Don't miss out on the AI craze!
The Investing News Network (INN) spoke with analysts, market watchers and insiders about which trends will move this sector.
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A Sneak Peek At What The Insiders Are Saying
“The bottom line: high performers are already well positioned for sustained AI success, improved efficiency in new AI development, and a resultingly more attractive environment for talent."
— McKinsey Global Institute
"Despite the dogma that AI research would be increasingly centralised among a few large players, the lowered cost of and access to compute has led to state-of-the-art research coming out of much smaller, previously unknown labs."
— Nathan Benaich and Ian Hogarth, State of AI Report
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2023 AI Outlook Report
Table of Contents
AI Market 2023 Year-End Review
AI Market Forecast: Top Trends That Will Affect AI in 2024
AI Stocks: 9 Biggest AI Companies
5 Artificial Intelligence ETFs
AI Market 2023 Year-End Review
Artificial intelligence (AI) has transformed the way people work in recent years, allowing machines to learn from data and perform tasks that previously required human intelligence.
2023 was a banner year for AI, with significant advances in the development of sophisticated language processing systems, generative AI models and edge computing solutions. However, the 12 month period also brought concerns around AI's moral, legal and social implications, leading to important conversations about responsible usage.
What trends moved the AI market last year? Here the Investing News Network (INN) looks at key events, including the rise of generative AI, the rapid sophistication of natural language processing and discussions about AI ethics.
OpenAI's ChatGPT makes generative AI mainstream
While some companies were previously employing AI solutions, these tools took off in earnest in 2023 as more and more industries began incorporating generative AI into their business operations. In correspondence with INN, Naseem Husain, senior vice president and ETF strategist at Horizons ETFs, shared his thoughts.
“The key trend last year was the rise of generative AI, and 2023 will go down as one of the most exciting years for AI yet! With the launch of ChatGPT late in 2022, the true scale of its disruptive potential was more realized across the world in 2023,” he said. “Its success has sparked a wave of generative and chat AI models, from Midjourney to Grok.”
The rapid adoption of AI can largely be attributed to the benefits organizations have experienced from using generative AI models, which can create original output using machine-learning algorithms. These models have allowed businesses to automate various processes, improve decision making and gain deeper insights into their data.
AI also became more accessible and contextual in 2023. Within healthcare, AI is increasingly being used to improve patient care and diagnosis and to develop new drugs. Meanwhile, AI-enabled cybersecurity can help financial institutions detect fraud and offer personalized financial advice. According to a December 2023 survey conducted by the Data Foundation in collaboration with Deloitte, over half of the federal chief data officers polled were already using some form of AI technology, and 95 percent were planning to implement AI solutions within the next year.
Edge computing, which involves processing and analyzing data at the source instead of at a data center, has played a vital role in letting more organizations adopt and implement AI solutions by providing more scalable, efficient and cost-effective ways to deploy AI systems. In August, Meta Platforms (NASDAQ:META) and Qualcomm (NASDAQ:QCOM) partnered to integrate the LLaMA 2 AI model directly into edge devices, reducing latency and dependency on the cloud.
Just a month later, Australia's BrainChip Holdings (ASX:BRN,OTCQX:BCHPY) and VVDN Technologies developed the Edge Box, a hardware platform that can process data and perform computations using neuromorphic technology, which is digital architecture inspired by the action potential of real-life neurons.
Natural language processing takes big strides
In 2023, natural language processing technology continued to evolve at a rapid pace, with many leading tech companies driving innovation through their investments in AI startups and their own research efforts.
According to CBInsights' State of AI Q3’23 report, the average deal size for AI companies increased in 2023 by over a third compared to 2022. 2023 also saw the emergence of new AI unicorns, two of which were generative AI companies that develop large language models: A121 and Imbue topped valuations of US$1 billion in 2023.
Advances in natural language processing technology can largely be attributed to the powerful combination of graphics processing units (GPUs) and machine-learning algorithms, which have been used to build sophisticated language processing systems that can understand and interact with human language in a more “natural” way.
NVIDIA (NASDAQ:NVDA) has been at the forefront of AI innovation, providing powerful GPU solutions that enable researchers and developers to train and deploy language processing models. In May, the company released its DGX GH200 AI Supercomputer, which is powered by its Grace Hopper Superchips and NVLink Switch System.
