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Should You Invest in the iShares U.S. Digital Infrastructure and Real Estate ETF (IDGT)?

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Designed to provide broad exposure to the Technology - Broad segment of the equity market, the iShares U.S. Digital Infrastructure and Real Estate ETF (IDGT - Free Report) is a passively managed exchange traded fund launched on July 10, 2001.

An increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors.

Additionally, sector ETFs offer convenient ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Technology - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 3, placing it in top 19%.

Index Details

The fund is sponsored by Blackrock. It has amassed assets over $516.29 million, making it one of the average sized ETFs attempting to match the performance of the Technology - Broad segment of the equity market. IDGT seeks to match the performance of the S&P DATA CNTR TOWER REIT & COMM EQUIP ID before fees and expenses.

The S&P Data Centre, Tower REIT and Communications Equipment Index comprises of US-listed companies engaged in the owning, operating, developing, or providing of infrastructure for the storage, processing, transmission and access of digital data and services.

Costs

When considering an ETF's total return, expense ratios are an important factor, and cheaper funds can significantly outperform their more expensive counterparts in the long term if all other factors remain equal.

Annual operating expenses for this ETF are 0.37%, making it one of the cheaper products in the space.

It has a 12-month trailing dividend yield of 0.81%.

Sector Exposure and Top Holdings

ETFs offer a diversified exposure and thus minimize single stock risk but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.

This ETF has heaviest allocation in the Information Technology sector -- about 60.3% of the portfolio. Real Estate and Telecom round out the top three.

Looking at individual holdings, Equinix Reit (EQIX) accounts for about 8.93% of total assets, followed by American Tower Reit (AMT) and Fastly Class A (FSLY).

The top 10 holdings account for about 61.15% of total assets under management.

Performance and Risk

Year-to-date, the iShares U.S. Digital Infrastructure and Real Estate ETF return is roughly 34.67% so far, and was up about 27.04% over the last 12 months (as of 10/29/2026). IDGT has traded between $82.962 and $132.66 in this past 52-week period.

The ETF has a beta of 1.17 and standard deviation of 21.82% for the trailing three-year period. With about 30 holdings, it has more concentrated exposure than peers.

Alternatives

iShares U.S. Digital Infrastructure and Real Estate ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, IDGT is an excellent option for investors seeking exposure to the Technology ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.

State Street Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index and the Vanguard Information Technology Index Fund ETF Shares (VGT) tracks MSCI US Investable Market Information Technology 25/50 Index. State Street Technology Select Sector SPDR ETF has $125.51 billion in assets, Vanguard Information Technology Index Fund ETF Shares has $151.56 billion. XLK has an expense ratio of 0.08%, and VGT charges 0.09%.

Bottom Line

To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.

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