Frankfurt-based index provider, Solactive, writes that the AI infrastructure market is experiencing unprecedented growth due to the rapid adoption of AI technologies across various sectors, fuelled by advances in AI algorithms and the exponential increase in data generation.
Against the backdrop of this emerging industry, Solactive writes that it welcomes the launch of Hanwha’s latest ETF – Hanwha PLUS Global AI Infrastructure ETF, which tracks the Solactive Global AI Infrastructure Index.
The global AI infrastructure market is expected to grow from USD37.03 billion in 2024 to USD421.44 billion in 2030 at a compound annual growth rate (CAGR) of 27.53 per cent. The need for advanced computing power, efficient data management, and robust AI systems is driving the growing demand for AI infrastructure, which provides investors with access to the tremendous potential of this transformative industry.
The Solactive Global AI Infrastructure Index aims to capture the performance of the top 11 companies that are instrumental in supporting AI technologies, with the highest free float market capitalization in respective subsectors. The index utilises ARTIS, Solactive’s proprietary natural language processing technology, to identify highly relevant companies in the AI-enabling devices and power AI infrastructure sectors; then, a granular industry classification system is used to select the leading companies in semiconductors and the aforementioned AI-powered sectors.
The firm writes that the AI-enabling devices category includes sub-segments that facilitate the functioning and performance of AI, such as network equipment and AI servers. Meanwhile, the power AI infrastructure sector focuses on the underlying physical and digital infrastructure supporting AI systems, particularly in the areas of high voltage, transformers, and HVAC facilities.
The ETF is listed on the Korea Stock Exchange with the ticker code 489010.KS.
Timo Pfeiffer, CMO at Solactive, says: “We are delighted to collaborate with Hanwha on the launch of the Hanwha PLUS Global AI Infrastructure ETF. This product provides investors with strategic exposure to the fast-growing AI infrastructure sector and aims to capitalize on the opportunities offered by the AI revolution.”
Jeongseop Keum, Head of ETF Business Division in Hanwha Asset Management, says: “We believe that the AI industry is not a short-term trend, but a key industry that will drive the future of humanity, which is why we are excited to launch our first ETF that invests in the AI infrastructure industry, which is essential for the development of the AI industry, after rebranding from ARIRANG to PLUS. We look forward to collaborating with Solactive with more products like this that carry long-term prospects and values.”
