It's no secret I am an ASX ETF truther. Achieving diversification in one trade can help take some risk out of investment decisions.
Of course, there are experienced and knowledgeable experts who can beat the returns of global markets by buying and selling individual stocks.
But for the average punter, the S&P/ASX 200 Index (ASX: XJO) and the S&P 500 Index (SP: .INX) will provide solid returns over the long term.
As well as using ASX ETFs to track these historically 'safe' markets, ETFs are a great way to gain exposure to emerging sectors.
Two that I am eyeing in the near future are the artificial intelligence (AI) and technology sectors.
The tech and AI boom
2024 was a monster year for what experts called "The AI Revolution." Overseas, stocks like Nvidia Corp (NASDAQ: NVDA) led the way as global demand and investment in AI rose.
ASX tech stocks took the ride, with many experiencing massive returns.
More importantly, experts are tipping this is just the beginning.
According to global fund manager Blackrock, AI infrastructure investment could top US$700 billion by 2030, which is the equivalent of 2% of US GDP.
That's why I am looking for an ASX ETF that provides exposure to these companies.
Betashares Global Robotics And Artificial Intelligence ETF (ASX: RBTZ)
RBTZ is an ASX ETF that aims to track the performance of global companies involved in the production or use of robotics and artificial intelligence products and services.
When you think of "robotics", you might picture the movie versions such as Wall-E or the Terminator. But the reality of robotics and AI in 2025 is a little bit different.
For example, the RBTZ fund's second-largest holding is Intuitive Surgical (NASDAQ: ISRG). It's an American biotechnology company that develops, manufactures, and markets robotic products designed for minimally invasive surgery.
So when you think of robots, it's not necessarily Skynet T-1000.
Since its initial listing in 2018, the ETF has grown 48.59%, but I believe there is room for a lot more upside in the long term as these industries blossom.
Why I like this ETF
Picking which individual AI and tech companies will take off in the future is something of a fool's game. But with RBTZ, you can gain exposure to around 50 of the leading companies globally all at once.
Furthermore, I like that the RBTZ has holdings across international markets. This is one key difference from similar ASX ETFs, such as Global X Artificial Intelligence ETF (ASX: GXAI), which is dominated by US holdings (more than 70%).
RBTZ's largest holdings at the time of writing are:
- Nvidia Corp: 13.2%
- Intuitive Surgical: 11.1%
- ABB Ltd: 9.2%
- Keyence Corp: 6.6%
- SMC Corp: 4.9%
The country allocation is:
- USA: 51.7%
- Japan: 26.2%
- Switzerland: 10.4%
- Finland: 2.1%
- South Korea: 2.0%
- China: 1.7%
- Other: 5.9%
The RBTZ ETF has a 12-month distribution yield of 4.6% and management fees of 0.57%.
