Drone technology is emerging as a compelling investment opportunity in 2026, offering exposure to artificial intelligence, robotics, and defense sectors as investors seek diversification beyond traditional AI hyperscalers. Following a breakout year for AI technology in 2025, market analysts are identifying drones as a key 2026 tech investing trend that intersects multiple high-growth industries including aviation, natural resources, and consumer electronics.
The Rex Drones ETF (DRNZ) has gained attention as a vehicle for accessing this multifaceted sector, according to VettaFi Head of Research Todd Rosenbluth. Speaking on BNN Bloomberg, Rosenbluth highlighted the fund’s approach to capturing both defense and commercial drone applications in a single investment vehicle.
Defense and Commercial Applications Drive Drone Investment Interest
According to Rosenbluth, the drones ETF provides investors with exposure to defense investing, which has grown increasingly popular amid the current geopolitical environment. However, he emphasized that drone applications extend far beyond military uses into numerous commercial sectors, creating a broader investment thesis than defense alone.
VettaFi’s thematic rotation index has identified defense as a standout area in recent months based on quality and momentum characteristics. This trend has positioned drone technology at the intersection of several favorable market dynamics, making it an attractive option for investors seeking exposure to multiple themes simultaneously.
DRNZ Performance and Global Approach
The Rex Drones ETF launched in October and tracks the VettaFi Drone Index, charging a 65 basis point management fee. The fund has delivered strong early performance, returning 28.3% over the last three months, according to available data.
The underlying index includes global companies involved in drone production and development, providing geographic diversification beyond U.S. markets. Additionally, the fund holds positions in firms from countries including Australia and Canada, offering investors international exposure to this emerging technology sector.
Integration with AI and Robotics Technologies
Drones stand to benefit from ongoing advances in artificial intelligence guidance systems, improvements in rocketry, and other technological breakthroughs. This convergence of technologies positions the sector as more than just a single-theme investment, instead offering exposure to multiple innovation trends simultaneously.
Meanwhile, the commercial applications for drones continue to expand across industries such as agriculture, infrastructure inspection, delivery services, and environmental monitoring. This diversification of use cases provides multiple pathways for growth beyond defense contracts alone.
2026 Tech Investing Trend Outlook
Market observers suggest that drones could represent a strategic alternative for investors seeking tech upside while diversifying away from concentrated positions in AI hyperscalers. The sector combines exposure to artificial intelligence, robotics, and defense themes in a single investment category.
In contrast to pure-play AI investments that dominated 2025, drone technology offers a more diversified approach to capturing innovation trends. The sector’s multiple applications across commercial and defense markets may provide resilience through different economic conditions.
Investment professionals and financial advisors continue to monitor the drone sector’s development as companies advance their technological capabilities and expand commercial applications. The convergence of AI integration, regulatory developments, and expanding use cases will likely shape the sector’s trajectory throughout the year, though specific timelines for major milestones remain uncertain.