- Tejas Dessai said AI is still in its early stages and has long-term investment prospects.
- Mr. Dessai is the Chief AI Researcher at Global X. The company’s AI ETF is up 38% this year.
- Dessai favors AI stocks such as Nvidia, Meta, Alphabet, Salesforce and ServiceNow.
While excitement is already building around artificial intelligence, Tejas Desai said investment opportunities in the space are still plentiful and in its early stages.
According to Desai, chief AI research analyst at ETF issuer GlobalX, the adoption of AI across the economy is a slow process, likely taking the next decade.
He also said that investors are starting to understand the breadth of AI-related investments, and opportunities will come in the form of AI developers, data providers, cloud application distributors and AI as a service.
“I think it’s going to be a very long development cycle, and there will be a wide range of opportunities for innovation here,” he told Insider.
Dessai believes the new technology will be different from previous AI for several reasons.
First, the model is very sophisticated and can be applied to real-world problems. Second, innovation is happening faster than it used to be. There is also a rapid increase in user numbers, reaching his 1 million users faster than any other application ever. And developers are embracing this technology, too.
“We strongly believe this is a paradigm shift in our ability to understand and process large amounts of information and apply it in practice to drive business outcomes,” he said.
Desai’s research helps us understand the holdings of the Global X Artificial Intelligence & Technology ETF (AIQ), which is up 38.6% this year.
Given the long-term outlook, Dessai recommended acquiring space exposure and holding assets for the long term. Of course, ETFs are one way to do that, and options include the Global X Fund mentioned above, as well as funds such as the Robo Global Artificial Intelligence ETF (THNQ) and the TrueMark Technology, AI & Deep Learning ETF (LRNZ). increase.
We also invest in individual stocks. For those going that route, we asked Dessai for the most bullish names in the space.
5 Stocks Perfect for the AI Boom
First of all, I like Dessai, NVIDIA (NVDA)the CPU and GPU makers driving much of the graphics AI content being produced today.
He said he expects companies to invest more in CPU and GPU hardware.
“The company is very well positioned because when you look at the AI opportunities that are actually deployed, say, global IT spending is $4.5 trillion. Even if some of it is poured into AI-first hardware, it’s profitable,” he said.
Dessai continued, “And the investments the company has made on this occasion have really been building out the hardware lineup and the software architecture…I think now is the time to start paying dividends for the company.” .
Second, Dessai is bullish on: Meta Platform (FB) and Alphabet (GOOG) Because we have a lot of data. Meta owns social media applications such as Facebook, Instagram, and WhatsApp, while Alphabet is the parent company of search engine Google.
Companies “can use these models to improve internal services, enhance business models, and enhance product offerings,” he said.
He added that they are the “basic point of contact for all consumer interactions at this time.”
Finally, Dessai said he likes companies in the data cleansing business, such as: Salesforce (CRM) and ServiceNow (now). Both are software companies that organize and manage data for other businesses.
He said it can help small businesses leverage AI to meet their niche needs.
Salesforce and ServiceNow are “the companies that enable traditional retailers, traditional bankers, and logistics companies to actually implement these models for their specific use cases,” he said.
