The Hottest Cloud Computing ETFs You Should Consider Buying Now
Cloud computing ETFs have had a rough 2025. But don’t let red numbers scare you off. Tech markets are known for their sharp swings. What looks like a dip now could be tomorrow’s deal. This space is booming with real demand.
If you are thinking long-term, a little patience can go a long way.
We are talking about a major shift in how companies handle computing, less on-site hardware, and more cloud-based everything. With artificial intelligence heating up, too, cloud infrastructure is becoming the backbone of nearly every modern business.
So, if you are eyeing this trend, Cloud Computing ETFs might be your way in.
iShares Future Cloud 5G and Tech ETF (IDAT) | 0.47% Expense Ratio
Cloud computing ETFs like IDAT are betting on tomorrow’s infrastructure. This one doesn’t just focus on cloud. It mixes in 5G and other futuristic tech. That is great if you want broader exposure to the digital backbone that supports cloud growth.
The 0.47% expense ratio is moderate, and its reach into next-gen sectors gives it an edge for investors who want more than just cloud names.
Stock Images / With a staggering 0.6% expense ratio, SKYY is your best bet at the moment.
First Trust Cloud Computing ETF (SKYY) | 0.6% Expense Ratio
SKYY is the OG in the cloud ETF world. It has been around long enough to build a solid reputation and gather a wide base of cloud-related stocks. Think software providers, data centers, and tech enablers – all in one.
At 0.6%, the expense ratio is on the higher side. But you are paying for a well-balanced, battle-tested fund that is heavy on true cloud companies. If you want something seasoned with a clear focus, SKYY is worth a close look.
Global X Cloud Computing ETF (CLOU) | 0.68% Expense Ratio
CLOU leans into the digital services side of the cloud economy. It is heavy on names that make SaaS platforms and cloud-based business tools. These are the engines that keep remote work, streaming, and digital commerce alive.
Its 0.68% expense ratio is the highest of the bunch, which could be a red flag for some. But if you believe in the continued shift toward virtual everything, CLOU might be your high-upside, high-cost play.
Fidelity Cloud Computing ETF (FCLD) | 0.4% Expense Ratio
This is your low-cost option with serious potential. FCLD keeps its expense ratio at a lean 0.4%, making it one of the cheapest ways to get cloud exposure. Fidelity’s reputation for strong research and clean execution doesn’t hurt either.
Freepik / FCLD may be newer in the market. But it packs a punch with a solid mix of infrastructure and platform plays.
For investors who want cloud exposure without high fees, FCLD is a smart pick with room to grow.
Abacus FCF Innovation Leaders ETF (ABOT) | 0.39% Expense Ratio
ABOT is a bit different. Sure! It is not purely a cloud computing ETF, but it includes cloud players as part of its innovation focus. Its 0.39% expense ratio is the lowest on this list, making it easy on the wallet.
Because it looks at free cash flow leaders, ABOT leans toward financially healthy companies. That adds a layer of stability, especially helpful when the broader tech market gets rocky.
Of course, you have to be smart. Keep an eye on each fund’s trading volume. Unlike mutual funds, you can’t always cash out easily. Thinly traded ETFs can be hard to sell without taking a loss. Always check the liquidity before jumping in.
Still, the long game here looks strong. From AI to 5G to data storage, cloud computing is the common thread. These ETFs give you a chance to own that future.