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Make a Hack-Proof Portfolio With Cybersecurity ETFs
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As the adoption of AI technology accelerates, the need for cybersecurity becomes increasingly evident, with cybercrime evolving into a global crisis.
As more companies across industries integrate generative AI into their operations, the risk of cyberattacks is rising, leaving businesses increasingly exposed to digital threats. With corporate investments in AI rising continuously, a correlated and inevitable increase in cybersecurity spending is becoming evident.
Whether we’re witnessing an AI bubble or a lasting boom, in the current landscape, increasing cybersecurity spending is vital, as AI becomes increasingly integrated into industries and everyday life.
The cybersecurity space remains promising. It is anticipated to witness a CAGR of 14.4% from 2025 to 2032, reaching a valuation of $562.77 billion in 2032, according to Fortune Business Insights. Investors with a long-term horizon can capitalize on increasing investments in the sector.
The Growing Cost of Cyberattacks
Companies’ deepening dependence on the digital ecosystem has made them more susceptible to cyber risks. Additionally, increased cyber-attacks on crucial sectors, like healthcare, utilities and finance, could have severe consequences for the economy and potentially disrupt the stability of the broader economy.
The record-breaking cyberattack on Jaguar Land Rover (JLR), being the costliest breach in British history, underscores the urgent need to address the rapidly growing cyber threat. The Cyber Monitoring Centre, as quoted on CNBC, is estimated to have cost the U.K. approximately $2.5 billion, reflecting the severe disruption it caused to JLR’s manufacturing operations. Per JLR, it accounts for roughly 4% of all U.K. goods exports, a significant share of the nation’s manufacturing output.
Per the U.K.’s National Cyber Security Centre, as quoted on the abovementioned CNBC article, cybercrime is surging, with the country now facing four “nationally significant” cyberattacks each week, marking a record high and more than double previous levels.
Companies are not only vulnerable to financial losses from cyberattacks but also risk severe reputational damage, especially when customer data security is compromised.
The Rise of Cyberwarfare
Growing geopolitical crises have brought cybersecurity into the spotlight. The increasing use of attacks by hackers underscores the need for more robust cybersecurity measures, especially given the growing reliance on digital infrastructure within defense systems and the shift of global conflict to a new digital front.
According to the Record, in a major move to bolster national defense capabilities, Ukraine’s parliament passed a bill in its first reading to establish a dedicated Cyber Force aimed at countering growing digital threats.
Cybersecurity is becoming a cornerstone of modern defense strategies. According to Future Market Insights, the military cybersecurity market is expected to witness a CAGR of 6.5% from 2025 to 2032, reaching $31.9 billion by 2035.
ETFs to Consider
The need for companies to invest in cybersecurity remains constant, regardless of market conditions. Below, we highlight a few ETFs for investors to tap into the promising sector.
With a one-month average trading volume of about 707,000 shares, CIBR is the most liquid option, offering investors easier entry and exit while minimizing the risk of significant price fluctuations, ideal for active trading strategies.
CIBR has also gathered an asset base of $11.49 billion, having the largest asset base among the other options. Regarding charging annual fees, charging 0.35%, SPAM is the cheapest option and is more suitable for long-term investing.
Performance-wise, CIBR outpaced other funds significantly, gaining 28.49% over the past year, with HACK coming in second, adding 27.12% over the past year.
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Make a Hack-Proof Portfolio With Cybersecurity ETFs
As the adoption of AI technology accelerates, the need for cybersecurity becomes increasingly evident, with cybercrime evolving into a global crisis.
As more companies across industries integrate generative AI into their operations, the risk of cyberattacks is rising, leaving businesses increasingly exposed to digital threats. With corporate investments in AI rising continuously, a correlated and inevitable increase in cybersecurity spending is becoming evident.
Whether we’re witnessing an AI bubble or a lasting boom, in the current landscape, increasing cybersecurity spending is vital, as AI becomes increasingly integrated into industries and everyday life.
The cybersecurity space remains promising. It is anticipated to witness a CAGR of 14.4% from 2025 to 2032, reaching a valuation of $562.77 billion in 2032, according to Fortune Business Insights. Investors with a long-term horizon can capitalize on increasing investments in the sector.
The Growing Cost of Cyberattacks
Companies’ deepening dependence on the digital ecosystem has made them more susceptible to cyber risks. Additionally, increased cyber-attacks on crucial sectors, like healthcare, utilities and finance, could have severe consequences for the economy and potentially disrupt the stability of the broader economy.
The record-breaking cyberattack on Jaguar Land Rover (JLR), being the costliest breach in British history, underscores the urgent need to address the rapidly growing cyber threat. The Cyber Monitoring Centre, as quoted on CNBC, is estimated to have cost the U.K. approximately $2.5 billion, reflecting the severe disruption it caused to JLR’s manufacturing operations. Per JLR, it accounts for roughly 4% of all U.K. goods exports, a significant share of the nation’s manufacturing output.
Per the U.K.’s National Cyber Security Centre, as quoted on the abovementioned CNBC article, cybercrime is surging, with the country now facing four “nationally significant” cyberattacks each week, marking a record high and more than double previous levels.
Companies are not only vulnerable to financial losses from cyberattacks but also risk severe reputational damage, especially when customer data security is compromised.
The Rise of Cyberwarfare
Growing geopolitical crises have brought cybersecurity into the spotlight. The increasing use of attacks by hackers underscores the need for more robust cybersecurity measures, especially given the growing reliance on digital infrastructure within defense systems and the shift of global conflict to a new digital front.
According to the Record, in a major move to bolster national defense capabilities, Ukraine’s parliament passed a bill in its first reading to establish a dedicated Cyber Force aimed at countering growing digital threats.
Cybersecurity is becoming a cornerstone of modern defense strategies. According to Future Market Insights, the military cybersecurity market is expected to witness a CAGR of 6.5% from 2025 to 2032, reaching $31.9 billion by 2035.
ETFs to Consider
The need for companies to invest in cybersecurity remains constant, regardless of market conditions. Below, we highlight a few ETFs for investors to tap into the promising sector.
First Trust NASDAQ Cybersecurity ETF (CIBR - Free Report) , Amplify Cybersecurity ETF (HACK - Free Report) , iShares Cybersecurity & Tech ETF (IHAK - Free Report) , Global X Cybersecurity ETF (BUG - Free Report) , WisdomTree Cybersecurity Fund (WCBR - Free Report) and Themes Cybersecurity ETF (SPAM - Free Report) can be considered.
With a one-month average trading volume of about 707,000 shares, CIBR is the most liquid option, offering investors easier entry and exit while minimizing the risk of significant price fluctuations, ideal for active trading strategies.
CIBR has also gathered an asset base of $11.49 billion, having the largest asset base among the other options. Regarding charging annual fees, charging 0.35%, SPAM is the cheapest option and is more suitable for long-term investing.
Performance-wise, CIBR outpaced other funds significantly, gaining 28.49% over the past year, with HACK coming in second, adding 27.12% over the past year.