Should Investors Change Their Artificial Intelligence (AI) Investment Strategy After the DeepSeek Launch?
Artificial intelligence (AI) has been center stage for the past few years and has driven recent gains in the stock market. Eight out of the nine most valuable companies in the world are directly or indirectly investing in AI programs, and these companies also account for a large amount of the S&P 500, which is a weighted index. Although the index has 504 components at the moment, more than 30% is in information technology stocks. Apple, Microsoft, Nvidia (NVDA 3.97%), Amazon, and Meta Platforms are the five largest components.
That means even if you’re completely invested in the S&P 500, with no further diversification, you are well exposed to trends in AI.
Many investors have taken that a step further…
