Investing Ideas

Accessing the breadth of AI-related investments

Why investing in both public and private artificial intelligence companies may offer advantages.

Key Takeaways
  • Artificial intelligence (AI) has become a component of equity market returns and a potential source of economic productivity gains that could benefit several industries other than technology.
  • That said, the speed of adoption remains an unknown partly due to regulatory concerns, which means any broad contributions to overall economic productivity could be years away.
  • The large, publicly traded companies that are developing AI technologies represent just a portion of the total number of investment opportunities related to AI.
  • Investors in AI can benefit from private equity, which typically involves acquiring a stake in companies with high growth potential that are not traded on public exchanges.
  • Fund managers with access to both public and private AI companies can evaluate the full competitive landscape, including infrastructure, foundation model, and application companies.
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Accessing the breadth of ai-related investments