What are internet ETFs?
Internet ETFs own companies whose business runs on the internet: search, social media, online shopping, streaming and the networks behind them. Amazon, Meta Platforms and Alphabet are the most common holdings. Each is found in six of the 13 funds with listed holdings. Netflix and PDD Holdings each appear in four, and MercadoLibre, Reliance Industries, Microsoft and Shopify in three.
The funds differ mainly by region and by how they pick stocks. FDN tracks the Dow Jones Internet Composite Index and PNQI the Nasdaq CTA Internet Index, and large US companies lead both. KWEB tracks the CSI Overseas China Internet Index, led by Tencent. EMQQ and FMQQ span emerging markets, INQQ covers India and FDNI tracks the Dow Jones International Internet Index. ARKW is actively managed. That means ARK Invest chooses the holdings, such as Tesla and a bitcoin ETF, instead of copying an index. Six products are leveraged or inverse, aiming for 2x, 3x or -3x an index's daily move. WEBL, WEBS, CWEB and FNGG come from Direxion. FNGO and FNGD are exchange-traded notes (ETNs), which are unsecured debt issued by BMO Financial Group.
Costs vary widely. The expense ratio is the yearly fee taken from a fund's assets. The median is 0.86% across the funds that state one, and 0.69% for the ordinary, non-leveraged funds. OGIG charges the least at 0.48%, with FDN close behind at 0.49%. CWEB charges the most at 1.27%.
The money is concentrated. The five largest funds, FDN, KWEB, ARKW, PNQI and FNGO, hold 91.3% of the roughly $13.5 billion in these funds. FDN and KWEB have about $5 billion each, yet they share no holdings at all.
Internet ETF holdings: the stocks most funds own
The stocks that show up most often among the largest positions of the 13 biggest internet ETFs with holdings reports, from their latest N-PORT filings.
| Stock | Funds holding it | Typical weight |
|---|---|---|
| Amazon.com Inc | 6 of 13 | 6.93% |
| Meta Platforms Inc | 6 of 13 | 5.32% |
| Alphabet Inc | 6 of 13 | 4.07% |
| PDD Holdings Inc. | 4 of 13 | 4.66% |
| Netflix Inc | 4 of 13 | 3.2% |
| MercadoLibre, Inc. | 3 of 13 | 8.14% |
| Reliance Industries Limited | 3 of 13 | 7.92% |
| Bajaj Finance Limited | 3 of 13 | 7.65% |
| Sea Limited | 3 of 13 | 6.05% |
| Microsoft Corp. | 3 of 13 | 6.02% |
| Oracle Corp | 3 of 13 | 4.59% |
| Shopify Inc | 3 of 13 | 4.47% |
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 internet ETFs, side by side
Swipe the table to see all 5 funds.
| FDN | KWEB | ARKW | PNQI | EMQQ | |
|---|---|---|---|---|---|
| Net assets | $4.98B | $4.91B | $1.61B | $512.2M | $264.5M |
| Expense ratio | 0.49% | 0.69% | 0.76% | 0.6% | 0.86% |
| Holdings | 42 | 33 | 43 | 77 | 59 |
| In the 10 largest | 60.94% | 60.04% | 47.98% | 59.03% | 57.85% |
| Biggest holding | Amazon.com Inc (9.98%) | Tencent Holdings Limited (10.44%) | Tesla Inc (7.48%) | Microsoft Corp. (8.3%) | MercadoLibre, Inc. (8.36%) |
| Yield | 0% | 9.08% | 1.5% | 0% | 4.24% |
| 1-year return | -1.2% | -40.7% | -11.7% | -10.9% | -33.9% |
| 3 years, a year | +23.7% | -0.9% | +47.2% | +20.2% | +3.2% |
| 5 years, a year | +3.2% | -11.0% | +0.8% | +0.8% | -9.7% |
| Worst drop, past year | -20.9% | -40.7% | -35.6% | -24.7% | -34.1% |
| Launched | 2006 | 2013 | 2014 | 2008 | 2014 |
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
FDN vs KWEB
These two own entirely different companies: their overlap is 0%. FDN tracks the Dow Jones Internet Composite Index, with 42 stocks led by Amazon at 9.98%. KWEB tracks the CSI Overseas China Internet Index, with 33 stocks led by Tencent at 10.44%. Each holds about 60% in its top ten. FDN charges 0.49% a year and KWEB 0.69%. In the year to October 27, 2026, FDN lost 1.2% and KWEB 40.7%, with deepest drops of 20.9% and 40.7%. FDN may suit investors focused on large US internet companies; KWEB, those wanting a separate stake in China.
