Investor Outlook: BlackRock launches active AI ETF on the TSX

BlackRock’s new AI and technology ETF is now trading on the TSX under the ticker XBAI, marking the firm’s first fundamental active equity ETF in Canada. The fund aims to invest mainly in U.S. and international companies across AI and technology. In an interview on BNN Bloomberg, Jay Jacobs, BlackRock’s U.S. head of equity ETFs, said investors may still be early in the AI cycle, which could take years to fully unfold as adoption spreads across sectors. He framed AI as broader than tech, noting risks that AI could make some business models obsolete, especially in commoditized software. The active approach uses fundamental research and typically targets concentrated portfolios of 25 to 50 holdings, which can increase volatility.