Riding the Software Dip: IGV ETF as the Smart Play for 2026

The software sector has lagged as AI pressures the enterprise SaaS model, but buying the dip through BlackRock’s iShares Expanded Tech Software Sector ETF (IGV) offers a practical way to gain broad software exposure without picking individual stocks. IGV is less top-heavy than a megacap tech fund and includes holdings like Microsoft, Palantir, and Oracle, with the software-focused ETF down about 12.9% over the past three months, suggesting a potential industry-wide recovery ahead despite ongoing AI disruption—and an ETF wrapper can help diversify risk during this uncertainty.