WisdomTree, the New York-based ETP sponsor, has launched a physical AI, humanoids and drones Ucits ETF (WPAI).
The ETF seeks to track the price and yield performance, before fees and expenses, of the WisdomTree Physical AI Ucits Index and has a Total Expense Ratio (TER) of 0.45%. WPAI, listed today on Börse Xetra, Borsa Italiana, Euronext Paris, SIX, the Swiss stock exchange and will list on the London Stock Exchange on 19 February 2026.
The proprietary index is designed to track companies advancing the development and commercial adoption of physical AI, which refers to intelligent machines operating autonomously in the physical world.
Physical AI is often referred to as embodied intelligence, describing AI systems that are embedded in physical machines and capable of perceiving, moving and acting autonomously in the real world. The index identifies businesses across five key categories: humanoid robotics, drones and autonomous mobility, next-generation factories (smart manufacturing), next-generation logistics and supply-chain robotics, and emerging applications in sectors such as healthcare, agriculture, construction and defence.
Each category is assigned a thematic score that reflects its importance within the Physical AI ecosystem, with a current emphasis on humanoid robotics, drones, and autonomous mobility. Companies are further evaluated using a Relevancy Score, which measures the significance of their Physical AI activities based on technological capabilities, intellectual property, company disclosures and, where applicable, revenue exposure.
Artificial intelligence is moving beyond the digital world and into physical environments. Advances in AI model efficiency, edge-computing hardware and specialised sensing and perception systems are enabling machines to operate autonomously in factories, warehouses, farms, hospitals, and across airspace. As intelligence shifts to the edge, physical AI is positioned to accelerate productivity, reshape industrial processes and redefine how work is carried out across the global economy.
Pierre Debru, Head of Research, Europe, WisdomTree, said: “Physical AI is not a single industry but a fast-emerging ecosystem where intelligence is being embedded into machines that operate in the real economy.
“From a research standpoint, that creates a challenge for investors because value is spread across multiple layers from hardware and sensors to software and autonomous platforms, and the long-term winners are still evolving.
“Our index construction process is specifically designed for environments like this. We focus on companies with meaningful and commercially relevant exposure to physical AI today, using revenue-based criteria and transparent rules to ensure the ETF captures where economic participation is actually occurring. Just as importantly, the framework is built to evolve through regular rebalance so exposure shifts as adoption scales and the theme matures.
Source: FUND EUROPE
