The iShares Expanded Tech Sector ETF (IGM) has significantly gained interest among investors looking to capitalize on the ongoing artificial intelligence (AI) boom. The ETF reported a total gain of over 60% in 2023 and an additional 14.5% increase in Q2 2025, reflecting its high-conviction strategy of concentrating on top-performing tech-related companies beyond the traditional IT sector. IGM’s total assets under management (AUM) now stand at approximately $6.4 billion, bolstered by net inflows of about $250 million in Q2 2025.
IGM tracks the S&P North American Expanded Technology Sector Index, allowing it to include key firms like NVIDIA (NASDAQ: NVDA), Microsoft (NASDAQ: MSFT), and Meta Platforms (NASDAQ: META), which are central to AI innovation yet often excluded from traditional tech ETFs. The ETF’s higher beta of 1.26 indicates that it is more volatile than the S&P 500, amplifying market movements and offering potential high returns as well as risks.
Investor sentiment remains positive, evidenced by a decline in short interest as bullish attitudes grow. This aligns with IGM’s targeted approach, appealing primarily to risk-tolerant investors bullish on North American technology and AI.
