Investing in Artificial Intelligence (AI) Can Be Risky, but Here's a Magnificent Way to Do It

Artificial intelligence (AI) stocks have driven the S&P 500 higher for the last few years, and with trillions of dollars in spending on data centers in the pipeline, they are likely to remain a major source of returns. However, not all AI stocks are created equal.Had investors bought Palantir Technologies at the start of 2025, they would be sitting on a 124% gain today. But had they bought Upstart Holdings instead, they would be down 26%. Picking winners and losers in this emerging industry isn't easy, which is why most investors might be better off buying an exchange-traded fund (ETF) instead.The iShares Future AI and Tech ETF (NYSEMKT: ARTY) holds 48 different AI stocks, including many of the industry leaders, so it can insulate investors from steep losses if one or two names underperform. Here's why the ETF could be a great addition to any diversified portfolio.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool