2 interesting ways to invest in the most futuristic sector

The AI is now in tatters. As a result, more and more investors are looking to take advantage of this trend and invest in one of the most important technologies of this century. But it's difficult to find the perfect candidate - here are at least a few tips.

1) Stocks

Of course - how else but by picking specific stocks should one enter the world of AI investing. It's just that these are very dangerous waters. Probably no one dares to predict which player will bring a revolution and huge appreciation to its investors. Still, there is a relatively reasonable option and choice - incumbent companies that are not directly involved in AI, but are creating the infrastructure for it. Specifically, I'm talking about hardware from, say, $NVDA+0.7% or $INTC+0.8%

Nvidia is an American technology company founded in 1993. It is important to AI for several reasons. Nvidia's chips are the best on the market and form the core of graphics cards for PCs and PlayStation game consoles. Nvidia is the absolute leader in this field and delivers chips that have the best performance for machine learning and 3D content modeling.

Nvidia has developed its own CUDA chip architecture that is optimized for parallel processing and machine learning. Nvidia's chips perform far better than any other solution in neural network training and deep learning. CUDA has become the de facto standard in AI and computer graphics.

Intel supplies the x86 processors that form the core of most servers, PCs and cloud platforms. More than 95% of AI servers run on Intel processors. Without their powerful and reliable chips, it would be impossible to scale AI globally. Intel is investing billions in AI research and their technologies such as Neural Network Processors, Deep Learning Boost, Robotics Platform. These enable more powerful machine learning and deep learning systems that push the boundaries of AI.

2) ETFS

Although A.I. technology has seen its first breakthrough year, there are already a large number of funds and ETFs that allow exposure to the sector, which is a win for investors. But it can be hard to find winners, so it's wise to bet on the broader market and that there will be more winners.

A solid choice is the Global X Robotics and Artificial Intelligence $BOTZ+1.9% ETF, which is up 18% year-to-date and has $1.64 billion in assets under management. Its major positions include Nvidia, Intuitive Surgical, Upstart Holdings, Keyence and ABB.

Another option is BlackRock's multi-sector ETF iShares Robotics and Artificial Intelligence $IRBO+1.1%, which has 118 holdings and manages about $288 million in assets. Since the beginning of the year, the fund is up 15%, significantly outperforming the S&P 500 index. A more broadly diversified option is the ROBO Global Robotics and Automation Index ETF $ROBO+1.2%, which holds 79 stocks, with the top five holdings representing just 9% of the fund's value. Since the beginning of the year, the ETF is up 12%.

The Defiance Machine Learning and Quantum Computing $QTUM+1.4% ETF manages roughly $116 million in assets and counts Nvidia and Alteryx among its top holdings. Year-to-date, its return is roughly 16%.

Of course, all the AI-related funds and stocks are really high right now because there's a lot of interest in them. But I don't think I'm the only one who believes this is just the beginning.

Disclaimer: This is in no way an investment recommendation. This is purely my summary and analysis based on data from the internet and other sources. Investing in the financial markets is risky and everyone should invest based on their own decisions. I am just an amateur sharing my opinions.

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