2 ETFs To Own For Q2 The performance of the Nasdaq index in yesterday's session suggests Wall Street is finally coming to terms with a higher rate environment and what they might mean for tech stocks.

The performance of the Nasdaq index in yesterday's session suggests Wall Street is finally coming to terms with a higher rate environment and what they might mean for tech stocks. The 12% drop seen from February into March spooked more than a few investors, but who were concerned at what higher rates might mean to growth stocks. The thinking here is that as rates increase, they not only discount the present value of future earnings but they also make it more expensive to borrow and fund the growth necessary to get there.

But the thing is, interest rates are increasing because inflation is increasing because the overall economic outlook is improving. We've seen the industrial heavy Dow Jones index notch new highs so what higher rates really mean is that the smart money is rotating from growth (tech) and into value (industrial) names.

For those of us with long-term outlooks, these ripples have opened up some interesting entry opportunities in the former while fresh updates from the Biden administration have opened up some in the latter. Here are two ETFs that offer exposure to both sides.

First Trust Dow Jones Internet Index ETF (NYSEARCA: FDN)

Whatever about the more forward-looking tech verticals like space and clean energy, one tech vertical that is here and here to stay is the internet. FDN holds the likes of Amazon (NASDAQ: AMZN), Facebook (NASDAQ: FB), and Netflix (NASDAQ: NFLX) among many other household names so is an ideal ETF for anyone who just wants to be long the internet. And is there anyone out there who wouldn't want to be?

While there was some stunted growth from 2018 through early 2020, it truly came of age with the pandemic that set internet stocks alight. The 130% the FDN tacked on through this past January is a testament to that and the damage seen during the 17% dip since is quickly being undone.

The stock's RSI is moving away from the oversold levels of the lows 30s where it was trading for much of last month and the MACD just had a bullish crossover. Shares up 8% in the past fortnight and look to be well on their way to moving past January's all time high in the coming weeks.

Global X U.S. Infrastructure Development ETF (BATS: PAVE)

Biden's $2 trillion infrastructure plan has raised a few eyebrows since hitting the headlines last week. Of note for investors is the $1.4 trillion of that which has been set aside for direct investment into the likes of transportation, hospital, water, energy, and school infrastructure. For investors who are keen for some broadside exposure to companies in line to benefit from this massive boost, be it by providing the tools, services, or components, PAVE offers an interesting opportunity.

Deere & Company (NYSE: DE), Vulcan Materials (NYSE: VMC) and Parker-Hannifin (NYSE: PH) are some of the more well known stocks in the top ten holdings. John Deere alone is up close to 40% in 2021, mimicking the performance of many tech stocks around this time last year.

Like FDN, PAVE traded largely sideways for the two years prior to the pandemic, but has tacked on an impressive 160% since then with minimum disruption along the way. Indeed it has set multiple all-time highs this year so far while many tech stocks and the Nasdaq were getting their clock cleaned. This much-anticipated infrastructure plan is only going to boost the bull's argument for PAVE's individual components.