What is an AI ETF?
An AI ETF is an exchange-traded fund that invests in a basket of companies connected to artificial intelligence. These range from semiconductor companies that build the chips AI models run on (Nvidia, TSMC, Broadcom) to software companies creating large language models, cloud platforms enabling AI deployment, and enterprises integrating AI into their products.
Unlike a broad market ETF, an AI ETF is a thematic fund: it concentrates on a specific investment thesis. For UK investors, the relevant universe is UCITS-compliant AI ETFs listed on European exchanges. These are accessible through our stocks and shares ISA and share dealing account. US-listed AI ETFs (BOTZ, AIQ, IRBO) are not directly available to UK retail investors, but UCITS equivalents covering similar indices are available.
AI ETF comparison for UK investors
ETF | Ticker | Index tracked | OCF | 1-yr return to end-May 2026 | Key characteristic |
L&G Artificial Intelligence ETF | AIAG | ROBO Global AI Index | 0.49% | 50.93% | Best 12-month performance in the UCITS AI ETF panel; concentrated pure-play AI exposure. Source: Finary (June 2026) |
Xtrackers AI & Big Data UCITS ETF | XAIX | Nasdaq Global AI & Big Data Index | 0.35% | ~48% | Largest European UCITS AI ETF by AUM at over €7bn; competitive charge; strong liquidity |
WisdomTree Artificial Intelligence ETF | WTAI/INTL | Nasdaq CTA Artificial Intelligence Index | 0.40% | ~46% | Broad AI value chain coverage: enablers, enhancers and end users; wider range of sectors |
iShares Automation & Robotics ETF | RBTX | Stoxx Global Automation & Robotics Index | 0.40% | ~32% | Focuses on industrial automation and robotics alongside AI; more diversified technology exposure |
L&G Artificial Intelligence ETF (AIAG)
The L&G Artificial Intelligence ETF (AIAG) tracks the ROBO Global Artificial Intelligence Index and posted the best rolling 12-month performance among major UCITS AI ETFs at 50.93% to end-May 2026. Source: Finary (June 2026). AIAG concentrates on companies that derive a significant share of revenue directly from AI. Ongoing charge: 0.49%.
Xtrackers AI & Big Data UCITS ETF (XAIX)
The Xtrackers AI & Big Data ETF is the largest European UCITS AI-themed ETF by AUM at over €7 billion, providing significant liquidity. It tracks the Nasdaq Global Artificial Intelligence and Big Data Index at a competitive 0.35% ongoing charge.
WisdomTree Artificial Intelligence ETF (WTAI/INTL)
The WisdomTree AI ETF (WTAI/INTL) tracks the Nasdaq CTA Artificial Intelligence Index, designed to capture companies across the full AI value chain: AI enablers (semiconductors, cloud infrastructure), AI enhancers (companies using AI to improve products) and AI end users (companies applying AI in their core business). OCF: 0.40%.
How to invest in AI with an ETF
AI ETFs are accessible through our stocks and shares ISA and share dealing account. They can also be traded short-term using spread bets and CFDs for leveraged, intraday or swing trading exposure to the AI theme. Spread bet profits are generally free from CGT for UK residents.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading spread bets and CFDs with IG. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
For investors who want more direct exposure to individual AI stocks rather than a fund, Nvidia is the most widely held single name in the AI infrastructure trade. Its dominance of the AI accelerator market is reflected in its position as the largest holding in most AI ETFs. Individual share exposure concentrates risk further than a fund; it suits investors with high conviction in a specific stock rather than the broader theme.
AI ETF FAQs
The best AI ETF depends on your objectives. For the strongest recent performance, L&G AI (AIAG) posted 50.93% rolling 12-month return to end-May 2026. For the largest and most liquid fund, Xtrackers AI & Big Data (XAIX) with over €7 billion AUM. For full AI value chain coverage, WisdomTree INTL tracks a broader universe. All accessible as UCITS ETFs through our platform. Not personal investment advice.
UCITS AI ETFs including AIAG, XAIX and INTL are accessible through our stocks and shares ISA and share dealing account. Search for the ETF ticker on our platform. No dealing commission applies on eligible ETFs through the ISA. Gains and income within the ISA are permanently free from UK tax.
Yes. AI ETFs are thematic, concentrated funds with significantly higher risk than broad global equity ETFs. They are dominated by technology stocks and often have Nvidia as their largest single holding. Their performance is strongly linked to the AI investment cycle, which can reverse sharply. They are best treated as a satellite allocation alongside a diversified core portfolio, not as a primary holding. Capital at risk.