gen Software ETF (IGPT) with $650.87 million in assets and iShares Expanded Tech-Software Sector ETF (IGV) with $8.26 billion in assets [13] - IGPT has an expense ratio of 0.56%, while IGV has a lower expense ratio of 0.39% [13]

Core Insights - The State Street SPDR S&P Software & Services ETF (XSW) is a passively managed ETF launched on September 28, 2011, aimed at providing broad exposure to the Technology - Software segment of the equity market [1][10] - The ETF has accumulated assets over $444.42 million and seeks to match the performance of the S&P Software & Services Select Industry Index [3][4] - XSW has an annual operating expense ratio of 0.35%, making it one of the least expensive options in its category [5] Index and Performance - The S&P Software & Services Select Industry Index represents the software sub-industry portion of the S&P Total Stock Market Index, which tracks all U.S. common stocks listed on major exchanges [4] - The ETF has added approximately 1.51% year-to-date and is down about 4.03% over the past year, with a trading range between $141.65 and $205.24 in the last 52 weeks [8] - XSW has a beta of 1.15 and a standard deviation of 24.89% over the trailing three-year period, indicating a higher risk profile [8] Sector Exposure and Holdings - The ETF has a significant allocation of about 97.1% in the Information Technology sector, providing diversified exposure [6] - D Wave Quantum Inc (QBTS) constitutes approximately 1.52% of total assets, with the top 10 holdings accounting for about 11.36% of total assets under management [7] Alternatives - Other ETFs in the technology software space include Invesco AI and Next Gen Software ETF (IGPT) with $640.59 million in assets and iShares Expanded Tech-Software Sector ETF (IGV) with $8.53 billion in assets [11] - IGPT has an expense ratio of 0.56%, while IGV charges 0.39% [11]

Core Viewpoint - The iShares Expanded Tech-Software Sector ETF (IGV) is a prominent investment vehicle for gaining exposure to the Technology - Software segment, appealing to both retail and institutional investors due to its low costs and transparency [1][2]. Fund Overview - IGV is sponsored by Blackrock and has accumulated over $11.19 billion in assets, positioning it as one of the largest ETFs in the Technology - Software sector [3]. - The ETF aims to replicate the performance of the S&P North American Technology-Software Index, which includes North American equities in the software industry and select equities from related sectors [4]. Cost Structure - The annual operating expenses for IGV are 0.41%, making it one of the more affordable options in the ETF market [5]. Sector Exposure and Holdings - The ETF has a significant allocation of approximately 97.4% in the Information Technology sector [6]. - Oracle Corp (ORCL) constitutes about 9.62% of total assets, with Palantir Technologies Inc Class A (PLTR) and Microsoft Corp (MSFT) also among the top holdings. The top 10 holdings represent around 60.97% of total assets [7]. Performance Metrics - As of August 11, 2025, IGV has increased by roughly 9.5% year-to-date and has risen approximately 34.42% over the past year. The ETF has traded between $80.15 and $113.01 in the last 52 weeks [8]. - The ETF has a beta of 1.15 and a standard deviation of 25.03% over the trailing three-year period, indicating a higher risk profile [8]. Investment Alternatives - IGV holds a Zacks ETF Rank of 1 (Strong Buy), suggesting it is a strong option for investors looking for exposure to the Technology ETFs segment [9]. - Other alternatives include the SPDR S&P Software & Services ETF (XSW) and the Invesco AI and Next Gen Software ETF (IGPT), with respective assets of $465.63 million and $506.23 million [10].

Group 1 - The Invesco AI and Next Gen Software ETF (NYSEARCA: IGPT) is a growth-focused ETF that tracks the STOXX World AC NexGen Software Development Index, emphasizing companies with significant growth potential [1] - The ETF does not provide significant dividends or income, indicating a focus on capital appreciation rather than income generation [1] Group 2 - The methodology of the ETF heavily favors companies that are involved in next-generation software development, which is a sector expected to experience substantial growth [1]