The DGX GH200 has an impressive amount of memory, 500 times more than NVIDIA’s previous supercomputer, which it released in 2020. This capacity will continue to help researchers develop and enhance various AI applications, and will make the computer much more efficient, accurate and effective at real-time language processing.
At the same time, the China-US chip war has created new challenges and uncertainties for AI companies and investors.
“In 2023, the Biden administration has increased restrictions on semiconductor sales, further upping the ante between the US and China on chips,” Husain said. “This approach could mean that the early lead on AI development might remain firmly with Silicon Valley. However, just like the space race of the 20th century, it could ultimately spur advancements by both sides that could catalyze the broader AI space and opportunity.”
AI ethics conversations increase
Unsurprisingly, 2023 also saw an uptick in discourse around responsible AI, with stakeholders from various sectors engaging in conversations about the ethical, legal and social implications of this rapidly evolving technology.
Husain pointed to the Hollywood writers’ strike as a major development that reflects the growing tension between the pursuit of efficiency through AI and society’s desire to protect the rights and interests of individuals.
“The Hollywood writers’ strike … ultimately resulted in concessions that limit the use of AI in the industry,” he explained to INN. “Especially at a time when we’re seeing businesses look to integrate AI to achieve operational efficiencies, it’s interesting to see society begin to create rules around its use.”
Ethical conversations about the development and use of AI can be split into two camps. On one side, there are generative AI accelerationists, who advocate for rapid innovation and deployment of AI systems even if it means potentially disregarding ethical considerations such as bias, transparency and privacy. On the other side are the generative AI decelerationists, who argue for more caution and increased AI regulation in order to prevent potential harm to society.
In response to these concerns, governments and regulatory bodies around the world have increased their scrutiny of AI technology and how it is applied. In October, the Biden administration issued an executive order for the responsible development of AI, the first of its kind in history. The year also brought the first leader-level summits dedicated specifically to addressing AI safety risks. The Responsible AI Leadership Summit was held in April, and the AI Governance Summit, hosted by the World Economic Forum, took place in November.
Barely a month after the November summit, the EU passed the Artificial Intelligence Act, a comprehensive framework for the development and use of AI in the EU. The act covers a wide range of applications and establishes rules for transparency, accountability and risk management; it intent is to ensure that AI is developed in a way that is safe and ethical, while respecting fundamental human rights such as privacy.
Investor takeaway
2023 was a pivotal year that brought AI to the forefront, with advances in machine learning and natural language processing technologies taking the spotlight. The increased adoption of AI models and edge computing solutions has enabled businesses to automate processes and improve decision making, among other positives.
However, with the benefits of AI come concerns around its ethical, legal and social implications. Discussions about responsible AI and decisions supporting increased regulation of the sector have begun and look set to continue.
Don’t forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
Additional information on investing in artificial intelligence stocks — FREE
AI Market Forecast: 3 Top Trends That Will Affect AI in 2023
Artificial intelligence (AI) is one of the fastest-growing technology sectors. While its reputation may still be married to science fiction concepts and movie plots, AI serves as a core backbone for a wide variety of industries.
In the year ahead, the sky is the limit for this market as a potential recovery in the global economy allows for increased investment.
Here the Investing News Network presents a look at where AI is headed in 2023.
1. Tech market health may improve in 2023
From the biggest names in technology to up-and-coming startups, companies that don't already have AI capabilities are evaluating AI tools or looking at other ways to enter the sector. However, tech investments suffered a colossal downturn in 2022 due to massive global pressures, including interest rate hikes from the US Federal Reserve.
Some experts expect these increases to stop in March, which could switch how the tech market is viewed by investors.
According to Fortune, analysts at CitiBank believe that if the Fed eases up, investors will turn their attention to growth stocks and riskier plays. “The analysts added that sectors with greater potential for high earnings, including health care and technology, will take priority among investors,” the news outlet states.
However, the end of rate hikes doesn’t mean the end of volatility, the CitiBank analysts said. Investors will still have to be cautious in the AI market and the overall tech market.
Speculation also remains about whether the US will enter a recession in 2023 and how that could affect the market.
2. Investment dollars set to flow to large AI players
The gap between the leading AI companies and the up-and-comers widened in 2022, and this trend may be exacerbated in 2023 as the top players continue to garner significant interest. A report prepared by the McKinsey Global Institute indicates that larger companies in the AI space already have a big lead, and will continue to receive heavy investments.
