Dazzled by American AI companies? Two ETFs for AI and Robotics cover it all.

Author: Ismael De La Cruz

The two ETF strategies are different, one focuses on Artificial Intelligence, while the other emphasizes Robotics.

The AI wave is changing multiple Industries and creating new investment opportunities. However, there are quite a number of AI companies, each with different risks and characteristics. This is where ETFs come in handy - they provide investors with a simple, low-cost, and risk-diversified ticket to entry.

Here are two ETFs worth noting:

1. Global X Robotics and Artificial Intelligence ETF (BOTZ)

The Global X Robotics & Artificial Intelligence ETF (NASDAQ: BOTZ) tracks the Indxx Global Robotics and Artificial Intelligence Thematic Index, focusing on leading companies in Robotics, Automation, and Artificial Intelligence.

From self-driving cars and advanced factory automation to AI medical solutions, BOTZ covers many high-tech fields. This ETF holds global leaders such as NVIDIA (NASDAQ: NVDA), ABB (ST: ABB), and Intuitive Surgical (NASDAQ: ISRG), which are developing hardware and software to drive the next wave of technological revolution. BOTZ has an expense ratio of 0.68% and low holding costs.

As of June 2025, BOTZ has a return on investment of 17.3% over the past three years, reflecting the rising demand for smart machines and intelligent systems across various industries. This ETF is suitable for investors who are Bullish on long-term growth, especially those who wish to have a portfolio closely aligned with technological advancements and witness how technology changes our lives, work, and interactions.

In short, for investors who are Bullish on the intelligent and self-learning machine industry and the growth prospects of related companies, BOTZ is one option.

BOTZ chart.

2. ARK Autonomous Technology & Robotics ETF (ARKQ)

Led by "Cathie Wood", ARK Invest’s ARK Autonomous Technology & Robotics ETF (NYSE: ARKQ) focuses on companies that are expected to disrupt the status quo and reshape the future. Unlike most ETFs that track traditional indices, ARKQ employs an actively managed strategy, carefully selecting stocks based on conviction and long-term innovation themes.

The Funds focus on breakthrough areas including self-driving, Robotics, 3D Printing, space exploration, and advanced defense technologies. The portfolio includes forward-looking companies such as Tesla (NASDAQ: TSLA), Kratos Defense (NASDAQ: KTOS), Teradyne (NASDAQ: TER), Archer Aviation (NYSE: ACHR), Palantir (NASDAQ: PLTR), Rocket Lab USA, Inc. (NASDAQ: RKLB), and Amazon (NASDAQ: AMZN), which are developing cutting-edge technologies in both civilian and defense sectors.

The fee for ARKQ is 0.75%. Over the past decade, the ROI has reached 355%, with a 73% increase in the last three years, and analysts expect an additional 15% growth by 2025.

For investors who are not content with merely participating in emerging Technology and prefer to boldly bet on innovation, ARKQ offers a flexible and forward-looking option that is different from traditional Technology ETFs.

ARKQ chart.

Conclusion

The rise of AI has created a complex yet highly attractive theme. In the ETF sector, BOTZ and ARKQ offer two entry points - the former focuses on global automation leaders, while the latter looks at forward-looking innovation themes.

Both ETFs have recorded impressive performances in recent years, but their investment directions differ: BOTZ tracks mature companies that have secured a position in the supply chain and industrial system, while ARKQ bets on emerging technologies with a longer investment cycle. As AI evolves from a concept into tangible new infrastructure, these Funds provide a window to seize this trend.

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