What are cloud computing ETFs?
Cloud computing means renting computing power, data storage and software over the internet instead of running them on your own machines. The six US-listed cloud computing ETFs own companies that provide those services, plus some that make the hardware behind them. Snowflake, Datadog, DigitalOcean, Microsoft, Twilio and Cloudflare each appear in four of the six funds. ServiceNow, Alphabet, Salesforce, Amazon and MongoDB each appear in three.
All six follow an index, which is a rules-based list of stocks, but the lists differ. SKYY tracks the ISE CTA Cloud Computing Index across 64 stocks, led by Arista Networks. CLOU, built on the Indxx Global Cloud Computing Index, is the most concentrated, with 38 stocks and about 48% in its top ten. WCLD tracks the BVP Nasdaq Emerging Cloud Index and spreads its money more evenly, with about 27% in its top ten. FCLD's Fidelity Cloud Computing Index leans on data-storage makers Sandisk, Western Digital and Seagate. CLOD, launched in December 2023, puts Palo Alto Networks and CrowdStrike at the top. SKYU is a different kind of fund: it uses leverage to seek twice the daily move of the index SKYY follows.
Costs vary widely. The median expense ratio, which is the yearly fee taken from fund assets, is 0.45%. CLOD charges the least at 0.35%, followed by FCLD at 0.39%. SKYY costs 0.60% and CLOU 0.68%, while the leveraged SKYU charges the most at 0.95%.
The money is heavily concentrated. The five largest funds hold 99.9% of the roughly $3.4 billion in the group, and SKYY alone holds about $2.7 billion. CLOD, with about $2.5 million, and SKYU, with about $6.7 million, are tiny by comparison.
Cloud computing ETF holdings: the stocks most funds own
The stocks that show up most often among the largest positions of the 6 biggest cloud computing ETFs with holdings reports, from their latest N-PORT filings.
| Stock | Funds holding it | Typical weight |
|---|---|---|
| Snowflake Inc. | 4 of 6 | 3.38% |
| Datadog, Inc. | 4 of 6 | 3.3% |
| Digitalocean Holdings Inc | 4 of 6 | 3.28% |
| Microsoft Corp | 4 of 6 | 3.25% |
| Twilio Inc | 4 of 6 | 2.31% |
| Cloudflare Inc | 4 of 6 | 1.84% |
| Servicenow, Inc. | 3 of 6 | 4.09% |
| Alphabet Inc | 3 of 6 | 3.68% |
| Salesforce, Inc. | 3 of 6 | 3.67% |
| Amazon.com Inc | 3 of 6 | 3.45% |
| Everpure Inc | 3 of 6 | 2.36% |
| Mongodb Inc | 3 of 6 | 2.28% |
Typical weight is the median share of each fund’s assets in the stock, among the funds that hold it in their 25 largest positions.
The largest cloud computing ETFs, side by side
Swipe the table to see all 5 funds.
| SKYY | CLOU | WCLD | FCLD | CLOD | |
|---|---|---|---|---|---|
| Net assets | $2.72B | $268.8M | $245.2M | $110.4M | $2.5M |
| Expense ratio | 0.6% | 0.68% | 0.45% | 0.39% | 0.35% |
| Holdings | 64 | 38 | 64 | 50 | 51 |
| In the 10 largest | 36.18% | 47.66% | 26.53% | 44.03% | 47.23% |
| Biggest holding | Arista Networks Inc (4.18%) | Snowflake Inc. (6.34%) | Digitalocean Holdings Inc (3.28%) | Sandisk Corp/de (6.15%) | Palo Alto Networks Inc (7.52%) |
| Yield | 0% | 0% | — | 0.01% | 1.33% |
| 1-year return | +21.8% | +26.0% | +28.5% | +46.9% | +1.1% |
| 3 years, a year | +34.0% | +20.3% | +19.8% | +36.5% | — |
| 5 years, a year | +8.9% | -0.2% | — | +11.4% | — |
| Worst drop, past year | -27.4% | -27.2% | -33.4% | -17.5% | -30.8% |
| Launched | 2011 | 2019 | 2019 | 2021 | 2023 |
The largest ordinary funds by net assets (leveraged and inverse funds are listed further down). Holdings from each fund’s latest N-PORT report; returns include reinvested distributions, as of Oct 27, 2026.
Head to head
SKYY vs CLOU
SKYY is by far the largest fund, with about $2.7 billion against about $269 million for CLOU. It holds 64 stocks with 36% in its top ten, led by Arista Networks at 4.18%. CLOU holds 38, with 48% in its top ten and Snowflake and Datadog at 6.34% each. About 35% of their assets overlap. SKYY charges 0.60% a year and CLOU 0.68%. Over the year to October 27, 2026, SKYY returned 21.8% and CLOU 26%, and both fell about 27% at their worst. SKYY may suit investors wanting a wider spread; CLOU, those comfortable with more concentration.