“The bottom line: high performers are already well positioned for sustained AI success, improved efficiency in new AI development, and a resultingly more attractive environment for talent,” the report states.
Michael Chui, a partner at the McKinsey Global Institute, said the most successful AI solutions companies are the ones that have dedicated a significant amount of time and money to their operations instead of trying to quickly gain an advantage.
Chui praised those that have learned from their mistakes and slowly added to their AI operations.
“They not only invest more, but they also invest more wisely, with the goal of creating a veritable AI factory that enables them to incorporate more AI in more areas of the business, first in adjacent ones where some existing capabilities can be repurposed and then into entirely new ones,” he wrote.
3. Safety to gain new importance in AI discussions
While excitement surrounding AI solutions continues to grow, experts want more investors to consider safety measures.
In their latest annual State of AI Report, AI investors Nathan Benaich and Ian Hogarth have included a new "safety" category. In this section, they explore what’s being done to mitigate unchecked AI.
“Safety is gaining awareness among major AI research entities, with an estimated 300 safety researchers working at large AI labs, compared to under 100 in last year's report, and the increased recognition of major AI safety academics is a promising sign when it comes to AI safety becoming a mainstream discipline,” the researchers wrote. “Increased awareness of AI existential risk is leading to increased headcount, with an estimated 300 researchers now working full-time on AI safety."
Benaich and Hogarth are encouraged to see more researchers than ever join the AI safety category. However, the number pales in comparison to the amount of researchers in the broader AI field.
The pressing need for AI safety comes from increased concerns when it comes to “the risks of human-level AI and superhuman (artificial general intelligence) in the near future.”
Investor takeaway
Despite the excitement and limitless potential attached to AI technology solutions, the industry will continue to be at the mercy of tech market trends as volatility continues to reign supreme in the broader markets.
Don’t forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Bryan Mc Govern hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
Additional information on investing in artificial intelligence stocks — FREE
AI Stocks: 9 Biggest Companies
Artificial intelligence (AI) may be an emerging technology, but there are plenty of billion-dollar companies in this space.
As the market has grown over the past few years, AI technology has made strong inroads into several key industries, including logistics, manufacturing, finance, healthcare, customer service and cybersecurity.
While AI-driven advancements in robotics have received the most press in recent years, the latest buzz has centered around OpenAI’s ChatGPT. This intelligent chatbot shows how quickly generative AI is advancing, and has attracted the attention of heavyweight technology companies such as Microsoft (NASDAQ:MSFT), which recently invested US$10 billion in privately held OpenAI. Alphabet (NASDAQ:GOOGL) has also released its own AI chat tool, Google Bard.
On a global scale, Markets and Markets predicts that the AI industry will experience a compound annual growth rate of 36.2 percent between 2022 and 2027 to reach a market value of more than US$407 billion.
Here the Investing News Network profiles some of the biggest AI stocks by market cap on US, Canadian and Australian stock exchanges. Data was gathered on May 30, 2023, using TradingView’s stock screener.
American AI stocks
According to Tracxn Technologies, the number of US AI companies has doubled since 2017.
One of the major factors fueling growth in the American AI market, states GMI Research, is “rising investment in Artificial Intelligence by the government and prominent technocrats in the country.”
Below are three of the top US AI stocks.
1. Advanced Micro Devices (NASDAQ:AMD)
Market cap: US$204.56 billion; share price: US$127.03
Semiconductor company Advanced Micro Devices designs, develops and manufactures high-performance computer processors, graphics and visualization technologies that are used for AI, data centers, business computing solutions and gaming.
According to Bloomberg, Microsoft is rumored to be financially supporting Advanced Micro Devices' expansion of its in-house AI processor division to the tune of at least US$2 billion, although the tech giant has denied the report.
In an earnings call during early May, Advanced Micro Devices CEO Lisa Su stated, “We are very excited about our opportunity in AI — this is our number one strategic priority.”
2. Qualcomm (NASDAQ:QCOM)
Market cap: US$122.93 billion; share price: US$110.35
San Diego-based Qualcomm designs and manufactures semiconductors, software and wireless telecommunications products. The multinational corporation’s product catalog includes processors, modems, RF systems, 5G, 4G and optimized software.
