Wedbush Fund Advisers Launches the Dan IVES Wedbush AI Power & Infrastructure ETF: Exposure to Physical AI Infrastructure

Why It Matters

Rising AI workloads make energy infrastructure a critical growth engine, and the ETF offers a focused way to capture that upside. It also expands Wedbush’s thematic suite, attracting capital seeking exposure beyond pure AI chips.

Key Takeaways

• IVEP listed NYSE Arca, 0.75% expense ratio.
• Targets power generation, grid, equipment, and material firms for AI.
• U.S. companies comprise 77% of the index’s holdings.
• Wedbush projects 470 TWh data‑center electricity use by 2030.

Pulse Analysis

The rapid expansion of artificial‑intelligence workloads is reshaping the electricity landscape. Data‑center power demand in the United States is projected to hit roughly 470 terawatt‑hours by 2030—about a 23% increase over consensus forecasts—driven largely by AI‑intensive computing. This surge creates a sizable revenue tail for generators, grid operators, and firms that improve energy efficiency, making the sector a compelling thematic play for investors looking to benefit from the physical backbone of the AI revolution.

Wedbush’s new AI Power & Infrastructure ETF (IVEP) captures that opportunity through a four‑segment approach: power generation and fuel supply; network and data‑center infrastructure; energy‑equipment and management; and enabling materials and technologies. The fund follows the Solactive Wedbush AI Power & Infrastructure Index, which employs ARTIS® natural‑language‑processing to build a broad universe, then filters by market cap, liquidity, and inclusion in Wedbush’s research note. With a 77% U.S. weighting and a modest 0.75% expense ratio, the ETF offers diversified exposure while remaining concentrated in the regions where AI‑related energy projects are most active.

For investors, I V E P provides a targeted alternative to broader AI equity funds that focus on chips and software. By linking capital to the energy and infrastructure layers that enable AI, the ETF aligns with a longer‑term growth narrative that extends beyond the next hardware cycle. The product also builds on the success of the earlier IVES ETF, which amassed $910 million in assets within a year, suggesting strong appetite for thematic, research‑driven vehicles. As AI adoption accelerates, the fund could attract both institutional and retail flows seeking to hedge against the volatility of pure‑tech exposure while participating in the inevitable rise of AI‑driven energy demand.