BetaShares Australian Technology ETF (ASX:ATEC) $21.68

The BetaShares Australian Technology ETF (ATEC) offers exposure to Australia’s leading tech and platform businesses, currently with 45 holdings, and a cost of 0.48% pa. The ETF holds most names subscribers would expect although Computershare (ASX:CPU) is the largest holding followed by Xero Ltd (ASX:XRO), NEXTDC (ASX:NXT) etc.

Performance has been simply awful since late 2025, with the ATEC ETF down ~44% from its highs, driven primarily on fears around “AI Disruption” as opposed to the more traditional headwind of rising interest rates weighing on growth stocks, although they haven’t helped. The massive valuation compression feels overdone to MM with plenty of the stocks in the ETF likely to be outright beneficiaries of AI although it may take some time for investors to be convinced, the downside feels limited to us.

• We like the ATEC for performance reversion through 2026 but would leave some ammunition to average into another foray on the downside if it eventuates.