AI Winners Shifting? Cybersecurity and Software ETFs Outperform as Chip Funds Falter Only 9 of 154 Tech and AI ETFs Gain Over the Past Three Months Global Cybersecurity, U.S. AI Software and U.S. Medical AI ETFs Rank Among Top Performers Too Early to Call a Shift: “Semiconductor Demand Will Continue to Grow” Amid roller-coaster market volatility, nearly all technology-related exchange-traded funds (ETFs) have declined, while funds focused on cybersecurity and software have held up relatively well. With semiconductor heavyweights Samsung Electronics and SK hynix underperforming, some market watchers say a new group of beneficiaries from the artificial intelligence (AI) boom may be emerging. According to the Korea Exchange on Aug. 13, only nine of the 154 semiconductor, technology and AI-related exchange-traded funds (ETFs) listed in Korea posted positive returns between May 27, when single-stock leveraged ETFs tracking Samsung Electronics and SK hynix were launched, and Aug. 11. The remaining 145 declined. The tally includes ETFs with “semiconductor,” “tech” or “AI” in their names, along with 14 single-stock leveraged ETFs. By product, Mirae Asset Global Investments’ TIGER Global AI Cybersecurity ETF recorded the strongest gain. Its price rose 20.4% from 15,360 won on May 27 to 18,495 won on Aug. 11, significantly outperforming major U.S. stock indexes such as the S&P 500, which gained 3.1%, and the Nasdaq, which fell 0.3%, over the same period. The ETF also rose 3.9% during the sharp Kospi decline from June 22 to July 30, serving as a relative safe haven for Korean investors. The ETF is composed of global companies that generate more than 50% of their revenue from cybersecurity-related businesses. Its top holdings — Palo Alto Networks, Okta, CrowdStrike, Fortinet and Qualys — all posted strong gains between May 27 and Aug. 10 local time, rising 55%, 68.5%, 39.6%, 28.4% and 89%, respectively.