FDN vs PNQI
Of the largest funds, these two overlap the most: 43% of their assets sit in 19 shared stocks. PNQI tracks the Nasdaq CTA Internet Index with 77 holdings, led by Microsoft at 8.3% and Apple at 7.96%. FDN holds 42, led by Amazon at 9.98% and Meta at 9.83%. Top-ten weights are close: 60.94% for FDN, 59.03% for PNQI. FDN costs 0.49% and PNQI 0.60%. In the year to October 27, 2026, FDN lost 1.2% and PNQI 10.9%, with deepest drops of 20.9% and 24.7%. PNQI may suit investors wanting a longer list; FDN, a shorter, cheaper one.
KWEB vs EMQQ
About 40.3% of their assets overlap, through 17 shared stocks including Alibaba and PDD Holdings. KWEB tracks the CSI Overseas China Internet Index, with 33 stocks led by Tencent at 10.44%. EMQQ spreads 59 holdings across emerging markets, led by MercadoLibre at 8.36% and Reliance Industries at 8.11%. Top-ten weights are 60.04% and 57.85%. KWEB costs 0.69% and EMQQ 0.86%. In the year to October 27, 2026, KWEB lost 40.7% and EMQQ 33.9%, with deepest drops of 40.7% and 34.1%. EMQQ may suit investors wanting internet stocks beyond China; KWEB, those focused on China alone.
How much do the largest internet 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 | |
|---|---|---|---|
| FDN and PNQI | 43% | 19 | |
| KWEB and EMQQ | 40.3% | 17 | |
| FDN and ARKW | 23.8% | 15 | |
| ARKW and PNQI | 22.6% | 13 | |
| PNQI and EMQQ | 5.7% | 7 | |
| ARKW and EMQQ | 1% | 1 | |
| KWEB and PNQI | 0.2% | 2 | |
| FDN and KWEB | 0% | 0 | |
| FDN and EMQQ | 0% | 0 | |
| KWEB and ARKW | 0% | 0 |
From each fund’s full holdings in its latest N-PORT report.
How have internet 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 internet ETFs over the past year
| # | Fund | Net assets | Cost | 1 mo | YTD | 1 yr | 3 yr |
|---|---|---|---|---|---|---|---|
| 1 | FDN First Trust Dow Jones Internet Index Fund | $4.98B | 0.49% | -3.2% | +4.8% | -1.2% | +23.7% |
| 2 | PNQI Invesco NASDAQ Internet ETF | $512.2M | 0.6% | -1.1% | -6.0% | -10.9% | +20.2% |
| 3 | ARKW ARK Next Generation Internet ETF | $1.61B | 0.76% | -4.2% | +6.3% | -11.7% | +47.2% |
| 4 | OGIG ALPS | O’Shares Global Internet Giants ETF | $115.1M | 0.48% | -0.5% | -4.8% | -14.6% | +19.6% |
| 5 | INQQ The India Internet ETF | $45.9M | 0.86% | -4.5% | -13.8% | -20.7% | +3.1% |
| 6 | FDNI First Trust Dow Jones International Internet ETF | $32.9M | 0.65% | -2.0% | -24.9% | -33.5% | +10.0% |
| 7 | EMQQ EMQQ The Emerging Markets Internet ETF | $264.5M | 0.86% | -5.9% | -27.0% | -33.9% | +3.2% |
| 8 | KWEB KraneShares CSI China Internet ETF | $4.91B | 0.69% | -5.9% | -32.1% | -40.7% | -0.9% |
Funds with at least $25 million in net assets; leveraged and inverse funds left out. Past returns don’t predict future returns.
