Semiconductor giant Nvidia faces competition from Alphabet’s $900 billion project focused on tensor processing unit chips. OpenAI’s partnership with Advanced Micro Devices threatens Nvidia’s 90% market share in graphics processing units, although some analysts believe Nvidia’s position is secure. Record-breaking AI infrastructure spending is projected to reach $452.7 billion this year, surpassing the energy sector’s capital expenditures. Amazon’s capital expenditures now exceed America’s entire energy sector combined. The VanEck Semiconductor ETF offers exposure to AI leaders, with impressive returns averaging 46.83% annually over three years. The fund is diversified, has a modest expense ratio of 0.35%, and provides a solution to overvaluation concerns in the AI sector. The Motley Fool Stock Advisor team has identified the top 10 stocks for investors to buy, but the VanEck Semiconductor ETF is not included. Stock Advisor has a total average return of 974%, outperforming the S&P 500.

Read more at Yahoo Finance: Is This Fund the Ultimate Buy and Hold Investment for the Age of AI?