After a decade of AI research and development, Qualcomm's goal is to make AI ubiquitous in everyday life by “inventing, developing, and commercializing power-efficient on-device AI, edge cloud AI, and 5G." The company has developed several AI-based products, including the Qualcomm Snapdragon 765G mobile gaming platform, which combines 5G and AI technologies.
Qualcomm has partnered with Microsoft to bring on-device AI innovations to market, including generative AI running on Snapdragon compute platforms, and tools for developers building applications for Windows 11 PCs powered by Snapdragon.
3. Snowflake (NYSE:SNOW)
Market cap: US$48.75 billion; share price: US$150.01
Cloud-based data warehousing company Snowflake offers customers data storage, processing and analytics capabilities through its data-as-a-service platform. Snowflake's scalable Data Cloud platform supports multi-cloud infrastructure environments, allowing companies to bring data from other platforms together in one space. The platform was also designed to support enterprise AI projects that leverage big data and machine learning (ML).
Snowflake has made several acquisitions in the past few years, including picking up AI companies with complementary technologies. In early 2023, the company announced its intention to acquire Myst AI, an AI-based time series forecasting platform provider. Time series forecasting is used in several fields, including supply chain management and inventory planning. Myst AI’s technology is capable of predicting spikes in energy demand and renewable generating capacity, as well as prices, in an effort to cut energy costs.
Canadian AI stocks
Recognized as a world-leading AI research hub, Canada ranks fourth out of 54 countries in the Global AI Index. Since 2017, the Canadian government has invested hundreds of millions of dollars into accelerating the research and commercialization of AI technology in the country through the Pan-Canadian Artificial Intelligence Strategy.
Below are three of the top Canadian AI stocks.
1. OpenText (TSX:OTEX)
Market cap: C$15.37 billion; share price: C$56.99
Ontario-based OpenText is one of Canada’s largest software companies. The tech firm develops and sells enterprise information management software. Its portfolio includes hundreds of products in the areas of enterprise content management, digital process automation and security, plus AI and analytics tools. OpenText serves small businesses, large enterprises and governments alike.
OpenText's AI & Analytics platform has an open architecture that enables integration with other AI services, including Google Cloud and Azure. It can leverage all types of data, including structured or unstructured data, big data and the internet of things (IoT) to quickly create interactive visuals.
In March, OpenText launched a new version of its AI-powered cloud platform ValueEdge that features "new capabilities that build on the platform's existing functionality, enabling chief technology officers to accelerate speed-to-value eliminating the typical waiting, wasting and wondering in the development process."
2. Descartes Systems Group (TSX:DSG)
Market cap: C$8.9 billion; share price: C$104
Descartes Systems Group provides on-demand software-as-a-service (SaaS) solutions. The multinational technology company specializes in logistics software, supply chain management software and cloud-based services for logistics businesses.
AI and ML enhancements to Descartes’ routing, mobile and telematics suite are helping the company’s customers optimize fleet performance. “AI and ML are perfect extensions to our advanced route optimization and execution capabilities,” said Ken Wood, executive vice president at Descartes. “From dynamic delivery appointment scheduling through planning and real-time route execution, we’ve used AI and ML to improve our ability to deliver the next level of fleet performance for customers.”
3. Kinaxis (TSX:KXS)
Market cap: C$5.26 billion; share price: C$186.60
Kinaxis is a supply chain planning software company that has developed a cloud-based SaaS platform known as RapidResponse. The subscription software is used globally by supply chain operations for multiple industries, including electronics, aerospace, defense, pharmaceutical, automotive and retail.
In May of last year, Kinaxis unveiled its new Planning.AI analytical approach as part of its RapidResponse platform. This enhancement allows for quicker, more accurate responses to market disruptions, the company said.
"Supply chain planners and leaders are often in the tricky situation of having to choose between making an accurate decision or making a fast one," Kinaxis CEO John Sicard noted. "Planning.AI eliminates that struggle by empowering people to make fast and accurate decisions through the use of multiple advanced analytical approaches. This latest breakthrough builds on our revolutionary concurrent planning technique, driving a true step change in supply chain agility and resiliency."
More recently, Kinaxis partnered with leading global supply chain company HAVI to provide machine learning and AI-powered supply chain planning and analytics solutions for the quick service restaurant industry.
