It may still be a rare sight to look at the vehicle next to you and find there's no one behind the wheel, but this may soon be changing. Self-driving cars will be a much more common sight in the near future, motivating forward-looking investors to seek ETF opportunities that provide exposure to this area.

Exchange-Traded Fund (ETF)

An exchange-traded fund, or ETF, allows investors to buy many stocks or bonds at once.

Investors would be incorrect to think that it's only automotive stocks and, specifically, self-driving car stocks that are found in self-driving car ETFs. From companies that produce electric vehicles (EVs) to sensor manufacturers, autonomous vehicle ETFs include a variety of stocks that help drive the development of self-driving vehicle capabilities.

Self driving cars sensors on highway.
Image source: Getty Images.

Semiconductor stocks like Nvidia (NVDA 0.83%) and Qualcomm (QCOM -2.68%) that are closely linked to artificial intelligence (AI) often represent major positions in the best self-driving car ETFs, while EV makers that offer autonomous driving capabilities, such as Tesla (TSLA 2.08%), are also prominently featured in these funds, providing investors with a wide range of exposure to the burgeoning field.

Why invest?

Why invest in self-driving car ETFs?

Some driver assistance technologies, like cruise control, have been around for decades, but the introduction of truly autonomous features came in the early 21st century when tools like automatic parallel-parking assistance -- available in the 2003 Toyota (TM -0.8%) Prius -- started to emerge. Vehicles now demonstrate a wide range of self-driving capabilities, including vehicles made by Aurora Innovation (AUR -0.74%), which commenced operations of its self-driving trucks in May 2025.

Even though there have been notable advancements in autonomous driving capabilities, experts believe that there's still plenty of room for growth. According to business intelligence firm ResearchAndMarkets.com, the autonomous car market was valued at $1.7 trillion in 2024, and it will climb at an 8.6% compound annual growth rate (CAGR) until 2034 when it's expected to reach $3.9 trillion.

Taking into account the projected growth in self-driving cars, the diversification that best self-driving car ETFs present, and the access to leading autonomous driving technology, it's unsurprising that many interested in growth opportunities are showing interest in self-driving car ETFs.

How to invest?

How to invest in self-driving car ETFs

Finding potential self-driving car ETFs is relatively easy, but finding the right fund that aligns best with an individual investor's goals requires a few extra steps. To perform their due diligence, investors should research the various options, paying attention to whether the individual fund's holdings, goals, and expense ratios align with their own interests. Here are the steps to take to invest in a self-driving car ETF:

  1. Open your brokerage app: Log in to your brokerage account, where you manage your investments.
  2. Search for the stock: Enter the stock ticker or company name into the search bar to bring up the stock's trading page.
  3. Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
  4. Select the order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
  5. Submit your order: Confirm the details and submit your buy order.
  6. Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

The best self-driving car ETFs

3 best self-driving car ETFs to invest in 2025

1. iShares Self-Driving EV and Tech ETF

With approximately $150 million in net assets, the iShares Self-Driving EV and Tech ETF (IDRV -0.54%) aims to match the investment results of an index composed of companies that are positioned to benefit from growth in the EV industry, including EV makers as well as businesses specializing in developing battery technologies and autonomous driving solutions.

The iShares Self-Driving EV and Tech ETF had 50 holdings as of May 2025, with a number of foreign EV makers. Chinese companies XPeng (XPEV -7.66%) and BYD (BYDDY -0.92%) -- the largest EV manufacturer -- represented the two largest positions in the fund with weightings of 6.3% and 6.1%, respectively, and Li Auto (NYSE:LI) was the fifth-largest position with a 4.7% weighting.

Making distributions on a semiannual basis, the ETF had a 12-month trailing yield of 2.7% as of the end of March 2025. It has an expense ratio of 0.47% .

From its inception in April 2019 through mid-2025, the iShares Self-Driving EV and Tech ETF had produced a total return of 27%.

