This report by Capital Group portfolio manager Chris Buchbinder examines whether current investor enthusiasm signals an AI bubble or an early-stage boom.
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Market position: AI-related investments, now representing about 7% of U.S. GDP, remain supported by cash-rich hyperscalers like Amazon, Microsoft and Alphabet.
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Cycle outlook: Buchbinder compares today’s market to 1998 rather than 2000, suggesting continued upside before potential correction.
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Strategic positioning: He balances exposure to AI leaders with value plays in energy and cable sectors to hedge against a future downturn.
Explore the full report for data-driven insights on how to navigate AI-driven market cycles.
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