CHAT vs QTUM

CHATCRoundhill Generative AI & Technology ETF

QTUMADefiance Quantum ETF

In short

CHAT A concentrated, actively managed take on generative AI: roughly 50 global names chosen by a manager rather than a rules-based index. Roundhill launched it in 2023, when 'generative AI' was still a novelty in fund names.

QTUM Live since 2018, QTUM turns the quantum-computing story into a plain index fund: about 90 global names spanning quantum hardware and machine learning, for 0.40% a year.

Stated mandate

CHAT The Fund seeks long-term capital appreciation through an actively managed portfolio of global exchange-listed equity companies involved in artificial intelligence, particularly generative AI and related technologies.

QTUM The Fund seeks to track, before fees and expenses, the total return of the BlueStar® Quantum Computing and Machine Learning Index. It uses a passive indexing approach.

Why people hold it

• CHAT Actively managed and global (emerging markets included), so the manager can add or drop AI names as the story shifts instead of waiting on an index rebalance.roundhillinvestments.com
• Concentrated by design at roughly 50 holdings, so each pick carries real weight rather than getting diluted across hundreds of tag-along tech stocks.
• A multi-billion-dollar fund that trades actively, so buying or selling rarely means hunting for a counterparty.
• Portfolio build and staying power land it in the upper half of a crowded AI-fund peer group.

• QTUM 0.40% a year against a 0.68% median for its AI-theme cohort, and it undercuts peers like WTAI (0.45%) and ALAI (0.55%).
• Rules-based by design: it tracks the BlueStar Quantum Computing and Machine Learning Index, so no manager is hand-picking which quantum story wins.
• About 90 holdings across global markets, so the theme rides on a basket instead of two or three pure plays.
• Size and liquidity back it up: a multi-billion-dollar fund that trades actively, and one of the stronger implementations in its thematic peer group.

Worth knowing

• CHAT The 0.75% expense ratio sits above the typical AI-fund fee; index-tracking rivals like XAIX and ARTY charge less for a similar theme.
• No index to check the work against. Results ride on the manager's stock picks, not a published rulebook.
• Fifty names in one fast-moving theme means concentration cuts both directions, and distributions are a once-a-year afterthought here.

• QTUM Risk is the softest part of the profile. One narrow, early-stage theme in a single asset class means sharper swings than a broad-market fund.
• The index covers machine learning as well as quantum, so part of the basket is familiar AI exposure rather than quantum specialists.
• Distributions come quarterly, but a growth theme like this is not built around income.

Full CHAT profile⁠

Full QTUM profile⁠