Australian AI stocks
AI investment in Australia is expected to reach AU$3.6 billion in 2025, according to research firm IDC. The biggest spenders when it comes to AI in Australia are the banking industry, the federal government, professional services and retail.
Below are three of the top Australian AI stocks.
1. Xero (ASX:XRO)
Market cap: AU$16.7 billion; share price: AU$109.73
New Zealand-based technology company Xero provides cloud-based accounting software for small and medium-sized businesses. The company’s product portfolio also includes the Xero Accounting app, Xero HQ, Xero Ledger, Xero Workpapers and Xero tax tools.
Xero has made a number of AI enhancements to its platform in recent years, including bank reconciliation predictions that save time and reduce errors, and Analytics Plus, a suite of AI-powered planning and forecasting tools.
2. TechnologyOne (ASX:TNE)
Market cap: AU$5.44 billion; share price: AU$16.44
TechnologyOne is another large enterprise technology software firm in Australia. In fact, it is the country’s largest enterprise resource planning SaaS company. TechnologyOne has a client base of over 1,200, including customers in the government, education, health and financial services sectors across Australia, New Zealand and the UK. The company’s research and development center is targeting cloud-based technology, AI and ML.
TechnologyOne recently announced its latest half-year financial results, highlighting that it saw record profits for the 14th year. The company’s SaaS annual recurring revenue was up 40 percent and its after-tax profit was up 24 percent. TechnologyOne attributes the strong results to robust demand for the company’s global SaaS enterprise resource planning solution. During the same period, TechnologyOne increased its large-scale enterprise SaaS customer base by 27 percent.
3. Brainchip Holdings (ASX:BRN)
Market cap: AU$750.49 million; share price: AU$0.45
Global technology company BrainChip Holdings has developed and commercialized a type of edge AI that simulates the functionality of the human neuron. The company's neuromorphic processor, Akida, enables the deployment of edge computing across several applications, including connected cars, consumer electronics and industrial IoT.
In August 2022, the company launched the BrainChip University AI Accelerator Program. "By partnering with BrainChip's AI Accelerator Program, universities are able to ensure that students have the tools and resources needed to encourage development of cutting-edge technologies that will continue to usher in an era of essential AI solutions," BrainChip CEO Sean Hehir stated.
BrainChip partnered with AI-based video analytics solutions provider CVEDIA in May to further develop edge AI and neuromorphic computing. The CVEDIA-RT platform for video analytics will be integrated with BrainChip’s Akida neuromorphic IP. The technology has applications in security and surveillance, transportation, information technology services and retail.
FAQs for AI stocks
Which company is leading the AI race?
Google and Microsoft are battling it out for king of the AI hill. While a study from digital marketing firm Critical Mass shows that consumers believe Alphabet’s Google is leading the AI race, analysts are pointing to Microsoft as the clear frontrunner. Microsoft stands to benefit in a big way from its billions of dollars investment in OpenAI's ChatGPT as advancements in generative AI may have the potential to increase the company's revenues for its Azure cloud computing business.
Which country is doing best in AI?
North America is the global hotspot for advancements in AI technology and is home to the majority of the world’s largest AI providers. Of the countries in this region, Canada’s AI industry is showing the fastest growth, according to a report by Markets and Markets. Swiss-based CRM firm InvestGlass positions the US as the primary hub for AI development, and many of the world’s leading tech giants are headquartered there. According to the firm, China comes in a close second.
What is Elon Musk's AI company?
In March 2023, Elon Musk launched X.AI, a new AI technology company based in Nevada. While not much is known about the company yet, Musk said he is starting it as a "third option" to ChatGPT and Google Bard; its product will be named TruthGPT.
Does Tesla have its own AI?
Tesla (NASDAQ:TSLA) has developed proprietary AI chips and neural network architecture. The company’s autonomous vehicle AI system gathers visual data in real time from eight cameras to produce a 3D output that helps to identify the presence and motion of obstacles, lanes and traffic lights. The AI-driven models also help autonomous vehicles make quick decisions. In addition to developing autonomous vehicles, Tesla is working on bi-pedal robotics.