2. Global X Autonomous & Electric Vehicles ETF

Attempting to track the investment results of the Solactive Autonomous & Electric Vehicles Index -- an index comprised of EV makers, producers of components found in EVs, companies that produce materials used in the manufacturing of EVs, and other EV-related stocks -- the Global X Autonomous & Electric Vehicles ETF (DRIV -0.45%) has 74 holdings and about $290 million in net assets.

For investors more interested in exposure to the semiconductor and software companies that help to make autonomous driving technology possible, the Global X Autonomous & Electric Vehicles ETF is a smart choice. Microsoft (MSFT 0.45%), Nvidia (NVDA 0.83%), and Qualcomm (QCOM -2.68%) represent three of the top four largest positions in the fund.

Helping to cover the fund's 0.68% total expense ratio, the Global X Autonomous & Electric Vehicles ETF makes distributions on a semiannual basis. As of mid-2025, the fund had a 12-month yield of 2.3%.

Since its 2018 launch, the Global X Autonomous & Electric Vehicles ETF has provided a total return of 54%.

3. ARK Autonomous Technology & Robotics ETF

Those looking for a more measured approach to investing in self-driving cars might consider hitching a ride with the ARK Autonomous Tech & Robotics ETF (ARKQ 0.88%). Led by Cathie Wood, the ETF had net assets of $818 million at the end of the first quarter of 2025. It aims to invest 80% of its assets in companies that specialize in automated technologies. With exposure to a variety of industries, such as smart devices and 3D printing, autonomous mobility (which includes smart cars) represents the largest technology in the ETF -- about 42% at the end of Q1 2025.

Tesla, the largest position, provides the lion's share of exposure with its 11.5% weighting. The ETF typically has between 30 and 50 holdings. Other self-driving car makers in the ETF include Aurora Innovation and BYD.

Investors who bought the ETF when it first launched in 2014 have enjoyed market-beating returns: the ARK Autonomous Tech & Robotics ETF has provided a total return of 294% from its inception through mid-2025, compared to the S&P 500's return of 187%.

The ARK Autonomous Tech & Robotics ETF doesn't presently pay a dividend, and it has an expense ratio of 0.75%.

Related investing topics

Should I invest?

Should I invest in self-driving car ETFs?

The widespread acceptance of self-driving cars certainly won't happen overnight, and there are sure to be some bumps in the road as the industry matures. For investors looking to mitigate the risks associated with investment in individual stocks, a self-driving car ETF is a logical option.

From the concentrated exposure to EV carmakers such as the iShares Self-Driving EV and Tech ETF offers to the more diverse range of self-driving car-related companies held in the Global X Autonomous & Electric Vehicle ETF to the various technologies represented in the ARK Autonomous Technology & Robotics ETF, investors have a range of choices that will sure to meet their individual investment goals.

FAQ

Self-Driving Car ETFs FAQ

Do self-driving car ETFs include only EV companies?

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Self-driving car ETFs often include companies that transcend merely EV companies. From semiconductor stocks to those that are focused on producing EV battery materials, self-driving car ETFs frequently include companies that have a diverse range of businesses.

What should I look for before investing in self-driving car ETFs?

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Before investors rush to invest in a self-driving car ETF, they should pump the brakes and do their due diligence to make sure the funds they are considering match their individual investing goals.

What are the risks associated with investing in self-driving car ETFs?

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Because self-driving cars are still part of a young industry, investors in these ETFs are subject to the risk that the industry doesn't flourish as many believe it will. If this occurs, self-driving car ETFs likely will underperform.

Are there international self-driving car ETFs?

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Self-driving car ETFs frequently include international companies among their holdings. For example, U.S. companies only account for 27% of holdings in the iShares Self-Driving EV and Tech ETF and 49% of the Global X Autonomous & Electric Vehicles ETF.

Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Microsoft, Nvidia, Qualcomm, and Tesla. The Motley Fool recommends BYD Company and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.