The ‘hot’ ETF launches of 2026

The NASA SpaceX Crew-6 mission astronauts. Credit: SpaceX via Flickr.

The exchange-traded fund (ETF) industry doesn’t tend to rest on its laurels: every year swathes of new products launch in the hope of tapping the hottest investment trends.

And 2026 appears to have been no different, with Morningstar data showing hundreds of ETFs launched on to the UK market in the first 10 months of the year alone.

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With little in the way of initial public offering (IPO) activity from the investment trust industry in recent years, ETF launches give us a better sense of the themes and sectors that can be accessed via new funds. 

2026 has offered up a real mix on this front.

Space and beyond

To kick off with one of the less surprising developments, we have seen a rash of ETF launches focused on the space theme.

ETFs that launched around the time of the Space Exploration Technologies Corp Class A (NASDAQ:SPCX) IPO include the iShares Space Technologies ETF USD Acc GBP (LSE:STRR), the Global X Space Tech ETF GBP (LSE:LUNG) and the WisdomTree Space Economy ETF USD Acc GBP (LSE:WSPG).

Source: fund literature.

More recently, we have seen the people behind the popular Seraphim Space Investment Trust Ord (LSE:SSIT) launch their own product, the Seraphim New Space ETF Acc Shr Cl USD GBP (LSE:SERA). 

Another, older option is the actively managed ARK Space & Defence Innovt ETF A USD Acc (LSE:ARKX), which launched in 2025.

Thematic ETFs can share some holdings, as we noted in an analysis of some of the first space funds in summer.

But if they might centre on a few names, they can vary significantly by how they target a theme – and how much they will charge you in fees.

To set out a few dividing lines, some thematic ETFs can be extremely concentrated while others diversify more widely. 

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As our table shows, some have significant bets on SpaceX alone.

They can also vary by the equity regions they tend to fish in, and the sectors they end up investing in.

The latter point is relevant when it comes to space: some names like iShares Space Technologies and WisdomTree Space Economy will have a big focus on the industrials sector, accounting for about 60% of assets in each.

Others have a more nuanced approach: communication services account for 44% of the Global X fund, with industrials on around 40%.

The other hot themes

It would be surprising not to see a few launches focused on the artificial intelligence (AI) boom, and these funds are a pretty targeted play on the trend.

A couple of examples are the Defiance Photonics ETF USD Acc GBP (LSE:LYT3) and the Defiance Memory ETF Acc ETF Share Cl USD (LSE:DRAM), both of which launched in summer. 

Photonic technologies are the optical hardware that generates, moves and processes data using light rather than electricity.

Defiance has badged this as the “optical backbone” of AI, and the fund has big allocations to Marvell Technology Inc (NASDAQ:MRVL), Lumentum Holdings Inc (NASDAQ:LITE), Corning Inc (NYSE:GLW), MACOM Technology Solutions Holdings Inc (NASDAQ:MTSI), Coherent Corp (NYSE:COHR) and Ciena Corp (NYSE:CIEN) among others. Its top 10 holdings account for almost 85% of the fund.

The memory ETF has a similar level of concentration, with big bets on names like SK hynix Inc ADR (NASDAQ:SKHY), SanDisk Corp Ordinary Shares (NASDAQ:SNDK), Micron Technology Inc (NASDAQ:MU), Seagate Technology Holdings (NASDAQ:STX) and Samsung Electronics Co Ltd DR (LSE:SMSN).

A different option to have emerged this year is the VanEck China Semiconductor ETF A USD GBP (LSE:SMCG). 

With a focus on China’s “fast-growing” domestic industry, it holds names likely less well known to followers of the AI trade, from Hygon Information Technology to Cambricon Technologies.

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There are, meanwhile, plenty of new ETFs focused on the sheer demand for resources stemming from the AI buildout.

This includes electrification names like the Global X U.S. Electrification ETF USDAcc (LSE:ZAPP). Top holdings include NextEra Energy Inc (NYSE:NEE), Dominion Energy Inc (NYSE:D) and Consolidated Edison Inc (NYSE:ED).

We have also seen the launch of VanEck Agribusiness ETF A USD GBP (LSE:MOOG), holding names like Bayer AG (XETRA:BAYN), Deere & Co (NYSE:DE) and Zoetis Inc Class A (NYSE:ZTS). 

Here, VanEck may be looking to challenge the iShares Agribusiness ETF USD Acc GBP (LSE:SPAG), which launched back in 2011.

As has become common in recent years, we have also seen the launch of exchange-traded products that offer leveraged exposure to single stocks, such as SpaceX. 

This can be an extremely painful trade when things turn, as we have seen with DIY investors in South Korea getting leveraged exposure to names like SK Hynix.

Quant, active and more

ETF offerings seemingly get more elaborate as the industry matures, and we are no longer restricted to names that just track a well-known index for a low fee.

One name to have launched is the Trading Central Qnt Glbl 50 Eq ETF $ Acc GBP (LSE:TCW), which backs an index based on Trading Central’s TC Quantamental rating. Companies are scored on value, growth, quality, momentum and income, and those names that score highly in total can make it into the fund.

Holdings currently include Cathay Pacific Airways Ltd (SEHK:293), Heineken NV (EURONEXT:HEIA), TCL Electronics Holdings Ltd (SEHK:1070) and Capgemini SE (EURONEXT:CAP).

Note that Trading Central also has two other offerings, Trading Central Quant Europe 50EqETF€Acc USD (LSE:TCQE) and Trading Central Qnt U.S. 50 Eq ETF $ Acc GBP (LSE:TCU). 

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Beyond that, we continue to see a flurry of actively managed ETFs launching into the market. 

This seems to follow a proliferation of such funds in the US, with the investment industry keen to tout such wares. 

However, a key part of their appeal in the US is that the ETF structure is generally more tax-efficient than traditional mutual funds.

Active ETFs do have the appeal of allowing investors to really dig into the portfolio, given that ETFs tend to disclose their full holdings. But many of the names available seem to follow a quantitative approach, rather than being "fully" active.