Billionaire Investors Are Selling It and Buying These 2 Artificial Intelligence (AI) Stocks Instead
2 min read
Over the past 30 years, one of Wall Street’s few constants is that there’s always a next-big-thing trend or innovation garnering the attention of professional and everyday investors alike.
At the moment, no trend is captivating the attention and pocketbooks of investors quite like artificial intelligence (AI).
When discussing “AI,” I’m talking about the use of software and systems to handle tasks that humans would normally manage. However, the true value of AI is seen with the incorporation of machine learning, which allows AI software and systems to evolve over time so they can become more efficient at their tasks.
Last year, researchers at PwC released a report (“PwC’s Global Artificial Intelligence Study: Exploiting the AI Revolution”) that suggested AI would add $15.7 trillion to the global economy by the turn of the decade. This would include a $6.6 trillion increase in productivity, as well as $9.1 trillion derived from consumption-side effects.
The sector- and industrywide appeal of AI isn’t lost on Wall Street’s smartest and most-successful money managers. Billionaire investors from many of the most-watched investment funds have been strategically moving their capital into and out of certain artificial intelligence stocks.
What’s particularly noteworthy is that billionaires have been active sellers of the face of the AI movement — semiconductor stock Nvidia (NASDAQ: NVDA) — while piling into two other AI stocks.
Billionaire money managers are kicking Nvidia to the curb
Following the end of every quarter, institutional investors with at least $100 million in assets under management are required to file Form 13F with the Securities and Exchange Commission. These 13Fs provide investors with detailed snapshots of what the top asset managers have been buying and selling. Based on the latest round of 13F filings, eight prominent billionaires put Nvidia on the chopping block, including (total shares sold in parenthesis):