How internet ETFs did in past market crashes
| Fund | 2008 crash | 2020 crash | 2022 drop |
|---|---|---|---|
| FDN | -53.4% | -27.6% | -45.1% |
| KWEB | not yet launched | -20.3% | -37.8% |
| ARKW | not yet launched | -34.5% | -63.5% |
| PNQI | not yet launched | -26.7% | -48.2% |
| EMQQ | not yet launched | -25.7% | -41.4% |
| 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 internet ETFs?
Internet companies earn most of their money from advertising, online shopping, subscriptions and cloud services. Ad budgets and consumer spending rise and fall with the economy, so profits swing with the business cycle. Interest rates matter as well. Much of these stocks' value rests on profits expected years ahead. Higher rates shrink what those distant profits are worth in present terms, which tends to pull share prices down. Regulation adds another layer. That ranges from competition and privacy rules to government policy and currency moves, which weigh most on the China-focused and emerging-market funds.
Past downturns show how this has played out. Of these funds, only FDN existed in the 2008 financial crisis. It fell 53.4%, close to the S&P 500's 55.2% drop. In the 2020 COVID crash, most fell less than the index's 33.7%: KWEB lost 20.3%, EMQQ 25.7%, PNQI 26.7% and FDN 27.6%, while ARKW fell 34.5%. The 2022 bear market, when interest rates rose quickly, was far harsher. The S&P 500 fell 24.5%, but ARKW dropped 63.5%, PNQI 48.2%, FDN 45.1%, EMQQ 41.4% and KWEB 37.8%.
Internet ETFs with the lowest expense ratios
| # | Fund | Expense ratio | On $10,000 | Net assets |
|---|---|---|---|---|
| 1 | OGIG ALPS | O’Shares Global Internet Giants ETF | 0.48% | $48 a year | $115.1M |
| 2 | FDN First Trust Dow Jones Internet Index Fund | 0.49% | $49 a year | $4.98B |
| 3 | PNQI Invesco NASDAQ Internet ETF | 0.6% | $60 a year | $512.2M |
| 4 | FDNI First Trust Dow Jones International Internet … | 0.65% | $65 a year | $32.9M |
| 5 | KWEB KraneShares CSI China Internet ETF | 0.69% | $69 a year | $4.91B |
Ordinary funds with at least $10 million in net assets. The median ordinary internet ETF charges 0.69% a year; leveraged and inverse funds usually charge more.
Do internet ETFs pay dividends?
7 of the 11 ordinary internet ETFs with a page here paid distributions over the last 12 months, with a median yield of 1.5%.
| Highest yields | Yield | Net assets |
|---|---|---|
| KWEB KraneShares CSI China Internet ETF | 9.08% | $4.91B |
| EMQQ EMQQ The Emerging Markets Internet ETF | 4.24% | $264.5M |
| INQQ The India Internet ETF | 2.6% | $45.9M |
| ARKW ARK Next Generation Internet ETF | 1.5% | $1.61B |
| FDNI First Trust Dow Jones International Internet … | 1.49% | $32.9M |
Distributions over the last 12 months divided by the price; funds with at least $25 million in net assets.
How to choose a internet ETF
- Fees range from 0.48% to 1.27%. OGIG (0.48%) and FDN (0.49%) cost the least, though OGIG is far smaller. PNQI charges 0.60%, KWEB 0.69%, and EMQQ, INQQ and FMQQ 0.86%. Leveraged funds cost more, up to 1.27% for CWEB.
- US giants, China or other markets. FDN and PNQI are led by US companies such as Amazon, Meta and Alphabet. KWEB follows a China internet index led by Tencent. EMQQ and FMQQ span emerging markets, INQQ sticks to India, and FDNI tracks an international index.
- Index rules or a stock picker. Most of these funds copy an index. ARKW is actively managed: ARK Invest picks the stocks, led by Tesla, Advanced Micro Devices and the ARK 21Shares Bitcoin ETF. Only 23.8% of its assets overlap with FDN.
- How much rides on the top ten. FMQQ (63.86%), FDNI (62.13%), INQQ (61.31%), FDN (60.94%) and KWEB (60.04%) put over 60% in their ten largest holdings. OGIG (45.32%) and ARKW (47.98%) spread money more evenly. PNQI holds 77 stocks.
- Fund size and trading costs. FDN and KWEB each have about $5 billion. FDNI has about $33 million and FMQQ about $20 million. Smaller funds can have wider bid-ask spreads, the gap between quoted purchase and sale prices, and tiny funds close more often.
