3 Big Tech stocks to profit from AI

These 3 Big Tech stocks are worth investing in as they provide the AI sector’s tools, says Stephen Connolly.

AI Chip
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The US S&P 500 index has gained 18% this year. Many money managers have been caught out. Their defensive focus on rising inflation and interest rates left them blindsided by big gains in Artificial Intelligence (AI) stocks. There’s no question that long-term investors should be exposed to AI in their portfolios. It is no fad and will drive efficiencies and profitability across diverse industries for years to come in ways we cannot yet imagine. 

But should investors buy the types of Big Tech stocks that are capitalising on AI now, but look expensive because they have spearheaded the market’s advance this year? Or should they instead try to identify up-and-coming businesses with a future in the field hitherto overlooked by other investors? 

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Investment columnist

Stephen Connolly is the managing director of consultancy Plain Money. He has worked in investment banking and asset management for over 30 years and writes on business and finance topics.