Artificial intelligence funds I can invest in?


#1

All I hear is that AI and Machine Learning is going to be the next big fad…

Anyone know of AI funds I can invest in?


#2

There are probably only a few ways you can invest in AI…

• Venture Capital

My instinct tells me that venture capital is probably the best bet for investing in AI. The main issue for typical investors is having the cash. There aren’t many crowdsourced venture funds, or funds open for retail investors. If you can’t cough up the cash, you are probably won’t be able to compete.

Venture capital as an industry is structured to pump companies with mountains of dough and then cash in with a mega-IPO. This is in contrast to the corporate America of times gone by, when a company like Walmart could IPO in 1970s at something like $.07 dollar per share.

• AI ETFs

my instinct always tells me to stay away from ETFs. While ETFs are tracker funds, they are far more dangerous instruments than index funds. They are derivatives with complex contracts that I don’t understand and to be honest am afraid of…

Another thing to note with ETFs is that you will be investing in a basket of companies - not one or two. With this in mind, you are very unlikely to fund a lottery ticket ETF it will be focused on many companies, not just the heavy hitters.

• Individual Stocks

This leaves AI focused stocks. There are some pretty monstrous companies investing heavily in AI. Alibaba recently announced a $15 billion investment in AI, machine learning, big data and quantum computing. If you buy a company like Alibaba, don’t expect 15%+ returns each year. Big tech are becoming impossibly large, meaning that even the largest gains are only going to move the dial.

So, to go over what I just wrote:

Venture capital is where the lottery tickets are going to be. If you don’t have $2m+ - forget it. If you can find a crowdsourced fund investing in interesting companies - email me!

ETF - I would stay very clear of all ETFs.

Individual stocks - probably the safest bet, although you are very unlikely to find any big winners…


#3

I agree with almost everything above…

There is no doubt that AI and machine learning is going to be absolutely huge, so if you found the google / facebook of AI if it ever IPO’d that is your best chance of funding a lottery ticket…

Otherwise, you should try saving up to invest in some venture deals…

(although no offence, but that probably won’t happen)


#4

I was actually looking it up myself and found something interest

Polar Capital are creating an automation and robotics fund.

Looks interesting…

PC are famous for creating a tech fund which has returned something like 300% in the last ten years…

Not too bad!