Best Tech and AI ETFs in Canada (2026): TEC, XIT, ARTI and Others Compared

A technology ETF holds a basket of tech company shares, and an AI ETF such as Evolve’s ARTI holds companies its manager expects to gain from artificial intelligence. The funds listed in Canada differ in where the companies are (Canada, the US or worldwide), what the index or manager counts as “technology”, whether the fund also writes covered calls, and whether its units are hedged. This page explains those differences and compares the main funds from the figures each issuer publishes. In place of a pick, it gives a full, dated table and how to read it.

Nasdaq-100 funds (ZQQ, XQQ, QQC and others) are compared on the S&P 500 and Nasdaq-100 ETFs page.

What do technology ETFs hold?

A sector index. Some funds follow one sector as an index provider defines it. BMO says ZXLK gives exposure to large companies in the US information technology sector, which it gets by holding State Street’s Technology Select Sector SPDR ETF. iShares’ XIT does the same for Canada, replicating the S&P/TSX Capped Information Technology Index.

A custom list. TD’s TEC tracks the Solactive Global Technology Leaders Index, which covers mid-size and large companies worldwide that are related to technology. Solactive picks them using FactSet’s industry classification, and its rules let in more than tech firms in the narrow sense: internet department stores and travel agencies are among the eligible sub-industries. So the word “technology” can mean different things from one fund to the next, and the Ontario Securities Commission points out that the index a fund tracks decides how its money is spread.

A theme or a short list. Evolve’s CYBR and iShares’ XHAK hold companies involved in cybersecurity, and iShares’ XEXP holds companies that create or use what it calls exponential technologies. Evolve’s TECH holds six named companies: Alphabet, Amazon, Apple, Meta, Netflix and Microsoft.

Covered calls on top. Four funds in the table also sell call options on their stocks: Hamilton’s QMAX, Harvest’s HTA, CI’s TXF and BMO’s ZWT. The buyer of each option pays the fund a premium, and if the stocks rise the fund can miss out on that growth, as the Nova Scotia Securities Commission explains. Our covered-call ETFs page covers how these funds work.

Hedging. A hedged fund uses a derivatives contract to reduce the effect of exchange rates, and an unhedged one doesn’t, as the Nova Scotia Securities Commission explains. US-listed vs Canadian-listed ETFs explains the trade-off.

Nasdaq-100 funds. The Nasdaq-100 isn’t a technology index: Nasdaq builds it from 100 of the largest non-financial companies on its exchange, whatever their industry. Funds that track it are compared on the S&P 500 and Nasdaq-100 page, including ZQQ vs XQQ.

How much tech you may already own. In iShares’ sector breakdowns dated October 7, 2026, information technology made up 9.28% of XIC, which tracks the S&P/TSX Capped Composite Index, and 40.11% of XUS, which tracks the S&P 500. A tech fund adds to that share. Our sector ETFs overview explains what holding one sector means for a portfolio.

The main tech and AI ETFs compared

The table lists Canadian-listed technology and AI funds that publish an MER, grouped by what each fund says it holds and, within each group, ordered by the net assets its issuer reports. Nasdaq-100 funds, semiconductor funds, US-listed funds and other thematic funds are left out; US-listed vs Canadian-listed ETFs covers the US listings.

Issuer-published figures. Holdings counts are each as of the date shown under them. MER as of BMO: September 30, 2026; CI: June 30, 2026; Evolve: December 31, 2025; Hamilton: June 30, 2026; Harvest: June 30, 2026; TD: June 30, 2026; iShares: August 31, 2026 (each issuer's latest reported MER). Each ticker links to the issuer's page, which has the current price, holdings, distributions and performance.

“What it holds” is the issuer’s own description, and “Writes covered calls” marks the four funds that sell options. Where an issuer’s documents don’t say whether a unit is hedged, the column reads “Not stated”. There are no return or yield columns: how an ETF did in the past can’t tell you how it will do next. Each ticker links to the issuer’s page, with the current price and performance, and each fund’s ETF Facts sets out who the fund is meant for.

How do the funds differ?

Where the companies are. XIT holds Canadian technology companies, 19 of them, while TEC holds 241 worldwide. TD puts 89.2% of TEC in US companies as of October 13, 2026.

How many companies. The count runs from 6 in TECH and 20 in HTA, which weights its stocks equally, to TEC’s 241. The OSC notes that the number of holdings gives a sense of how diversified a fund is. ZXLK’s count is one, because it holds a single US fund.

Fees. ZXLK’s MER is 0.21% and TEC’s 0.39%, the two lowest in the table. The four covered-call funds charge from 0.71% (TXF) to 0.99% (HTA). The MER is paid whether the fund gains or loses.

Hedged units. Harvest lists HTA’s units as hedged to the Canadian dollar, and CI and Evolve say TXF, CYBR and TECH are hedged, while Hamilton lists QMAX as unhedged.

What do AI ETFs hold?

The OSC notes that the index a fund tracks decides how its money is spread. Evolve says ARTI invests in companies placed to gain from the spread of artificial intelligence, in North America and other developed markets. To choose them, Evolve uses Boosted.ai’s large language models to rank stocks by how closely they fit the AI theme. ARTI’s MER is 0.96% and it held 28 stocks on October 7, 2026; its units are hedged to the Canadian dollar. XEXP, above, holds companies that create or use what iShares calls exponential technologies; the OSC says a fund’s documents can be found on the ETF manager’s website.

Semiconductors. Chip funds are listed in Canada too, such as iShares’ XCHP, which holds US-listed companies that design, make and distribute semiconductors. They are not in the table.

Crypto and single stocks. Bitcoin and ether funds are covered on our crypto ETFs page, and AI company shares on AI stocks in Canada.

What don’t tech and AI ETFs do?

• They don’t spread your money across the market. Each holds one sector or theme; see sector ETFs.
• They don’t avoid foreign tax. Canadian-listed funds holding US stocks pay US withholding tax on dividends, and you get distributions after that tax. See US-listed vs Canadian-listed ETFs.
• They count at tax time in a non-registered account. A fund set up as a mutual fund trust sends a T3 slip, its distributions can include return of capital, and selling units usually gives a capital gain. A return of capital is the part of a fund's distribution that is more than its earnings; it isn't taxed in the year you receive it but reduces the adjusted cost base (ACB) of your units, which generally means a larger capital gain or smaller capital loss when you sell, and if it takes the ACB below zero the negative amount is a capital gain for that year. How ETFs are taxed has the details.
• They can close. One fund company that wound up an ETF gave unitholders at least 60 days’ notice; see what happens if an ETF closes.
• They aren’t covered by deposit insurance and can lose money.

Where to go next

• S&P 500 and Nasdaq-100 ETFs
• Canadian ETFs by category, including sector funds
• Covered-call ETFs
• US-listed vs Canadian-listed ETFs
• All ETF guides