SKYY vs WCLD
These two overlap more than any other pair: 38 shared stocks make up 40% of their assets. Both hold 64 stocks, but WCLD, which tracks the BVP Nasdaq Emerging Cloud Index, spreads its money more evenly, with 27% in its top ten against 36% for SKYY. WCLD costs less: 0.45% a year versus 0.60%. Over the year to October 27, 2026, WCLD returned 28.5% to SKYY's 21.8%, but its worst drop was deeper, at 33.4% against 27.4%. WCLD may suit investors who accept bigger swings for a lower fee; SKYY, those preferring somewhat milder swings.
WCLD vs FCLD
Apart from the tiny CLOD, these are the two lowest-cost funds: FCLD charges 0.39% a year and WCLD 0.45%. They share about 31% of their assets. FCLD is more concentrated, with 44% in its top ten, and leans on data-storage makers Sandisk (6.15%), Western Digital and Seagate. WCLD keeps 27% in its top ten, led by DigitalOcean. Over the year to October 27, 2026, FCLD returned 46.9% with a worst drop of 17.5%, while WCLD returned 28.5% and fell as much as 33.4%. FCLD may suit investors comfortable with a tilt toward storage hardware; WCLD, those wanting a wider spread.
How much do the largest cloud computing ETFs overlap?
Owning two funds that hold the same stocks adds little diversification. Overlap here is the share of assets two funds have in common: for each stock both own, the smaller of its two weights, added up.
| Funds | Assets in common | Shared holdings | |
|---|---|---|---|
| SKYY and WCLD | 40% | 38 | |
| SKYY and FCLD | 35.9% | 27 | |
| SKYY and CLOU | 35.2% | 26 | |
| CLOU and FCLD | 34.3% | 15 | |
| CLOU and WCLD | 32.6% | 21 | |
| SKYY and CLOD | 31.3% | 25 | |
| WCLD and FCLD | 30.6% | 22 | |
| FCLD and CLOD | 29.8% | 16 | |
| CLOU and CLOD | 28.4% | 18 | |
| WCLD and CLOD | 22.5% | 18 |
From each fund’s full holdings in its latest N-PORT report.
How have cloud computing ETFs performed?
The five largest ordinary funds: growth from the start of the range, distributions reinvested. The dashed gray line is the S&P 500 (SPY).
Best-performing cloud computing ETFs over the past year
| # | Fund | Net assets | Cost | 1 mo | YTD | 1 yr | 3 yr |
|---|---|---|---|---|---|---|---|
| 1 | FCLD Fidelity Cloud Computing ETF | $110.4M | 0.39% | +0.4% | +52.1% | +46.9% | +36.5% |
| 2 | WCLD WisdomTree Cloud Computing Fund | $245.2M | 0.45% | +14.9% | +32.2% | +28.5% | +19.8% |
| 3 | CLOU Global X Cloud Computing ETF | $268.8M | 0.68% | +7.1% | +34.3% | +26.0% | +20.3% |
| 4 | SKYY First Trust Cloud Computing ETF | $2.72B | 0.6% | +4.1% | +31.8% | +21.8% | +34.0% |
Funds with at least $25 million in net assets; leveraged and inverse funds left out. Past returns don’t predict future returns.
How cloud computing ETFs did in past market crashes
| Fund | 2008 crash | 2020 crash | 2022 drop |
|---|---|---|---|
| SKYY | not yet launched | -28.5% | -43.9% |
| CLOU | not yet launched | -26.7% | -42.8% |
| WCLD | not yet launched | not yet launched | not yet launched |
| FCLD | not yet launched | not yet launched | -44.9% |
| CLOD | not yet launched | not yet launched | not yet launched |
| S&P 500 (SPY) | -55.2% | -33.7% | -24.5% |
Total return from the stock market’s peak to its low in each fall, distributions reinvested.
What drives cloud computing ETFs?
Cloud companies earn most of their money when businesses pay for computing power, storage and software, often through subscriptions. Their sales and profits follow corporate technology budgets, which tend to shrink when the economy slows and expand when it grows. Hardware makers in these funds, such as the data-storage firms FCLD favors, also depend on how fast data centers are being built. Share prices react strongly to interest rates. Many of these companies are valued on profits expected years ahead, and higher rates reduce what those distant profits are worth in present terms.
Past downturns show how differently these funds can behave from the broad market. None existed during the 2008 financial crisis, when the S&P 500 fell 55.2%. In the 2020 COVID crash, SKYY fell 28.5% and CLOU 26.7%, less than the S&P 500's 33.7%. The 2022 bear market was far harsher on them: SKYY lost 43.9%, CLOU 42.8% and FCLD 44.9%, against 24.5% for the S&P 500.
