BetaShares ASX200 Australian Technology ETF (ATEC) $23.04

ATEC offers broad exposure to Australia’s listed technology sector, with its largest 5 holdings currently Computershare, NEXTDC, Xero, CAR Group and TechnologyOne. If our SaaSurrection thesis proves correct, the ETF provides a straightforward way to gain exposure to a sector recovery without having to identify the individual winners.

Holding 45 stocks and charging a reasonable 0.48% management fee, ATEC spreads risk across the sector at a time when the AI revolution is likely to create significant dispersion between winners and losers. For investors seeking exposure to a software re-rating while avoiding some of the volatility inherent in single-stock positions, ATEC is worth considering.

With the current market mood improving towards the ASX software stocks, we’re bullish at current levels and, importantly, would likely increase our exposure if we see another AI-inspired washout on the downside.

• We can see the ATEC ETF breaking above the $25 level in the coming weeks/month.