Investing in Artificial Intelligence (AI) Stocks Can Be Risky, but Here's a Fantastic Way to Do It

Full Article
Investing in Artificial Intelligence (AI) Stocks Can Be Risky, but Here's a Fantastic Way to Do It

The AI industry is capturing investor attention due to remarkable stock performances, particularly Nvidia, which has seen a 700% increase since early 2023. Despite the potential for AI to revolutionize productivity and economic value, historical trends indicate that not all companies will succeed in this volatile market. Investors should prepare for fluctuations, even among leading firms like Nvidia, which recently experienced a significant stock decline.

Exchange-traded funds (ETFs) present a viable solution for investors looking to navigate the AI landscape without the pressure of selecting individual stocks. The Roundhill Generative AI and Technology ETF, for instance, diversifies across 55 stocks, reducing the risk of catastrophic losses from any single company. With a strong performance since its inception, this ETF could be an attractive option for those wanting exposure to the AI sector while mitigating risks.

• Nvidia stock surged over 700% since the start of 2023.

• Roundhill ETF holds 55 stocks, reducing individual company risk.

• AI could add $7 trillion to the global economy by 2032.

Key AI Terms Mentioned in this Article

Exchange-Traded Fund (ETF)

ETFs allow investors to gain exposure to a diversified portfolio without needing to select individual stocks.

Artificial Intelligence (AI)

AI is central to the growth of technology companies and is expected to drive significant economic value.

Graphics Processing Unit (GPU)

GPUs are crucial for AI development, as they enhance computational power for data processing.

Companies Mentioned in this Article

Nvidia

Nvidia's products are essential for AI development, making it a key player in the industry.

Microsoft

Microsoft is a significant customer of Nvidia, utilizing its GPUs for cloud computing and AI applications.

Get Email Alerts for AI News

By creating an email alert, you agree to AIleap's Terms of Service and Privacy Policy. You can pause or unsubscribe from email alerts at any time.

Latest Articles

Alphabet's AI drug discovery platform Isomorphic Labs raises $600M from Thrive
TechCrunch 6month

Isomorphic Labs, the AI drug discovery platform that was spun out of Google's DeepMind in 2021, has raised external capital for the first time. The $600

AI In Education - Up-level Your Teaching With AI By Cloning Yourself
Forbes 6month

How to level up your teaching with AI. Discover how to use clones and GPTs in your classroom—personalized AI teaching is the future.

Trump's Third Term - How AI Can Help To Overthrow The US Government
Forbes 6month

Trump's Third Term? AI already knows how this can be done. A study shows how OpenAI, Grok, DeepSeek & Google outline ways to dismantle U.S. democracy.

Sam Altman Says OpenAI Will Release an 'Open Weight' AI Model This Summer
Wired 6month

Sam Altman today revealed that OpenAI will release an open weight artificial intelligence model in the coming months. "We are excited to release a powerful new open-weight language model with reasoning in the coming months," Altman wrote on X.

Popular Topics