Cloud computing ETFs with the lowest expense ratios
| # | Fund | Expense ratio | On $10,000 | Net assets |
|---|---|---|---|---|
| 1 | FCLD Fidelity Cloud Computing ETF | 0.39% | $39 a year | $110.4M |
| 2 | WCLD WisdomTree Cloud Computing Fund | 0.45% | $45 a year | $245.2M |
| 3 | SKYY First Trust Cloud Computing ETF | 0.6% | $60 a year | $2.72B |
| 4 | CLOU Global X Cloud Computing ETF | 0.68% | $68 a year | $268.8M |
Ordinary funds with at least $10 million in net assets. The median ordinary cloud computing ETF charges 0.45% a year; leveraged and inverse funds usually charge more.
Do cloud computing ETFs pay dividends?
2 of the 5 ordinary cloud computing ETFs with a page here paid distributions over the last 12 months, with a median yield of 0.01%.
| Highest yields | Yield | Net assets |
|---|---|---|
| FCLD Fidelity Cloud Computing ETF | 0.01% | $110.4M |
Distributions over the last 12 months divided by the price; funds with at least $25 million in net assets.
How to choose a cloud computing ETF
- What each fund charges. FCLD charges 0.39% a year and WCLD 0.45%, against 0.60% for SKYY and 0.68% for CLOU. CLOD is lower still at 0.35% but holds only about $2.5 million. The leveraged SKYU charges 0.95%.
- How concentrated the top ten is. CLOU puts about 48% of its money in its ten largest stocks and FCLD 44%, so a handful of names drive results. WCLD spreads out more, with about 27% in its top ten, and SKYY sits between at 36%.
- What each index counts as cloud. The indexes define cloud differently. FCLD leads with data-storage makers Sandisk, Western Digital and Seagate; SKYY with Arista Networks; CLOU with Snowflake and Datadog; CLOD with security firms Palo Alto Networks and CrowdStrike.
- Less overlap than the labels suggest. SKYY and WCLD share 40% of their assets, the most of any pair, while WCLD and CLOD share only 22.5%. So two funds with the same cloud label can own quite different sets of companies.
- Fund size and track record. SKYY dates to July 2011 and holds about $2.7 billion. CLOD (about $2.5 million) and SKYU (about $6.7 million) are very small, which can mean wider gaps between quoted prices and a higher chance the fund closes.
- SKYU is a 2x daily trading tool. SKYU seeks twice the daily move of the index SKYY tracks. Daily resets make longer-term results drift from 2x: over the year to October 27, 2026, SKYU returned 28.6% against SKYY's 21.8%, with a worst drop of 50.2%.
What are the risks of cloud computing ETFs?
- Steep losses in tech downturns. In the 2022 bear market, SKYY lost 43.9%, CLOU 42.8% and FCLD 44.9%, against 24.5% for the S&P 500. Cloud stocks are often priced on future growth, so they can fall much harder than the market.
- Big swings even in good years. Over the year to October 27, 2026, WCLD returned 28.5% yet fell as much as 33.4% from a high along the way. Its volatility, a measure of how widely prices swing, was 39.3%; SKYY's was 30.9%.
- A few stocks drive results. CLOU holds just 38 stocks with about 48% in its top ten, and CLOD has 7.52% in Palo Alto Networks alone. Snowflake, Datadog and DigitalOcean each sit in four of the six funds, so trouble at one company hits several funds.
- Leverage doubles swings, not long-term returns. SKYU's volatility was 62.3% and its worst drop 50.2% over the year to October 27, 2026, against 30.9% and 27.4% for SKYY. Because it resets daily, holding it for months can produce returns far from twice the index's.
- Tiny funds can close. CLOD holds about $2.5 million and SKYU about $6.7 million. Very small ETFs can trade with wider gaps between quoted prices and may be shut down, returning cash at an awkward time and possibly creating a taxable gain.
Leveraged and inverse cloud computing ETFs (2x)
These funds aim for a multiple, or the opposite, of one day’s return, and reset every day. Held for longer than a day, their results can drift far from that multiple, especially when prices swing. They are trading tools, not long-term holdings. Why leveraged ETFs decay →
| Fund | Daily aim | Net assets | 1-year return |
|---|---|---|---|
| SKYU ProShares Ultra Nasdaq Cloud Computing ETF | 2× | $6.7M | +28.6% |
List of all cloud computing ETFs, by size
| # | Fund | Net assets | Cost | Yield | YTD | 1 yr | 5 yr |
|---|---|---|---|---|---|---|---|
| 1 | SKYY First Trust Cloud Computing ETF | $2.72B | 0.6% | 0% | +31.8% | +21.8% | +8.9% |
| 2 | CLOU Global X Cloud Computing ETF | $268.8M | 0.68% | 0% | +34.3% | +26.0% | -0.2% |
| 3 | WCLD WisdomTree Cloud Computing Fund | $245.2M | 0.45% | — | +32.2% | +28.5% | — |
| 4 | FCLD Fidelity Cloud Computing ETF | $110.4M | 0.39% | 0.01% | +52.1% | +46.9% | +11.4% |
| 5 | SKYU ProShares Ultra Nasdaq Cloud Computing ETF Leveraged | $6.7M | 0.95% | 0.41% | +53.1% | +28.6% | +1.6% |
| 6 | CLOD Themes Cloud Computing ETF | $2.5M | 0.35% | 1.33% | +11.1% | +1.1% | — |
Questions investors ask about cloud computing ETFs
What is the largest cloud computing ETF?
