Internet Giants ETF Cuts Meta and Alphabet in Rebalance

Key Takeaways

OGIG capped Meta and Alphabet at 6%, down from 7.37% and 7.25% respectively.
The fund added Synopsys and Constellation Software while dropping nine holdings including The Trade Desk.
Oracle and Tencent saw the largest weight increases at 0.91 and 1.03 percentage points.

The ALPS O’Shares Global Internet Giants ETF (OGIG) reduced its exposure to Meta Platforms Inc. (META) and Alphabet Inc. (GOOGL) during its March rebalancing, capping both positions at 6% as the fund shifted toward enterprise software infrastructure and undervalued internet platforms.

The rebalance trimmed Meta from 7.37% to 6% and Alphabet from 7.25% to 6%, according to ETF Database. The move echoes themes from Morningstar’s 2026 Global Outlook, which urged investors to reduce dependence on the Magnificent Seven and take advantage of more attractive valuations elsewhere in technology.

OGIG tracks the O’Shares Global Internet Giants Index, a rules-based index that screens for quality and growth characteristics in internet technology and e-commerce segments. Companies must derive at least 50% of revenue from internet technology or e-commerce and pass screens for gross margin and cash burn sustainability, according to the factsheet. The fund charges a 0.48% expense ratio.

The March rebalancing involved 62 ticker changes, with the fund adding Synopsys Inc. (SNPS) at 1.29%, Constellation Software Inc. (CSU) at 1.23%, and Recruit Holdings Co. (6098:TKS) at 0.37%, according to the data. The fund removed nine holdings including The Trade Desk Inc. (TTD), Duolingo Inc. (DUOL), Guidewire Software Inc. (GWRE), Nutanix Inc. (NTNX), CoStar Group Inc. (CSGP), HubSpot Inc. (HUBS), Pinterest Inc. (PINS), Zillow Group Inc. (Z), and JD.com Inc. (JD).

Software and Platform Rotation

Oracle Corp. (ORCL) saw the second-largest weight increase at 0.91 percentage points to 4.25%, while Tencent Holdings (700:HKG) posted the largest gain at 1.03 percentage points to 3.04%. The rebalance also boosted positions in AppLovin Corp. (APP), Naspers Limited (NPN), Reddit Inc. (RDDT), and Fair Isaac Corp. (FICO).

Morningstar’s outlook noted that concentration in mega-cap stocks creates less diversification than broad benchmarks appear to offer, with portfolios exposed to only a few business models and sectors. The firm recommended investors embrace opportunities to reduce Magnificent Seven dependence and favor stocks with more attractive valuations.

Beyond Meta and Alphabet, the OGIG rebalance trimmed Palo Alto Networks Inc. (PANW) by 0.87 percentage points to 1.79%, Netflix Inc. (NFLX) by 0.67 percentage points to 1.76%, and Uber Technologies Inc. (UBER) by 0.52 percentage points to 1.19%. Microsoft Corp. (MSFT) saw a minor reduction to 6.00%, while Amazon.com Inc. (AMZN) posted a small increase to 6.00%.

The fund’s top holdings after the rebalance include Meta Platforms Inc., Alphabet Inc., Microsoft Corp., Amazon.com Inc., Palantir Technologies Inc. (PLTR), and Oracle Corp.

OGIG March 2026 Rebalance Highlights

Source: ETF Database

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VettaFi LLC (“VettaFi”) is the index provider for OGIG, for which it receives an index licensing fee. However, OGIG is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of OGIG.

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