State Street Tech ETF Faces Off With Roundhill Generative AI Fund

Erin Kennedy, The Motley Fool

Tue, June 30, 2026 astatine 7:05 AM CDT 4 min read

State Street Technology Select Sector SPDR ETF (NYSEMKT:XLK) provides low-cost U.S. exertion exposure, portion Roundhill Generative AI & Technology ETF (NYSEMKT:CHAT) focuses connected higher-cost, research-driven investments successful the planetary generative artificial quality theme.

Investors seeking exertion vulnerability whitethorn measurement a bequest assemblage money against a thematic newcomer. XLK tracks a diversified scale of U.S. tech giants, whereas CHAT targets the circumstantial infrastructure and bundle driving the enlargement of artificial quality crossed planetary markets.

Snapshot (cost & size)

Beta measures terms volatility comparative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr instrumentality represents full instrumentality implicit the trailing 12 months. Dividend output is the trailing-12-month organisation yield.

The SPDR money is importantly much affordable, offering a little disbursal ratio than the Roundhill ETF. While CHAT charges a higher interest for its specialized thematic research, it presently offers a higher trailing dividend yield.

Performance & hazard examination

What's wrong

The SPDR ETF invests successful U.S. companies wrong the accusation exertion sector, utilizing a afloat replication method to way its index. Its largest positions see Nvidia (NASDAQ:NVDA) astatine 14.8%, Apple (NASDAQ:AAPL) astatine 12.62%, and Microsoft (NASDAQ:MSFT) astatine 8.18%. The money holds 74 stocks and was launched successful 1998. The SPDR ETF has paid $0.79 per stock implicit the trailing 12 months, which connected its caller ~$181.11 stock terms works retired to a 0.4% yield.

The Roundhill money employs proprietary probe to people planetary companies progressive successful AI software, unreality infrastructure, and semiconductors. Its apical holdings see Nvidia astatine 6.34%, SK hynix astatine 5.45%, and Alphabet (NASDAQ:GOOGL) astatine 5.05%. The Roundhill ETF maintains 47 holdings and was launched successful 2023. The money has paid $1.68 per stock implicit the trailing 12 months, which connected its caller ~$93.61 stock terms works retired to a 1.8% yield.

For much guidance connected ETF investing, cheque retired the afloat usher astatine this link.