iShares Exponential Technologies ETF (XT) is an exchange-traded fund that seeks to track the Morningstar Exponential Technologies Index, providing investors with exposure to developed and emerging market companies that create or utilize exponential technologies across nine themes including artificial intelligence, big data, cloud computing, cybersecurity, energy storage and delivery, genomics, Internet of Things, advanced robotics, and 3D printing; the ETF holds approximately 197 stocks with top holdings such as Siemens Energy AG, Innovent Biologics Inc., Megaport Ltd., Palantir Technologies Inc., and SK hynix Inc., spanning sectors like information technology (55%), health care (15%), industrials (6%), and financials (5%). Launched on March 19, 2015, and managed by BlackRock under the iShares brand, the fund is domiciled in the United States, trades on NASDAQ, and maintains net assets of approximately $3.4 billion with an expense ratio of 0.46%. It targets institutional and retail investors seeking diversified growth from innovation-driven firms, with significant geographic exposure to the United States, Europe, Asia-Pacific, and emerging markets.
In September 2025, BlackRock announced methodology changes to the underlying Morningstar Exponential Technologies Index, transitioning toward a market capitalization-weighted structure from its prior equal-weighted approach and refining the thematic evaluation process, resulting in higher-than-normal portfolio turnover during rebalances on September 19 and December 19, 2025. These updates aim to better align the index with evolving technological trends while potentially increasing transaction costs temporarily. The fund continues to emphasize global technology producers and users without pursuing ESG or sustainable strategies.