It is quite difficult to find a pure-play of AI ETF. Most include other related themes such as robotics or tech which can lead the fund to hold industrial-sector stocks such as Japanese robot maker Fanuc (TYO:6954 and FANUY). While this may suit many investors, a more pure-play AI fund may instead focuse on the AI software developers and AI infrastructure companies, and should benefit from the common expectations of 4.5x–5x increase in AI software revenues from 2020 to 2025.

One of them, The ARK Autonomous Technology & Robotics ETF (ARKQ) has been a stellar performer the past 5 years, but it has a ~10% weighting to Tesla (TSLA) which is, even though cheered by many investors, can hardly be viewed as an AI player. The ARK Industrial Innovation ETF (ARKK) is another high performing ARK fund but covers many similar themes, but still not a pure play AI fund. The ARK Next Generation Internet ETF (ARKW) targets next-generation internet innovations like artificial intelligence, cloud computing, cryptocurrencies, and blockchain technology.

One of the most wanted names, expected to be included in any of these funds, Nvidia (NVDA), has benefited from the ongoing spike of interest in AI. But some companies, both chipmakers and those in the larger AI ecosystem, are starting to see more promise in AI-related revenue.

Synopsys (SNPS) is one of the lesser-known companies making artificial intelligence hype. Chipmakers use the company's software to design and verify their products. There are two factors driving demand for microchips: the trend toward "smart everything" (refrigerators, cars, watches) and, still, artificial intelligence. Because of these two factors, the demand for semiconductors will remain to be unprecedented.

Synopsys earlier in August reported that its Q3 revenue rose 19% to $1.49 billion and forecast Q4 earnings that topped analysts' expectations.