Don't forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
Additional information on investing in artificial intelligence stocks — FREE
5 Artificial Intelligence ETFs
It might be surprising, but the phrase "artificial intelligence" has been around for over half a century — since 1955, in fact. It was intended to describe a new computer science subdiscipline. But what exactly is artificial intelligence?
In simple terms, artificial intelligence, or AI, means "simulated intelligence in machines." In other words, machines with AI are capable of simulating thinking like people and mimicking their actions. The ideal characteristic of AI is the ability to rationalize.
Of course, that is a very broad definition of AI technology. There are actually at least 18 different applications of AI, which seems to prove that this market isn't going away anytime soon.
Case in point: Research conducted by Markets and Markets suggests the AI industry will be worth over US$407 billion by 2027, increasing at a compound annual growth rate of 36.2 percent between 2022 and 2027. With that much money going into the sector, there is certainly no shortage of ways for investors to add AI investments to their portfolios.
For those who are new to this segment of the technology arena and would prefer to gain exposure to the overall market rather than specific AI stocks, exchange-traded funds (ETFs) are a popular avenue. Here the Investing News Network looks at five AI-focused ETFs listed on ETFdb.com. All details were current as of April 26, 2023.
According to ETFdb.com, these AI ETFs are required to meet one of three criteria:
- Focus on stocks developing new products, services or technological improvements in AI-related research
- Have 25 percent portfolio exposure to companies that spend money on AI research and development expenses
- Choose individual securities to be included in the fund based on their use of AI methods
1. Global X Robotics & Artificial Intelligence Thematic ETF (NASDAQ:BOTZ)
AUM: US$1.172 billion
The Global X Robotics & Artificial Intelligence Thematic ETF offers exposure to firms involved in the global automation and robotics industries. According to ETF.com, the Global X Robotics & Artificial Intelligence Thematic ETF was launched in September 2016 and has holdings in various markets, including technology, healthcare and energy. Eligible companies must earn a significant portion of their revenue from or have a stated business purpose in the fields of robotics or AI.
The ETF currently tracks 45 holdings, including Intuitive Surgical (NASDAQ:ISRG) and NVIDIA (NASDAQ:NVDA).
2. Robo Global Robotics And Automation Index ETF (ARCA:ROBO)
AUM: US$1.348 billion
The Robo Global Robotics and Automation Index ETF, launched in October 2013, was the first robotics and automation ETF to market. As its name suggests, it follows companies involved in those sectors. Robo Global currently tracks 80 companies, and its top two holdings are iRhythm (NASDAQ:IRTC) and Novanta (NASDAQ:NOVT).
3. ARK Autonomous Technology & Robotics ETF (ARCA:ARKQ)
AUM: US$874 million
The ARK Autonomous Technology & Robotics ETF was created in September 2014 and primarily focuses on advancements that enhance productivity and reduce costs in autonomous vehicles, robotics, 3D printing and energy storage technology.
The fund includes companies that may "benefit from the development of new products or services, technological improvements and advancements in scientific research related to, among other things, energy, automation and manufacturing, materials and transportation." This ETF tracks 34 holdings, with two of its biggest being Tesla (NASDAQ:TSLA) and Trimble (NASDAQ:TRMB).
4. IShares Robotics And Artificial Intelligence ETF (ARCA:IRBO)
AUM: US$306 million
The iShares Robotics and Artificial Intelligence ETF is relatively new compared to the others — the fund launched in June 2018. It tracks an index composed of 118 developed and emerging market companies that could benefit from long-term growth in robotics technology and AI. The fund has the lowest expense ratio of the five AI funds on this list at 0.47 percent.
Some of the ETF's top holdings include Meitu (OTC Pink:MEIUF,HKEX:1357) and iQIYI (NASDAQ:IQ).
5. First Trust NASDAQ Artificial Intelligence And Robotics ETF (NASDAQ:ROBT)
AUM: US$235 million
The last AI ETF on this list is the First Trust NASDAQ Artificial Intelligence and Robotics ETF, which like IRBO was launched in 2018. It follows a modified equal-weighted index of all-cap, global companies involved in AI or robotics.
ROBT currently tracks 108 companies, and its top two holdings are AeroEnvironment (NASDAQ:AVAV) and QinetiQ Group (LSE:QQ).
This is an updated version of an article originally published by the Investing News Network in 2017.
Don't forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
Additional information on investing in artificial intelligence stocks — FREE
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