Investing in emerging technologies can be a powerful way to capture long-term growth — but it also comes with higher risk. Sectors like AI, biotech, blockchain, clean energy, and robotics are shaping the future, and savvy investors who position themselves early can reap significant rewards. Here are the best ways to invest in emerging technologies, along with practical strategies to help you balance opportunity and risk.
1. Invest in Thematic ETFs
Ideal for: Easy, diversified exposure to high-growth sectors
- Thematic ETFs focus on specific technologies or industries like artificial intelligence, robotics, fintech, or genomics
- They bundle multiple related companies, reducing single-stock risk
Top Examples:
- ARK Innovation ETF (ARKK) – Disruptive tech across multiple sectors
- Global X Robotics & AI ETF (BOTZ)
- iShares Genomics Immunology & Healthcare ETF (IDNA)
- Global X FinTech ETF (FINX)
- iShares Cybersecurity and Tech ETF (IHAK)
Why It Works: You gain targeted exposure without needing to pick individual winners.
Tip: Look at expense ratios and holdings to choose ETFs that align with your beliefs and risk tolerance.
2. Buy Individual Stocks in Leading Innovators
Ideal for: Higher potential returns and more control
- Invest in companies at the forefront of emerging tech (e.g., Tesla in EVs, NVIDIA in AI chips, CRISPR Therapeutics in gene editing)
- Focus on strong leadership, innovative products, and long-term market potential
Why It Works: The biggest gains often come from companies that dominate a new category.
Tip: Diversify across industries — and limit how much of your portfolio goes into any single high-risk stock.
3. Use Mutual Funds or Actively Managed Tech Funds
Ideal for: Professional oversight and long-term growth
- Actively managed funds target innovation with ongoing research and adjustments
- Good for investors who want expert insight but don’t want to manage a portfolio themselves
Popular Innovation Funds:
- ARK Genomic Revolution ETF (ARKG)
- T. Rowe Price Global Technology Fund (PRGTX)
- Fidelity Select Technology Portfolio (FSPTX)
Why It Works: Active management can help navigate volatility and spot early trends.
Tip: Actively managed funds tend to have higher fees — make sure returns justify the cost.
4. Explore Venture Capital and Crowdfunding Platforms
Ideal for: High-risk, high-reward early-stage investing
- Platforms like SeedInvest, Republic, and Wefunder let you invest in startups before they go public
- Get in early on companies in fields like space tech, blockchain, AI, and clean energy
Why It Works: You can access cutting-edge innovation long before Wall Street notices.
Tip: Only invest a small amount (1%–2% of your portfolio) — most startups fail, but one big winner can outweigh the rest.
5. Invest in Large Tech Companies Fueling Innovation
Ideal for: Stability with exposure to new tech
- Big firms like Apple, Google (Alphabet), Microsoft, Amazon, and Meta invest heavily in emerging tech like AI, AR/VR, cloud computing, and biotech
- These companies provide exposure to innovation with more reliable fundamentals
Why It Works: You benefit from cutting-edge developments and established revenue streams.
Tip: Use fractional shares to get exposure to these companies even with a small investment.
6. Buy Global and Emerging Market Tech ETFs
Ideal for: International diversification and access to fast-growing economies
- Countries like China, India, and South Korea are innovating rapidly in sectors like fintech, green energy, and 5G
Examples:
- iShares MSCI Emerging Markets ETF (EEM)
- KraneShares CSI China Internet ETF (KWEB)
- Invesco India ETF (PIN)
Why It Works: Global growth often comes from emerging economies leading the tech frontier.
Tip: Keep an eye on geopolitical risks and currency fluctuations.
7. Use a Robo-Advisor with Innovation Themes
Ideal for: Automated investing aligned with future trends
- Robo-advisors like Wealthfront or Betterment now offer custom portfolios based on your preferences, including innovation themes
- You can choose exposure to tech, clean energy, or biotech sectors
Why It Works: Combines smart portfolio management with long-term thematic focus.
Tip: Ideal for set-it-and-forget-it investors who want to include growth sectors without active management.
8. Invest in Technology-Focused REITs and Infrastructure
Ideal for: Income + exposure to digital infrastructure growth
- Data centers, 5G towers, and cloud infrastructure are foundational to emerging tech
- Real Estate Investment Trusts (REITs) like Digital Realty Trust (DLR) or Equinix (EQIX) pay dividends while riding the tech wave
Why It Works: You get real asset exposure and income, tied to tech adoption.
Tip: These REITs can offer both growth and stability — a rare combination in tech investing.
9. Allocate a Small Portion to Crypto and Blockchain Tech
Ideal for: High-risk, high-potential growth
- Blockchain is transforming finance, supply chains, and digital identity
- Invest in coins like Ethereum (ETH), or companies building on blockchain (e.g., Coinbase, Square)
Why It Works: Early adoption is growing fast, and some projects are already gaining real-world traction.
Tip: Limit exposure to 1%–5% of your portfolio, and use secure wallets or trusted exchanges.
10. Stay Informed and Keep Learning
Ideal for: Identifying trends and making better investment decisions
- Follow tech news outlets like TechCrunch, The Verge, and Wired
- Listen to innovation-focused podcasts or follow fund managers like Cathie Wood (ARK Invest)
- Use platforms like Crunchbase, PitchBook, or CB Insights to research emerging companies
Why It Works: Staying ahead of trends helps you spot winners early — and avoid overhyped duds.
Tip: Set Google Alerts for tech keywords or subscribe to industry newsletters to stay updated.
Final Thoughts
Investing in emerging technologies offers some of the greatest growth potential — but also the highest volatility. The key is to diversify, stay informed, and invest consistently with a long-term mindset. Start with reliable tools like ETFs or large-cap innovators, then branch out as your knowledge and risk tolerance grow. Done right, tech investing can help you tap into the future while building wealth today.