- Leveraged and inverse versions reset daily. WEBL, WEBS, CWEB, FNGG, FNGO and FNGD aim for 2x, 3x or -3x an index's daily move. Over longer periods results drift: in the year to October 27, 2026, FDN lost 1.2%, yet 3x WEBL lost 22.8%.
What are the risks of internet ETFs?
- A handful of stocks drives returns. Amazon, Meta Platforms and Alphabet each appear in six of 13 funds with listed holdings, and the top ten holdings make up about 60% of FDN, KWEB and PNQI. A slump at one giant can move the whole fund.
- Sharp price swings and deep drops. As of October 27, 2026, one-year volatility, a measure of how widely returns swing, was 21.2% for FDN, 26.3% for KWEB and 33.9% for ARKW. Their deepest drops over that year were 20.9%, 40.7% and 35.6%.
- China policy and foreign-market risk. KWEB and CWEB follow a China internet index, and EMQQ shares 40.3% of its assets with KWEB. Chinese companies face shifting government rules, US-China tensions and currency moves. KWEB lost 40.7% in the year to October 27, 2026.
- Leveraged and inverse funds compound daily. Because they reset each day, both WEBL (3x) and WEBS (-3x) lost money in the year to October 27, 2026, falling 22.8% and 9.3%. CWEB's deepest drop over that year was 69.2%, and FNGD's 73.5%.
- ETNs carry the issuer's credit risk. FNGO and FNGD are exchange-traded notes, unsecured debt issued by BMO Financial Group rather than funds that own stocks. Their value depends on BMO paying what it owes, on top of the FANG+ index's moves.
Leveraged and inverse internet ETFs (2x and 3x)
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 |
|---|---|---|---|
| FNGO MicroSectors FANG+ Index 2X Leveraged ETNs | 2× | $341.2M | +9.0% |
| CWEB Direxion Daily CSI China Internet Index Bull 2x S… | 2× | $255.2M | -69.1% |
| FNGD MicroSectors FANG+™ Index -3X Inverse Leveraged E… | −3× | $218.9M | -39.2% |
| FNGG Direxion Daily NYSE FANG+ Bull 2X Shares | 2× | $120.9M | +8.3% |
| WEBL Direxion Daily Dow Jones Internet Bull 3X Shares | 3× | $93.5M | -22.8% |
| WEBS Direxion Daily Dow Jones Internet Bear 3X Shares | −3× | $7.7M | -9.3% |
List of all internet ETFs, by size
| # | Fund | Net assets | Cost | Yield | YTD | 1 yr | 5 yr |
|---|---|---|---|---|---|---|---|
| 1 | FDN First Trust Dow Jones Internet Index Fund | $4.98B | 0.49% | 0% | +4.8% | -1.2% | +3.2% |
| 2 | KWEB KraneShares CSI China Internet ETF | $4.91B | 0.69% | 9.08% | -32.1% | -40.7% | -11.0% |
| 3 | ARKW ARK Next Generation Internet ETF | $1.61B | 0.76% | 1.5% | +6.3% | -11.7% | +0.8% |
| 4 | PNQI Invesco NASDAQ Internet ETF | $512.2M | 0.6% | 0% | -6.0% | -10.9% | +0.8% |
| 5 | FNGO MicroSectors FANG+ Index 2X Leveraged ETNs Leveraged | $341.2M | — | — | +25.2% | +9.0% | +23.5% |
| 6 | EMQQ EMQQ The Emerging Markets Internet ETF | $264.5M | 0.86% | 4.24% | -27.0% | -33.9% | -9.7% |
| 7 | CWEB Direxion Daily CSI China Internet Index Bull 2x S… Leveraged | $255.2M | 1.27% | 9.25% | -58.9% | -69.1% | -38.8% |
| 8 | FNGD MicroSectors FANG+™ Index -3X Inverse Leveraged E… Inverse | $218.9M | — | — | -48.3% | -39.2% | -63.0% |
| 9 | FNGG Direxion Daily NYSE FANG+ Bull 2X Shares Leveraged | $120.9M | 0.97% | 9.74% | +24.1% | +8.3% | +1.0% |
| 10 | OGIG ALPS | O’Shares Global Internet Giants ETF | $115.1M | 0.48% | 0.08% | -4.8% | -14.6% | -2.1% |
Questions investors ask about internet ETFs
What is the largest internet ETF?
