Betting against "AI".

valiant24

Linton said:

I don’t think the issue is betting for or against AI. Rather that the % allocation to the mag7 given by global index trackers is far too high for safety and is crowding out other options.

I believe that AI, like databases or even the wider internet now, will be of major importance. But  I am not going to “bet” on the current early developers making serious profits from it. There are plenty of other things to also invest in.

Back to my original question then: how would you deviate from a straight global tracker strategy to achieve this?

Linton

valiant24 said:

Linton said:

I don’t think the issue is betting for or against AI. Rather that the % allocation to the mag7 given by global index trackers is far too high for safety and is crowding out other options.

I believe that AI, like databases or even the wider internet now, will be of major importance. But  I am not going to “bet” on the current early developers making serious profits from it. There are plenty of other things to also invest in.

Back to my original question then: how would you deviate from a straight global tracker strategy to achieve this?

Create a diversified portfolio of separate funds each focussed on one particular geography/company size.  For example I use 10 funds which together keep total US allocation to 40% with the largest single underlying share being Apple at 1.5%.