IGPT ETF Slides -11% Over 30 Days as Semiconductor Exposure Weighs on Performance

Key Takeaways

• IGPT declined roughly 11% over the past 30 days, sliding from about $101.69 to $90.52.
• Over the trailing quarter, the fund remains up about 5%, though it pulled back sharply from a late-September peak near $104.
• The decline was driven largely by heavy exposure to semiconductors and memory-chip makers, which account for roughly half of the portfolio.
• Mega-cap artificial intelligence names — including NVIDIA, Advanced Micro Devices, Meta Platforms, and Alphabet — remain among the largest positions.
• Sentiment around AI capital spending and the memory pricing cycle is the central macro theme shaping the fund's behavior.

IGPT ETF Overview and Portfolio Exposure

The Invesco AI and Next Gen Software ETF is a passively managed, non-diversified exchange-traded fund that seeks to track the STOXX World AC NexGen Software Development Index. It invests at least 90% of its assets in companies with significant exposure to technologies or products that contribute to future software development through direct revenue.

The portfolio holds roughly 100 individual securities and carries a net expense ratio of approximately 0.56%, with assets under management of about $1.3 billion. Its largest positions include Advanced Micro Devices (AMD), Meta Platforms (META), NVIDIA (NVDA), Alphabet (GOOGL), and Micron Technology (MU), which together represent a substantial share of the fund. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.

Sector allocation is heavily skewed toward semiconductors and semiconductor equipment at roughly 50% of assets, followed by interactive media and services (about 17%), technology hardware, storage and peripherals (about 13%), and software (about 7%). Geographically, the fund is concentrated in the United States (roughly 84%), with additional exposure to Taiwan, Japan, and South Korea. This structure makes IGPT far more sensitive to the semiconductor and memory industry than a broad technology ETF.

IGPT Price Performance: Last 30 Days vs. Quarter

Over the last 30 days, IGPT fell approximately 11%, from a closing level near $101.69 to about $90.52. The move was volatile rather than gradual, with the fund breaking below the $90 level on an intraday basis in late October before stabilizing near $90.

The trailing quarter tells a different story. From a late-July close near $86, the fund advanced roughly 5% to its current level. That three-month gain, however, masks a sharp reversal: IGPT rallied into late September to a peak near $104 before giving back much of those gains over the past month. In other words, the fund remains positive on a quarterly basis but has surrendered a meaningful portion of its earlier advance.

What Drove IGPT Price in the Last 30 Days

The recent pullback reflects the fund's concentrated exposure to memory and AI-related semiconductors. Roughly half of the portfolio sits in semiconductors and semiconductor equipment, a segment that carries high beta to shifts in investor sentiment around artificial-intelligence capital expenditure and memory pricing.

Names such as Micron, AMD, Intel (INTC), Marvell Technology (MRVL), SK hynix, MediaTek, and SanDisk (SNDK) collectively represent a large weight in the fund. When sentiment toward the memory upcycle and AI hardware demand cools, these positions tend to decline together, amplifying the ETF's daily moves. The October selloff also followed a strong September advance, suggesting a degree of profit-taking and rotation out of high-beta growth names as the fund retraced from its peak.

What Drove IGPT Performance Over the Last Quarter

Across the full three-month window, IGPT's positive return was powered by the same semiconductor and mega-cap technology names that later led the decline. The fund advanced through the summer into late September as investors positioned for sustained AI infrastructure spending and an improving memory pricing environment.

The quarter's trajectory was defined by sector rotation: broad strength in AI-adjacent hardware and interactive media names gave way to a late-period pullback as growth-oriented positioning unwound. Because the fund is concentrated and non-diversified, both the rally and the subsequent correction were more pronounced than in the broader market.

IGPT ETF Outlook: What Investors Should Watch Next

Going forward, the dominant variables for IGPT are likely to be the trajectory of AI capital expenditure, the global memory pricing cycle, and monetary policy expectations. Because the fund is heavily weighted toward semiconductor and memory names, earnings cycles at companies such as Micron, AMD, and NVIDIA will matter more than the performance of any single software holding.

Investors should also monitor interest-rate expectations and inflation trends, which influence valuations across high-beta growth equities, as well as capital flows into thematic technology ETFs. Regulatory developments affecting large technology platforms and semiconductor trade policy could introduce additional volatility. The fund's concentration in a handful of large positions and its meaningful international exposure to Asian semiconductor suppliers are structural risk factors worth tracking alongside the broader market environment.

Using Tickeron’s AI Screener for Portfolio Analysis

I often turn to Tickeron’s AI Screener when evaluating thematic ETFs like this one. It helps me quickly compare sector exposure, momentum, and risk profiles across similar technology funds using technical indicators and AI-generated signals. The platform has become a regular part of my research workflow for spotting how concentrated holdings behave relative to peers.

Disclaimer

The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.

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Contributor

Jimmy Landsman|Expert

My name is Jimmy, and I’m a financial analyst focused on identifying compelling opportunities across the ETF market. Each day, I analyze hundreds of ETFs to uncover potential trading and investment opportunities using a broad range of market factors. For short-term trading, I rely heavily on technical analysis, including price channels, momentum indicators, support and resistance levels, trend patterns, and other market signals. At the same time, I dedicate significant attention to evaluating ETFs from a long-term investment perspective. My objective is to build a well-balanced ETF portfolio that combines core investment holdings with more tactical and speculative positions. The goal is to create a portfolio that can participate effectively in market rallies while also remaining resilient during periods of volatility and market corrections.

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