Our world is becoming increasingly digital and interconnected, and the pandemic has accelerated that trend. However, digital transformation has increased the risk of security breaches and threats.

President Biden held a cybersecurity summit with top CEOs at the White House last week and called the issue “the core national security challenge we are facing.” Recent high-profile attacks have highlighted the need to strengthen our cyber defenses and spending on these products and services is likely to go up significantly in the coming years.

Since many companies in this space are newer and riskier, it is preferable to look at cybersecurity ETFs for diversified exposure to this promising but volatile area.

The ETFMG Prime Cyber Security ETF (HACK Quick QuoteHACK - Free Report) tracks a modified equal weighted index of companies providing cyber security solutions. It has an expense ratio of 60 basis points.

The First Trust Nasdaq Cybersecurity ETF (CIBR Quick QuoteCIBR - Free Report) , the largest ETF in the space, follows a modified liquidity weighted methodology. It has the same expense ratio as HACK.

The iShares Cybersecurity And Tech ETF (IHAK Quick QuoteIHAK - Free Report) is one of the cheapest product in the space, with an expense ratio of 0.47%. The Global X Cybersecurity ETF (BUG Quick QuoteBUG - Free Report) charges 50 basis points. It tracks a modified market cap weighted index.

Crowdstrike (CRWD Quick QuoteCRWD - Free Report) , Palo Alto Networks (PANW Quick QuotePANW - Free Report) and Zscaler (ZS Quick QuoteZS - Free Report) are among the top holdings in these ETFs. To learn more, please watch the short video above.

Disclosure: Neena owns shares of IHAK in the ETF Investor Portfolio.