The First Trust Cloud Computing ETF (SKYY) is the largest, with about $2.7 billion in net assets, more than the other five funds combined. Launched in July 2011, it tracks the ISE CTA Cloud Computing Index across 64 stocks, led by Arista Networks, DigitalOcean and Everpure. It charges 0.60% a year. The next largest are Global X's CLOU, with about $269 million, and WisdomTree's WCLD, with about $245 million.
Which cloud computing ETF has the lowest fees?
The Themes Cloud Computing ETF (CLOD) has the lowest expense ratio, at 0.35% a year, but it holds only about $2.5 million. Among the larger funds, Fidelity's FCLD costs the least at 0.39%, followed by WisdomTree's WCLD at 0.45%. SKYY charges 0.60%, CLOU 0.68% and the leveraged SKYU 0.95%. The expense ratio is the yearly fee taken from a fund's assets, so a lower one leaves more of the return for investors.
SKYY vs CLOU: what's the difference?
SKYY is bigger and more spread out; CLOU is more concentrated. SKYY tracks the ISE CTA Cloud Computing Index with 64 stocks and 36% in its top ten. CLOU tracks the Indxx Global Cloud Computing Index with 38 stocks and 48% in its top ten, led by Snowflake and Datadog. They share about 35% of their assets. SKYY costs 0.60% a year and CLOU 0.68%. Over the year to October 27, 2026, SKYY returned 21.8% and CLOU 26%, and both fell about 27% at their worst.
Do cloud computing ETFs pay dividends?
Barely. SKYY and CLOU showed a yield of 0%, and FCLD's was 0.01%. Of the five funds without leverage, only two paid anything: FCLD and the tiny CLOD, whose yield was 1.33%. Many cloud companies reinvest their cash in growth instead of paying it out. For retirees who live on portfolio income, that means withdrawals from these funds would come from cashing in shares, not from payouts.
Do cloud computing ETFs hold Microsoft and Amazon?
Most hold Microsoft and half hold Amazon, though neither is a large position. Microsoft appears in four of the six funds, with a median weight of 3.25%, and FCLD lists it among its five largest holdings at 4.15%. Amazon and Alphabet each appear in three funds, with median weights of 3.45% and 3.68%; CLOD holds Alphabet at 4.14%. The biggest positions in SKYY, CLOU and WCLD are less familiar names such as Arista Networks, Snowflake, Datadog and DigitalOcean.
How many cloud computing ETFs are there?
There are six US-listed cloud computing ETFs: SKYY from First Trust, CLOU from Global X, WCLD from WisdomTree, FCLD from Fidelity, CLOD from Themes ETF and SKYU from ProShares. Five track a cloud index directly, while SKYU uses leverage to seek twice the daily move of the index SKYY follows. Together they hold about $3.4 billion, and the five largest account for 99.9% of that.
Is there a leveraged cloud computing ETF?
Yes, one: the ProShares Ultra Nasdaq Cloud Computing ETF (SKYU) seeks twice the daily return of the ISE CTA Cloud Computing Index, which SKYY tracks. Because the 2x target resets every day, results over longer periods can stray far from double. Over the year to October 27, 2026, SKYU returned 28.6% versus 21.8% for SKYY, and its worst drop was 50.2%. It charges 0.95% and holds about $6.7 million. Funds like this are built for short-term trading, not long-term holding. None of the six funds is inverse.
Is there a Vanguard or Fidelity cloud computing ETF?
Fidelity has one, but none of the six US-listed cloud computing ETFs comes from Vanguard. The Fidelity Cloud Computing ETF (FCLD), launched in October 2021, tracks the Fidelity Cloud Computing Index across 50 stocks and charges 0.39% a year. Its largest holdings are data-storage makers Sandisk, Western Digital and Seagate, followed by AppLovin and Microsoft. FCLD returned 46.9% over the year to October 27, 2026, the highest of the group, with a worst drop of 17.5%.
Is there a Vanguard, Fidelity or Schwab cloud computing ETF?
Yes. Fidelity offers one: FCLD (Fidelity Cloud Computing ETF). Vanguard and Schwab don’t have a cloud computing ETF.
