NIO (NIO) stock jumped over 70% in 2025 due to strong deliveries, a $1 billion capital raise, and buzz around its new ES8 SUV and budget-friendly brands Onvo and Firefly. Despite ongoing profitability issues and stiff competition in China’s EV market, NIO’s battery-swapping tech and expansion into Europe continue to attract investor interest. Thus, this may present a buying opportunity, especially through ETFs that offer diversified exposure to NIO without the risk of holding the stock directly.
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Investors seeking exposure to NIO stock may consider the Invesco Golden Dragon China ETF (PGJ) and VanEck Low Carbon Energy ETF (SMOG). Let’s take a deeper look at these two ETFs.
Invesco Golden Dragon China ETF
The PGJ ETF offers exposure to U.S.-listed Chinese companies, making it a popular choice for investors looking to tap into China’s growth story without investing in mainland markets directly. It tracks the NASDAQ Golden Dragon China Index.
NIO stock constitutes 4.58% of the ETF’s holdings. Apart from NIO, some of the top stocks in the PGJ ETF are Baidu (BIDU), JD.com (JD), and Alibaba (BABA). Overall, the ETF has $162.99 million in assets under management (AUM). Also, it has an expense ratio of 0.7%. The PGJ ETF has returned 16.2% in the past three months.
Turning to Wall Street, the ETF has a Moderate Buy consensus rating. Of the 75 stocks held, 47 have Buy ratings, 27 have Hold ratings, and one has a Sell rating. At $36.58, the average PGJ ETF price target implies an 11.4% upside potential.
VanEck Low Carbon Energy ETF
The SMOG ETF provides exposure to firms driving the global shift toward renewable energy and low-carbon technologies. It tracks the MVIS Global Low Carbon Energy Index, which includes firms involved in solar, wind, hydro, hydrogen, biofuels, EVs, battery tech, and smart grid infrastructure.
Importantly, NIO accounts for 2.8% of SMOG’s total holdings. Some of the top holdings in the SMOG ETF include NextEra Energy (NEE), Tesla (TSLA), and First Solar (FSLR). Overall, the ETF has $125.86 million in AUM and an expense ratio of 0.61%. Over the past three months, the SMOG ETF has generated a return of 14.09%.
On TipRanks, SMOG ETF has a Moderate Buy consensus rating based on 35 Buys, 25 Holds, and one Sell assigned in the last three months. At $134.19, the average SMOG ETF price target implies 7.17% upside potential.
Concluding Thoughts
ETFs provide indirect exposure to NIO, reducing risk compared to investing directly in the stock. Furthermore, ETFs are a liquid and transparent way to participate in the market. Investors seeking ETF recommendations might consider SMOG and PGJ, as these ETFs offer exposure to NIO stock.