BOTZ vs ERTH

Key Takeaways

• BOTZ offers concentrated exposure to robotics and AI through 62 holdings, heavily weighted in industrials (44.8%) and information technology (34.5%), while ERTH provides broader sustainability-themed diversification across 160+ holdings with real estate (27.8%) leading.
• Expense ratios are closely matched at 0.68% for BOTZ and 0.66% for ERTH, supporting cost efficiency for thematic investors.
• BOTZ demonstrates stronger recent performance with YTD returns around 14% versus ERTH's approximately 7%, driven by AI momentum.
• Top BOTZ holdings like NVDA (8.4%) and ABB Ltd emphasize automation leaders; ERTH features sustainable firms including Digital Realty Trust and BYD Co.
• BOTZ suits growth-oriented investors betting on AI adoption, while ERTH appeals to those seeking ESG-aligned exposure amid energy transition trends.
• Both ETFs exhibit higher volatility tied to thematic risks, but BOTZ's focus yields higher beta relative to broad markets.

Introduction

In today's market, thematic ETFs like BOTZ and ERTH capture investor interest in transformative technologies and sustainability. BOTZ targets the explosive growth in robotics and artificial intelligence (AI), sectors powering automation across industries. ERTH, meanwhile, focuses on companies contributing to a sustainable future through clean technologies and resource efficiency. While not direct competitors, both appeal to investors seeking alternatives to broad indices, offering exposure to high-conviction themes amid sector rotation toward innovation and environmental solutions. This comparison highlights their structural differences, aiding decisions in a landscape shaped by AI acceleration and ESG (environmental, social, and governance) mandates.

Global X Robotics & Artificial Intelligence ETF (BOTZ) Overview

The Global X Robotics & Artificial Intelligence ETF (BOTZ) is a passively managed thematic ETF that seeks to track the Indxx Global Robotics & Artificial Intelligence Thematic Index. Launched in 2016, it invests at least 80% of assets in companies benefiting from robotics and AI adoption, including industrial robotics, non-industrial robots, and autonomous vehicles. With approximately 62 holdings, BOTZ maintains a concentrated portfolio where the top 10 account for over 58% of assets. Key top holdings include Keyence Corp (9.4%), ABB Ltd (8.8%), Fanuc Corp (8.5%), NVDA (8.4%), and Intuitive Surgical Inc (5.9%).

Sector allocations as of late April 2026 show industrials at 44.8%, information technology at 34.5%, and health care at 9.6%. The expense ratio is 0.68%, with semi-annual distributions. BOTZ features global exposure across developed markets, rebalanced periodically to align with the index methodology, emphasizing growth-oriented firms in automation.

Invesco MSCI Sustainable Future ETF (ERTH) Overview

The Invesco MSCI Sustainable Future ETF (ERTH) is a passively managed ETF tracking the MSCI Global Environment Select Index, focusing on companies generating revenue from environmentally sustainable products and services. Inception in 2006 provides a long track record. It holds around 160 securities for broader diversification, with top 10 comprising about 38% of assets. Notable holdings include NVDA (5.6%), Digital Realty Trust (5.3%), BYD Co Ltd (5.0%), TSLA (4.9%), and Vestas Wind Systems (4.6%).

Sector breakdown features real estate (27.8%), industrials (23.7%), consumer cyclical (20.8%), and technology (16.5%). The net expense ratio is 0.66%, with quarterly rebalancing typical for MSCI indices. ERTH offers global exposure to ESG leaders in clean energy, efficiency, and resource conservation, balancing growth with sustainability objectives.

Industry and Thematic Backdrop

Robotics and AI continue to surge, driven by advancements in autonomous systems and industrial automation. Trends in 2026 highlight AI integration for robot versatility, with global installations hitting record values amid IT-OT convergence. Capital flows favor AI infrastructure, supported by geopolitical emphasis on tech sovereignty and productivity gains.

Cleantech and ESG face policy-driven momentum from energy transitions, grid modernization, and climate resilience. Regulatory developments like expanded carbon pricing and subsidies bolster renewables, though supply chain risks and commodity volatility pose challenges. Macro shifts toward electrification and sustainable manufacturing create opportunities, tempered by interest rate sensitivity in growth sectors.

Performance and Positioning Comparison

In recent months, BOTZ has outperformed ERTH, reflecting robust AI sector momentum. Year-to-date through early May 2026, BOTZ posted approximately 14% returns versus ERTH's 7%, with one-year gains of 42% compared to 27%. Over three years annualized, BOTZ at 18% significantly leads ERTH's 4%.

BOTZ's edge ties to strong earnings from top holdings like NVDA and robotics firms, amplified by sector rotation into tech amid AI buildouts. ERTH's positioning reflects cleantech volatility from policy flux and commodity trends, with real estate exposure adding stability but capping upside. BOTZ shows higher volatility (beta around 1.5-1.7), suiting aggressive profiles, while ERTH's diversification moderates drawdowns in recent market cycles.

AI Screener

Tickeron’s AI Screener is an AI-powered stock and ETF discovery tool that helps traders and investors filter the market based on technical patterns, fundamentals, trends, volatility, and AI-driven signals. Users can scan thousands of stocks and ETFs using customizable filters such as industry, market capitalization (market cap), technical indicators, price patterns, and performance metrics. The screener identifies trade ideas, trending stocks, breakout candidates, and market opportunities more efficiently than manual screening, empowering data-driven decisions across asset classes.

Tickeron AI Verdict

Tickeron’s AI currently favors BOTZ due to its superior trend consistency, stronger sector momentum in AI and robotics, and better diversification within high-growth automation themes. While ERTH offers solid ESG exposure, BOTZ's structural advantages in cost efficiency relative to performance and lower concentration risk in top holdings position it probabilistically ahead in the prevailing environment of tech-driven cycles. This assessment draws on observable momentum and risk profiles, not as advice.

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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