Charles Stanley ’s Post

Tech is back, but AI's reach extends far beyond the usual tech giants. Natixis Investment Managers. After a tough run in 2022, technology returned to form in 2023 to emerge as the best performing sector. At the same time, AI emerged as the hot new theme. 🔗 Read the full article on Investment IQ: https://lnkd.in/enfZJsm9 #financialadviser #investment #investmentmanagement #finance

Tech is back, but AI's reach extends far beyond the usual tech giants. Natixis Investment Managers. After a tough run in 2022, technology returned to form in 2023 to emerge as the best performing sector. At the same time, AI emerged as the hot new theme. 🔗 Read the full article on Investment IQ: https://lnkd.in/enfZJsm9 #financialadviser #investment #investmentmanagement #finance

🫧 Doubts about the possibility of a bubble around the great innovation of #ArtificialIntelligence is a recurring question among investors these days, given the performance of the sector. However, we believe this is not a #bubble as the strong performance of the sector is driven by the Magnificent 7, not a broad bid for tech.

The recent market downturn has left tech giants struggling while smaller companies surge ahead. In his latest blog article, Steve Tuttle examines whether this is a temporary blip or a sign of a broader trend. Explore how this could impact your portfolio: https://lnkd.in/ePDH7Dk8 Need help navigating these market shifts? Connect with a Signet advisor today. #MarketTrends #InvestmentStrategy #AIInvesting

The global AI market is projected to reach $2tn by 2030 🔺What does this theme mean for investors? “We are in a golden age of innovation” - Alex Tedder Alex in his statement was referring to: ▪️An extension of the internet - ‘another revolution’ ▪️New technologies (LLM and semiconductor dev) ▪️The general need for all businesses, in all industries to spend on R&D, adopt and implement new technologies effectively, or risk being left behind. And with a lot of hype around AI, it’s important that investors focus on 1️⃣ ‘INNOVATION DOLLARS’ ▪️ Solving a problem which improves processes or … ▪️ Creating a product demanded by customers “Price is what you pay, value is what you get” - Alex Tedder Valuations / Prices might look extended through this period of a concentrated rally but focusing on ‘value’ and ‘innovation dollars’ should help with medium to long term returns and dampening the potential downside impact of investing during ‘hype’. 🔺 Other important factors for investors: 2️⃣ ‘BIGGER COMPANIES’ As they have better first mover advantage with proprietary data, large capital spending budgets, high quality engineering talent, cloud computing infrastructure and large user bases to sell to (which is very different to other technological cycles but never write off small-cap innovators also). 3️⃣ ‘NOT JUST THE TECH INDUSTRY’ Different to other revolutions, AI in its purest form is an ‘additive’ technology which should allow for all forms of businesses to begin to benefit if adopted in the right way. Think booking your travel, submitting your expenses, maintaining medical data and hopefully at some point, writing my LinkedIn posts ! Food, Healthcare and Banking are all areas of interest. Overall the potential for this technology is far beyond what as investors we can comprehend. That for me makes the investment piece simpler though. As an investor focus on what we know now and the companies which are either doing it well or have the capabilities to do it well in the medium term. 1️⃣ Innovation dollar 2️⃣ Bigger companies 3️⃣ Not just technology Ps. Stay tuned for a ‘Moore’s Law AI fact on Friday’ ——————————————— If you’ve read this far, did you get value from this post? If so, I post regularly on #Investment, #Economics & #Markets, so please follow & connect 🔔

Over the last year or two, the US stock market has been driven by the 'Magnificent Seven'—a group of companies that now account for nearly 30% of the S&P 500’s total market cap, which is nearing $50 trillion. These tech giants, including Apple, Microsoft, and Nvidia, are at the forefront of AI innovation, driving much of the conversation around this transformative technology. However, AI’s impact goes far beyond just these companies. Industries like financial services, with leaders such as Visa and JPMorgan Chase, and healthcare giants like Eli Lilly and UnitedHealth, are harnessing AI to enhance decision-making, streamline operations, and push the boundaries of what’s possible. AI is revolutionizing business across sectors, from optimizing supply chains to opening new research frontiers.   This is an exciting time—not only for big tech but for all industries looking to innovate. As AI becomes a core part of strategy, companies that embrace it will unlock new opportunities and drive the next wave of growth. #investments #globalinvestments #wealth Source: Voronoi by Visual Capitalist

Let’s not over complicate how to invest in financial markets when you consider how well received AI has been and the efficiency savings in big tech firms. There’s more to it than that including the massive potential of AI and the compound earnings ability of tech stocks. If you’re in, you’re in.

Artificial Intelligence: European companies invest 50 times less than the USA and China. Which reforms can change that? #Europe #Tech #War See our article published by the Financial Times with Yann Coatanlem:

The AI tech industry is experiencing a boom in investment, but there's a concern about a potential bubble. While major tech companies (like Nvidia, Apple, Meta, Microsoft, and Alphabet) are pouring money into AI research and development, it might take time for this new capacity to translate into practical applications. There is a need for patience from investors and a focus on realising the true potential of AI. #AIBubble #ArtificialIntelligence #TechInvestment #FutureofTechnology #FutureofAI #AIforBusiness #GrowthConcerns #EmergingTech #Investors #Patience

Signs that equity investors are getting cold feet over the rapid advances in AI leaders have put a spotlight on some less obvious beneficiaries of the tech boom. Here’s a look at the prospects for various sectors.