Opinions
Stan Wong
Global X Artificial Intelligence & Technology ETF
AIQ-Q
PARTIAL BUY
Nov 07, 2024
Stock price when the opinion was issued
You might be interested:
A new ETF. When he approaches AI, it's like autonomous driving. He can either pick the OEM, or go after the picks and shovels. It's all about data. We now have tremendous amounts of data, and AI is applying machine learning and deep learning into that to make interpretations. The big thing about AI these days is that there's enough data and power processing, you can put in a number of words and AI will predict the next words. They can do this because there's so much more data and the processing is so much faster. The ETF is the chicken way out. Instead, go after the picks and shovels: the data aggregators like DDOG, power processing like NVDA, or the network side like AVGO or CSCO.
70% in US. Some of top names: NOW, BABA, ORCL, CSCO. A bit different from your normal AI ETFs. Tech names in general are a bit expensive at this stage of the cycle. Trades at almost 4x price to sales, and almost 41x PE. He'd rather be selective in the space. Still, a small portion can make sense.
MER is ~68 bps. Seems to be equal weight, rather than market-cap weighted.