Silicon Valley is still debating the impact of emerging technologies on the future of humankind, and Wall Street is already embracing the new economy. A fund focused on investing in robotics and artificial intelligence technology companies has tripled this year.
Since the beginning of this year, ETF Global Robotics and Artificial Intelligence ETF (code: BOTZ) traded by Nasdaq, a fund company of Global X Funds, has increased by about 30%, and the 100-year-old Dow Jones Industrial Average has only increased by more than 9%, and the S & P 500 The increase was close to 11%, and the Nasdaq rose nearly 20%.
BOTZ was established in September 2016. According to Global X Funds, the ETF seeks to invest in companies that may benefit from increased use of robotics and artificial intelligence (AI) technology, including industrial and non-industrial robotics, automation, autonomous vehicles and other related companies.
Many of the companies that BOTZ invests in are not US-based companies. Of the 29 stocks it tracks, Japanese companies account for almost half, followed by US and Swiss companies. ROBO Global, the asset management company that compiled the world's first robotics and automation index, does not have an ETF investment target located in the United States.
Jack Ablin, chief investment officer of BMO Private Banking under the Bank of Montreal in Canada, believes that BOTZ is between technology and international risk exposure, and is undoubtedly the perfect combination in terms of theme.
William Studebaker, president and chief investment officer of ROBO Global, compares emerging technologies such as AI with technology leading stocks that have led the U.S. stock market soaring this year-FANG (Facebook, Amazon, Netflix, and Google parent company Alphabet's stock code acronym). .
Studebaker told CNBC that robotics, automation, and AI (RAAI for short) are indeed the next FANG transaction. The four FANG companies are actually changing their businesses and investing in AI-related companies.
Studebaker said that many of the company's heavy warehouse investments have either not followed Wall Street generally, or they haven't followed up enough. This is an evolving industry and it will explode.
According to public information, BOTZ's main positions include product manufacturers such as Intuitive Surgical, a US manufacturer of surgical robotic systems with a target price of $ 1,000, Goldman Sachs in May this year, US graphics processor manufacturer Nvidia, Japan's Mitsubishi Electric and industrial automation sensors Keynes.
Robo Global's main positions include Swiss automation technology company Abb, Chinese automation technology company and Lease, and American healthcare equipment manufacturer Accuray.