We Analyzed 40 AI ETFs. Here's What We Found.

Want to invest in AI, but can't decide on which AI stocks to buy? We get it. That's why so many people are looking for an AI ETF to invest in instead. But, which AI ETF is the best? We can help with that.

We start with a list of 40 AI ETFs from VettaFi and remove those that are simply broad sector ETFs. We also weed out any of the ETFs that have too little assets under management, or a lack of conviction measured by a lack of concentration. In the end, we found 5 AI ETFs we like best. Watch the video and find out which ones.

RESEARCH PIECES USED IN THIS VIDEO:
1. 5 ETFs and Funds Using AI for Stock Selection
2. Reviewing Two Autonomous & Electric Vehicle ETFs
3. ARK's Top Stocks

CHAPTERS:
00:00 Intro
00:34 Universe of AI ETFs
03:11 Narrowing it down
04:53 iShares Exponential Technology ETF
05:17 Updated list
07:24 Kensho New Economies ETF
08:43 The three OGs
09:51 The top 7
10:30 Next steps

ABOUT US:
This video is brought to you by Nanalyze, a media and research firm founded by finance professionals with decades of experience. We share insights about #DisruptiveTechnology #stocks in a language that is future-proof and easy to understand.

DISCLAIMER: Our content is intended to be used and must be used for informational purposes only. It is very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, along with independently researching and verifying, any information contained within our YouTube videos or on our website, whether for the purpose of making an investment or otherwise.

#aistocks
#artificialintelligence
#etfs
#etfstobuy

[MrMentalpuppy]

Great video! But that Joe guy is kind of a memer. 😂

[MrMentalpuppy]

I think the best option is look for overlap, diversify sufficiently and create a pie on M1, no fees.
I also think these AI etfs don't grasp the whole picture. Feels like if the AI narrative pans out, there will be productivity gains across sectors. I am curious about this part. Who are the secret beneficiaries of AI. Is it the tech companies, that can reduce their workforce? The customer service platforms? Potential robotic plays like caterpillar? Or maybe even food plays due to automation improvements. It feels really difficult to extrapolate the winners, but it does feel certain areas are being overlooked despite how AI and Robotics might reduce costs.

[LegaliseFinland]

I always had the notion that dispersion is a good attribute for a fund, but you probably know more than I do.

[shefudgrupa]

Nice video and analysis. However, isn't a mix of SMH+XLK (SOXX + VGT, let's say in a 40%+60%) broad enough and at the same time specific enough to capture the first and second wave of AI development and apps? This would also match the low fees and focus.

[erandeser]

The expense ratio is the single biggest predictor of a funds performance ? Performance after expenses ? Where are the data ?

[George-fh]

I find it alarming that only 35% of 4th graders in the U.S. are reading at or above grade level, and 64% of 8th graders are reading below grade level. These numbers are troubling not only for its negative impact on children's self-confidence but also on building an educated workforce that can compete globally. Unless children develop a solid foundation in phonics (ability to match sounds with letters or groups of letters) at an early age (Kinder to 3rd grade), they will increasingly struggle with reading as they move up in grades as vocabularies become more complex (made up of multiple syllables). This does not even account for understanding the meaning of words, only how to decode them. Students often find themselves skipping/guessing words, or they give up trying altogether.

This is an area in which AI can be a game changer in making individualized learning possible. States spend almost 2 billion dollars each year on different standardized test prep, but they are flawed for two reasons. First, standardized reading tests mainly test for reading comprehension, but they don't pinpoint a student's weakness in decoding. For now, this kind of assessment requires a human tester to listen to a student try to sound out a word and record errors. Second, the data collected are not currently used to design a tailored remedial program that teachers can readily implement and track student progress. Even though Teachers try their best, they neither have the time to create individualized programs nor have time during class to practice one-on-one with every student. 

One of the problems with our current education system is that teachers are forced to teach to the middle for the sake of survival. The unintended consequence is that lessons become too easy for the high-skilled students (they become too bored) and too hard for low-skilled students (they become frustrated). As a result, both groups tune out. I am hopeful that AI will finally be able to help chip away the problem of illiteracy in the U.S. where over 20% of adults or about 70 million people cannot read.

[dimitrikorsakov]

Why would you want the managers to make picks rather than just invest broadly across the sector? We know index funds beat stock picking.

[advancedbodydesign]

Could have used this update 18 months ago