Uncover Hidden Gems in the AI Revolution: JPMorgan Asset Management Strategist Reveals Lesser-Known Investment Opportunities

The hype surrounding artificial intelligence (AI) has been dominating the markets, with large-cap tech names like NVIDIA leading the charge. However, JPMorgan Asset Management Global Market Strategist Hugh Gimber believes that there are hidden opportunities in the AI space that investors may be overlooking.

Gimber emphasizes that while AI is a powerful trend, it cannot thrive without the necessary infrastructure to support it. He points to the “left-behinds” in the AI movement as promising investment opportunities. These include sectors such as data centers, clean power generation, and raw materials, which are essential for the development of AI technology. Industries like industrials, utilities, and Asian markets are well positioned for investors seeking exposure to these AI enablers.

While the US tech stocks have been garnering a lot of attention and excitement, Gimber suggests looking beyond them for more reasonably priced opportunities. He highlights the importance of considering areas like industrials and utilities, as well as looking outside the US towards Asia, where key components of the AI story are emerging.

When it comes to investing in Asia, Gimber advises investors to do their homework and carefully research individual companies. He recommends looking beyond the largest index players and focusing on the providers to the big tech names. By delving deeper into the supply chain, investors can uncover hidden gems that may not be fully reflected in prices yet.

Gimber warns against relying solely on the hype surrounding popular tech stocks like NVIDIA, as their prices may already be fairly reflected in the market. He stresses the importance of fundamental research and boots-on-the-ground analysis to identify companies that can benefit from the AI trend.

In conclusion, while the AI revolution continues to captivate markets, investors should consider looking beyond the obvious choices and explore the hidden opportunities in sectors that support the AI infrastructure. By diversifying their portfolios and conducting thorough research, investors can position themselves to benefit from the next wave of the AI story.

For more expert insights and market analysis, viewers can watch the full episode of Catalysts featuring Hugh Gimber on Yahoo Finance. This article was written by financial journalist Angel Smith, providing readers with valuable information and analysis on the evolving AI landscape.