FDN, the First Trust Dow Jones Internet Index Fund, is the largest, with about $4.98 billion in net assets. KWEB, the KraneShares CSI China Internet ETF, is close behind at about $4.91 billion. FDN launched in 2006 and tracks the Dow Jones Internet Composite Index. Its three largest positions are Amazon, Meta Platforms and Cisco. ARKW, from ARK Invest, is a distant third at about $1.6 billion.
What is the cheapest internet ETF?
OGIG, the ALPS O'Shares Global Internet Giants ETF, has the lowest expense ratio at 0.48% a year. FDN is almost the same at 0.49%, followed by PNQI at 0.60%, FDNI at 0.65% and KWEB at 0.69%. The two cheapest differ greatly in size: OGIG has about $115 million in net assets, while FDN has about $5 billion. Leveraged funds cost more, up to 1.27% for CWEB.
FDN vs KWEB: what's the difference?
They own different markets and share no holdings. FDN holds 42 stocks led by Amazon, Meta Platforms and Cisco, while KWEB holds 33 Chinese internet stocks led by Tencent, PDD Holdings and Alibaba. FDN charges 0.49% a year and KWEB 0.69%. Their results have split sharply: in the year to October 27, 2026, FDN lost 1.2% and KWEB lost 40.7%. Their five-year returns were 3.2% for FDN and -11% for KWEB.
Do internet ETFs pay dividends?
Some do, but internet companies often reinvest profits instead of paying large dividends. Seven of the 11 funds with a stated yield made payouts, and the median yield among those payers was 1.5%. KWEB's yield was the highest at 9.08%, followed by EMQQ at 4.24%, INQQ at 2.6% and ARKW at 1.5%. FDN and PNQI had yields of 0%. Fund payouts can change a lot from year to year.
Which internet ETFs hold Amazon?
Amazon is one of the most common holdings, appearing in six of the 13 funds with listed holdings. It is FDN's largest position at 9.98%, and it makes up 8.07% of PNQI and 6.93% of OGIG. The 3x leveraged WEBL also holds it. Meta Platforms and Alphabet also appear in six funds each. KWEB and EMQQ share no holdings with FDN, so they do not own Amazon.
How many internet ETFs are there?
There are 17 US-listed internet ETFs and exchange-traded notes, with about $13.5 billion in combined assets. Six are leveraged or inverse trading products. The money is concentrated: the five largest, FDN, KWEB, ARKW, PNQI and FNGO, hold 91.3% of it. Many of the rest are small, such as FMQQ with about $20 million and WEBS with about $8 million.
What are leveraged and inverse internet ETFs?
They are short-term trading tools that aim to multiply or reverse an index's move for a single day. WEBL targets 3x a Dow Jones internet index and WEBS -3x. CWEB targets 2x a China internet index. FNGG and FNGO target 2x a FANG+ index, and FNGD -3x. Because they reset daily, longer results drift: in the year to October 27, 2026, both WEBL and WEBS lost money while FDN fell just 1.2%. FNGO and FNGD are BMO notes that carry the bank's credit risk.
Is there an India internet ETF?
Yes. Among US-listed funds, INQQ, The India Internet ETF, tracks INQQ The India Internet Index. It holds 26 stocks, led by Eternal Limited at 8.03%, Bajaj Finance at 7.65% and Reliance Industries at 6.77%, with 61.31% in its top ten. It charges 0.86% a year and has about $46 million in net assets. It lost 20.7% in the year to October 27, 2026. FMQQ and EMQQ also hold Reliance Industries.
Is there a Vanguard, Fidelity or Schwab internet ETF?
No. None of the three offers a internet ETF. The largest internet ETFs come from First Trust (FDN), KraneShares (KWEB) and ARK Invest (ARKW), and customers of all three firms can buy other companies’ ETFs in their brokerage accounts. For a broader fund, VGT (Vanguard Information Technology ETF) and FTEC (Fidelity MSCI Information Technology Index ETF) are covered in our technology ETF guide.
