Artificial intelligence subcategory undergoing golden age: Dan Ives
Wedbush Securities’ Dan Ives recently launched an artificial intelligence exchange-traded fund (ETF), with a focus on software as the subcategory to watch within the AI space. According to Ives, software is currently experiencing a “golden age” and is set to drive many of the use cases within the industry.
The Dan Ives Wedbush AI Revolution ETF, trading under the ticker IVES, aims to identify stocks that are transforming the AI landscape. Ives believes that the market is underestimating the growth potential of the AI revolution in tech and is focused on uncovering names that may not typically be considered AI players at first glance.
One of the companies Ives sees as the epicenter of the AI theme in the coming months is Oracle. Oracle’s shares have seen a significant increase of almost 62% over the past two months and are the fourth-largest holding in IVES. Other software holdings in the ETF include Palantir, IBM, and Salesforce, all of which have seen positive growth in recent months.
The IVES ETF comprises 30 companies across various industries such as hyperscalers, cybersecurity, consumer platforms, and robotics. Ives curated this list through in-depth research into major AI players, ensuring that investors have exposure to the AI theme regardless of their location or profile.
While the fund’s top three holdings are Microsoft, Nvidia, and Broadcom, it also includes smaller tech names like SoundHound and Innodata. Since its launch on June 4, IVES has seen a 3% increase and currently has $183 million in assets under management.
Ives plans to reassess the AI 30 holdings every quarter, potentially adding new names as the AI landscape evolves. He emphasizes that the tech trade is still a worthwhile investment, even for those who may have missed out on previous tech stock runs.
In summary, Dan Ives’ AI ETF offers investors a unique opportunity to capitalize on the growth potential of the AI revolution in tech. By focusing on software and regularly updating its holdings, IVES aims to provide investors with exposure to the most promising AI players in the market.
