3 Tech ETFs That Could Bounce Back After the AI Selloff

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Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTNathan Reiff, MarketBeatSat, June 20, 2026 at 3:55 PM GMT+2 4 min readKey PointsInterested in iShares Expanded Tech Sector ETF? Here are five stocks we like better.The June tech sell-off showed how quickly interest-rate fears and semiconductor weakness can pressure high-growth AI stocks.IGM offers broad technology exposure, while WCLD gives investors a more focused cloud-computing rebound play.FINX is a more specialized fintech ETF, giving investors exposure to digital finance rather than traditional mega-cap tech.A perfect storm of factors may have led to an unusual selloff in the AI space in June, providing investors with a unique opportunity to buy in before growth resumes in earnest. Between expectations that the Fed would maintain or raise rates, unexpectedly soft semiconductor earnings and guidance, and a strong jobs report, investors suddenly found themselves reconsidering whether some of the more speculative plays in the AI space were worth the risk.Those who remain cautious about the AI world—and not looking to make a specific bet on individual names at this stage—may find tech-focused exchange-traded funds (ETFs) a suitable choice given the selloff. However, the AI (and especially the tech sector) ETF space is considerably large, and identifying good targets from within this growing field can be a challenge. The funds below may be a good place to start a search.→ VMware: Broadcom's Second Biggest Business Set to AccelerateOne of the hottest tech ETFs on the market—and outpacing even the broader Invesco QQQ Trust (NASDAQ: QQQ) is the iShares Expanded Tech Sector ETF (NYSEARCA: IGM). The market-cap-weighted fund offers low-cost, broad-based exposure to the tech space. Unlike many niche tech funds, this one has a sizable portfolio approaching 300 unique stocks. IGM primarily invests in U.S. companies but holds a modest allocation of Canadian firms, a fact that may give it a leg up over some of its competitors.Because of the weighting strategy here, IGM will favor the biggest names in the tech space, with firms like Apple Inc. (NASDAQ: AAPL) and NVIDIA Corp. (NASDAQ: NVDA) enjoying outsized allocations. This means that IGM is not a great choice for investors looking for an AI (or other) niche, but can be a solid option for those looking to lean into a broader tech investment.→ MarketBeat Week in Review – 06/15 - 06/19In terms of performance, IGM has been shining this year. The fund has returned close to 27% year-to-date (YTD), with gains extending up to about 50% over the last 12 months. With an expense ratio near 0.40%—low compared to some alternatives in the tech ETF landscape—this deal may be too good to pass up for some investors.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info