Episode Details

AI may be driving the next wave of technology growth—but all of that AI requires something very basic: power.In this episode of Dividend Stockpile, I’m joined by Parag Sanghani, Senior Vice President and Senior Portfolio Manager at Westwood ETFs, to discuss the brand new Westwood Salient Enhanced Power & Infrastructure ETF (PWRX).PWRX is designed to invest in companies positioned to benefit from accelerating power demand driven by AI, manufacturing onshoring, electrification, and next-generation technologies. But unlike a traditional energy ETF, PWRX takes a broader approach across the power and energy ecosystem while also using an options overlay and dividends to pursue income.We discuss:- The investment thesis behind the new PWRX ETF- Why Westwood believes now is the right time to invest in power infrastructure- Why PWRX focuses on the companies powering AI rather than directly investing in AI technology- The growing electricity demand from AI and data centers- AI, onshoring, electrification and next-generation technology as long-term growth drivers- How PWRX provides exposure across the broader energy and power value chain- Fuels, power generation, utilities, grid infrastructure, industrials and renewables- How Westwood's deep energy-investing experience influences the portfolio- Examples of the types of companies PWRX can invest in- How the options overlay works and where options are used in the portfolio- The role of dividends and options premiums in generating potential income- The expected distribution frequency and yield- Where PWRX fits within Westwood's broader ETF lineupThe combination of AI-driven power demand, infrastructure investment and options income makes PWRX an interesting new approach to the growing power and energy opportunity.But as with any thematic investment, investors need to understand the risks, sector concentration, options strategy and potential trade-off between income and capital appreciation.