Most Interesting New ETFs of Q3

The ETF industry continues to grow and evolve quickly this year as well. Almost 1,100 new products have been introduced so far this year, compared to 769 during the same period in 2025.

Liquidations have also picked up. So, ETF providers have continued to launch innovative products in the hope that some will resonate with investors. And, of course, if they do not work, they are shuttered.

We have seen a proliferation of actively managed ETFs, many of which employ derivatives-based strategies for high-income generation, defined-outcome strategies, or leveraged single-stock exposure. About 30% of newly launched ETFs employ leverage. In simple terms, ETFs are becoming more complex, and for investors, it is important to understand how they work.

DRAM’s immense success is inspiring the launch of many thematic ETFs, mainly related to the AI theme.

We are highlighting some new ETFs worth a look due to their unique strategies or exposure.

UCBG: An Endowment-Style Portfolio in an ETF

The State Street SPDR UC Investments 90/10 Endowment Strategy Index ETF (UCBG), seeded with $2.5 billion from the University of California, is the largest U.S. ETF debut ever. It invests 90% in the S&P 500 (SPY) and 10% in short-term investment-grade corporate bonds, offering an institutional, long-horizon investing blueprint in a simple, low-cost package.

Rather than chasing the high fees, complexity, and illiquidity of traditional endowment models, such as private equity and hedge funds, UCBG relies entirely on transparent, liquid public markets. It serves as a set-it-and-forget-it core holding for investors who want heavy equity exposure to outpace inflation.

AIBF: Investing in Companies Adopting AI

The iShares Future AI Beneficiaries ETF (AIBF) invests in companies that may benefit from AI adoption. According to BlackRock, 74% of AI-driven economic gains are captured by just 20% of companies. The most AI-ready companies generate 7.2 times the AI-driven revenue and efficiency gains of other companies.

Most investors already have significant exposure to chipmakers like NVIDIA (NVDA) and infrastructure providers building AI, but less exposure to everyday businesses effectively adopting it. By holding companies across diverse industries, such as healthcare, finance, and manufacturing, that leverage AI to drive revenue and efficiency gains, the fund offers another way to participate in the AI boom.

PRAM: A Play on AI’s Memory and Photonics Needs

The Defiance Memory & Photonics ETF (PRAM) is the first U.S.-listed ETF to combine two hot themes: memory and photonics. Every AI model has to store data and move it around quickly. Memory companies make the hardware that stores data and feeds it to processors, while photonics companies make the optical technology that moves data between chips and data centers using light. The fund tracks an equally weighted index of the 20 largest eligible companies in these areas.

EQQQ: 2x Exposure Beyond the Nasdaq Mega-Caps

ProShares Ultra QQQ Equal Weight (EQQQ) is the only ETF that targets 2x the daily returns of the Nasdaq-100 Equal Weighted Index. The index reduces mega-cap concentration and increases the relative weight of smaller companies.

To learn more, please watch the short video above.

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