5 Best Cybersecurity ETFs

4. SPDR S&P Software & Services ETF (NYSE:XSW)

5-Year Performance as of August 6: 57.34%

SPDR S&P Software & Services ETF (NYSE:XSW)’s main objective is to achieve investment results that closely match the overall return performance of the S&P Software & Services Select Industry Index. The ETF was introduced on September 28, 2011, and offers an expense ratio of 0.35% as of August 7, 2023. The fund holds net assets amounting to $320.67 million and a portfolio comprising 150 stocks. SPDR S&P Software & Services ETF (NYSE:XSW) is one of the best cybersecurity ETFs to watch. 

Palantir Technologies Inc. (NYSE:PLTR) is one of the top holdings of SPDR S&P Software & Services ETF (NYSE:XSW). Palantir Technologies Inc. (NYSE:PLTR) develops and implements software systems for the US intelligence community, aiding in counterterrorism inquiries and activities. On July 28, Wedbush Securities analyst Dan Ives initiated coverage of Palantir Technologies Inc. (NYSE:PLTR) with an Outperform rating and a price target of $25, noting that the company has constructed an unparalleled “AI fortress,” positioning it to have a significant role in the forthcoming artificial intelligence revolution.

According to Insider Monkey’s first quarter database, 31 hedge funds were bullish on Palantir Technologies Inc. (NYSE:PLTR), compared to 28 funds in the prior quarter. D E Shaw held the largest stake in the company, with 11.8 million shares worth just over $100 million. 

Here is what Tao Value has to say about Palantir Technologies Inc. (NYSE:PLTR) in its Q4 2021 investor letter:

“We have no new position this quarter and have made below changes to our portfolio. We also sold Palantir (PLTR) as I identified it subject to high retail bubble risk (using above method) and are not part of our core “Mindful Compounder” holdings.”