AI-powered stock fund bails out of mega-cap FANG+ stocks
BNN Bloomberg
An artificial intelligence-guided fund that has been lagging the market has jettisoned its mega-cap tech names in a bid to right the ship.
An artificial intelligence-guided fund that has been lagging the market has jettisoned its mega-cap tech names in a bid to right the ship.
The AI Powered Equity exchange-traded fund sold down its so-called FANG+ positions this month, leaving just Apple Inc. in its top 20 holdings, according to the latest filings. On Dec. 1, Microsoft Corp. was the ETF’s number one position with Google parent Alphabet Inc. and Amazon.com Inc in third and fourth place, respectively.
The fund has lagged its benchmark, the S&P 500 Total Return Index, by 9 percentage points this year, according to data compiled by Bloomberg.
“AIEQ continues to lighten up on its Big Tech exposure, with none in its top ten positions,” said Jessica Rabe, co-founder of DataTrek Research. “The only overlapping theme in its top ten positions is cybersecurity, with the rest spanning everything from cloud computing and commercial real estate to medical devices and the semiconductor industry.”
