The Global X Data Center & Digital Infrastructure ETF (NASDAQ:DTCR) has become the cleanest way to own the picks-and-shovels of the AI boom, and the numbers show it.
Global X Data Center & Digital Infrastructure ETF earns a buy rating, blending real estate stability with growth from diversified technology sectors. DTCR's top holdings—Digital Realty, American Tower, and Equinix—offer both AI-driven and non-AI revenue streams, supporting resilience and long-term growth. DTCR outperforms peers and the broader market, with a 3-year annualized return of 32.52% and attractive valuation metrics versus comparable REIT and tech ETFs.
Global X Data Center & Digital Infrastructure ETF (DTCR) remains a buy, despite a recent 20% correction and volatile AI sentiment. DTCR's portfolio blends high-growth AI/data center equities with meaningful Real Estate exposure, offering both upside and defensive diversification. The ETF trades at a premium 26x P/E, but a robust 12.66% long-term EPS growth rate keeps the PEG ratio reasonable.
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This investment fund primarily focuses on allocating its assets to securities associated with the data center, cellular tower, and digital infrastructure sectors. A significant portion of its investment, at least 80% of the total assets along with any borrowings made for investment purposes, is dedicated to securities indexed in the Solactive Data Center REITs & Digital Infrastructure Index. Additionally, it invests in American Depository Receipts (ADRs) and Global Depository Receipts (GDRs) which are based on the securities in the index. Operating with a non-diversified investment approach, the fund seeks to capitalize on the growth and development within the digital infrastructure sphere, including areas pivotal to the operation and expansion of digital services such as data centers and cellular towers, alongside the hardware that underpins these digital infrastructures.
The fund provides a focused investment platform through its primary products and services:
This product centers on investing at least 80% of the fund's total assets in the securities of the Solactive Data Center REITs & Digital Infrastructure Index. This index is specifically designed to track the performance of companies engaged in the development, operation, and management of data centers, cellular towers, and related digital infrastructure, aiming to offer investors exposure to the burgeoning sector of digital realty and infrastructure.
In addition to direct investments into the index securities, the fund extends its portfolio by investing in American Depository Receipts (ADRs) and Global Depository Receipts (GDRs). These instruments are based on the securities in the index, enabling the fund to gain exposure to the international market elements of digital infrastructure and realty space, further diversifying its investment approach, albeit within a focused sector.