TrueShares Technology, AI & Deep Learning ETF (LRNZ) seeks to provide investment results that correspond to companies developing or utilizing artificial intelligence, machine learning, and deep learning technologies. This thematic technology ETF targets firms across software, semiconductors, cloud computing, and data analytics sectors that are positioned to benefit from AI advancement.
How It Works
LRNZ employs an actively managed approach to select companies based on their exposure to artificial intelligence and deep learning technologies. The fund's portfolio managers evaluate firms across the AI value chain, from chip manufacturers like NVIDIA to software companies developing AI applications. Holdings typically include established tech giants alongside emerging AI specialists, with position sizing based on growth potential and market opportunity rather than market capitalization weighting.
Key Features
- Pure-play AI exposure targeting the entire artificial intelligence ecosystem from semiconductors to software applications
- Active management allows rapid adaptation to fast-evolving AI landscape and emerging technology leaders
- Zero expense ratio structure makes it cost-competitive for accessing specialized AI investment theme
Risks
- This ETF can lose significant value during technology sector downturns, potentially declining 40-60% as AI stocks trade at high valuations
- Concentrated thematic exposure means poor performance if AI adoption slows or regulatory restrictions impact the sector
- Small asset base creates liquidity concerns and potential for wide bid-ask spreads during volatile market conditions
Who Should Own This
Best suited as a satellite holding (5-15% of portfolio) for aggressive growth investors with 3-7 year time horizons seeking concentrated AI exposure. High risk tolerance required due to technology sector volatility and thematic concentration. Appropriate for investors who believe artificial intelligence will drive significant economic transformation.