Quantum computer technology has made great strides in recent years and is becoming increasingly affordable to develop and build. That's good news because the demand for more powerful computing is ballooning with the expansion of cloud computing, the proliferation of digital devices, and the dawn of the artificial intelligence (AI) era.
Quantum computing could emerge as a key technology and investment trend in the decades ahead. But because it's still in its infancy, the best way to invest in the industry could be via a quantum computing ETF.
What is quantum computing?
Quantum computers make use of superposition, which is the phenomenon that occurs at the subatomic scale where particles have no clearly defined state.
Harnessing the power of superposition dramatically accelerates computing speed and can help solve complex problems in the real world, such as coordinating logistics or simulating the structure of pharmaceutical products.
The advent of cloud computing has helped expand access to quantum computers, delivering computational power to researchers via an internet connection.
Quantum Computing
Exchange-Traded Fund (ETF)
Defiance Quantum ETF
NASDAQ: QTUM
Key Data Points
Besides investing in individual companies, there is one notable exchange-traded fund (ETF) dedicated to the quantum computing industry: Defiance Quantum ETF (QTUM +0.51%). Defiance ETFs -- the company that sponsors this and other themed ETFs -- launched in 2018, with its Quantum ETF debuting in September 2018.
The Defiance Quantum ETF had almost $3.2 billion in total net assets under management (AUM) as of late 2025. The fund had a reasonable expense ratio of 0.40%. That works out to $4 in annual fees for every $1,000 invested.
The ETF has almost 80 individual stocks. The fund's holdings are primarily semiconductor and software companies that are working on quantum computing in some form or another. The top 10 holdings in the fund in November 2025 were:
Company | Defiance Quantum ETF % Weighting |
|---|---|
Rigetti Computing (NASDAQ:RGTI) | 3.4% |
Teradyne (NASDAQ:TER) | 2.2% |
Advanced Micro Devices (NASDAQ:AMD) | 2.2% |
Tower Semiconductor (NASDAQ:TSEM) | 2.2% |
Micron Technology (NASDAQ:MU) | 2.1% |
D-Wave Quantum (NYSE:QBTS) | 1.9% |
Ionq (NYSE:IONQ) | 1.9% |
Intel (NASDAQ:INTC) | 1.9% |
Lam Research (NASDAQ:LRCX) | 1.9% |
Mongodb (NASDAQ:MDB) | 1.7% |
Benefits of Defiance Quantum ETF
- It offers well-diversified exposure to the quantum computing industry before it gains widespread commercialization.
- The ETF invests in established semiconductor and software technology companies not solely dependent on the development of quantum computing, which could provide some stability to the fund's performance over time.
- In its short history, the Defiance Quantum ETF delivered a nearly 390% return, although this is attributable to overall growth in the technology sector rather than quantum computing specifically.
Assets Under Management (AUM)
Opportunities for quantum computing investing
While the Defiance Quantum ETF had the market to itself for many years, that changed in late 2025 with the launch of the WisdomTree Quantum Computing Fund. The tiny fund could become an option for investors as it grows its AUM. Additionally, several other ETFs invest in quantum computing along with other emerging technologies.
Meanwhile, there are many other opportunities available for investors wanting to bet on the technology. IonQ was the first publicly traded pure-play stock in quantum technology. Bear in mind, this company is a start-up, though. It generates minimal revenue and currently loses money.
Likewise, the merger between Honeywell Quantum Solutions and Cambridge Quantum Computing -- now known as Quantinuum -- offers another opportunity for investors to get in on the movement early. Honeywell is the majority owner of Quantinuum.
Why should you invest in Defiance Quantum ETF?
For investors looking to passively benefit from the development of quantum computing, the Defiance Quantum ETF is worth considering for the following reasons:
- Diversification: It's well-diversified across dozens of technology stocks.
- Lower risk: The fund won't implode if quantum computing never takes off, since most of these companies rely on tech trends such as artificial intelligence (AI) and machine learning.
- Growth potential: The fund enables investors to participate in the upside potential of quantum computing and other major tech megatrends.
- Affordable: The ETF charges a reasonable 0.4% ETF expense ratio.
If you want in on quantum computing at an early stage, this ETF is a good place to start.
What to look for when choosing a quantum computing ETF
Investors need to evaluate a few factors when choosing a quantum computing ETF, including:
- Investment focus: While only one ETF focuses solely on quantum computing, others invest more broadly in emerging technologies, including quantum computing and AI.
- Fund size: A small ETF is at a higher risk of closing and returning capital to investors.
- Cost: Investors need to consider whether a fund's expense ratio is worth the cost.
Related investing topics
Future outlook for quantum computing and related ETFs
Quantum computing has taken a quantum leap from theory to reality in recent years after several companies made technological breakthroughs. As a result, investment in the sector could soar in the coming years, driving rapid revenue growth for quantum computing companies. According to McKinsey, quantum computing revenue could rise from $4 billion in 2024 to $72 billion by 2035. That rapid rise in revenue could boost quantum computing company stock prices and the related ETFs holding these companies.
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