Tech ETFs That Could Bounce Back After the AI Selloff

Tech ETFs that could bounce back after the AI selloff focus on how investors reassessed risk in June amid a “perfect storm” of factors. The article cites expectations around Federal Reserve policy, unexpectedly soft semiconductor earnings and guidance, and a strong jobs report, which together drove an unusual selloff in AI-linked stocks. For cautious investors who do not want to pick individual names, it argues that tech-focused exchange-traded funds can provide diversified exposure. It highlights the iShares Expanded Tech Sector ETF (IGM), a market-cap-weighted fund with close to 300 holdings and an expense ratio near 0.40%. IGM has returned about 27% year-to-date and roughly 50% over the last 12 months, with major allocations to large tech firms such as Apple and NVIDIA, making it broad rather than niche. It also covers the WisdomTree Cloud Computing Fund (WCLD), which targets cloud software companies using equal weighting across about 64 holdings and emphasizes smaller firms. The piece frames these ETFs as vehicles to re-enter AI-linked growth areas after the pullback.