From Nasdaq: 2024-05-07 08:00:22

Is the economy facing an AI bubble with legal challenges and regulatory hurdles hindering profitability for most AI firms? Investors may need to reconsider their AI ETF options, choosing between firms benefitting broadly from AI or those at the forefront of AI development. ETFs like WTAI and WISE offer unique approaches to navigate the AI landscape.

WTAI tracks an equally weighted index of global stocks focused on AI and innovation, screening for ESG aspects and diversifying exposure to mega-cap tech firms. With a 45 bps fee, WTAI has returned 19% over one year and provides a balanced approach to AI investing. On the other hand, WISE complements big tech names with semiconductor firms generating revenue from AI, data, or natural language processing.

WISE tracks the Solactive Generative Artificial Intelligence Index and emphasizes firms involved in AI technology. With a focus on diversification and unique stock selection criteria, WISE aims to provide returns while managing the risks associated with the AI bubble. Each ETF offers a different perspective on AI and may serve as a sound investment strategy amidst uncertainties in the AI market.



Read more at Nasdaq: An AI Bubble? Know Which AI ETFs Stand Out