let's face it artificial intelligence is here to stay and right now the global AI Market is
valued at over 136 billion dollars and projected to increase by over 13 times in the next seven
years and if you look at just United States it's projected to grow 299 billion dollars by 2026.
so with over 48 of businesses using artificial intelligence in some way today and with that
number continuously growing how do you and I get in on the artificial intelligence craze as
investors so four different stock market options that you can take advantage of today to get rich
tomorrow once artificial intelligence continues to grow now of course lately there's a lot of
discussion around chat GPT the AI powered program that you can ask highly intelligent questions to
and you get a highly intelligent response now while open AI the creator of chat GPT
doesn't trade on the stock market at least not yet there are a few other AI companies on the
rise so that means we're we're going to look at are four ETFs in the AI Revolution now unlike an
individual stock let's say that company goes out of business or they have some serious trouble of
course if you're only invested in that one stock did you go down with the ship difference with an
ETF is it holds sometimes 50 100 even thousands of stocks within one ETF that means if one company
does have a problem the whole ship doesn't sink you're protected with the power of spreading your
eggs across many different baskets in each of these ETFs that we're going to talk about today
with the AI Revolution I'm going to give you my personal ranking to see which one is best
out of all four of them but of course you got to do your own research none of this today is
financial advice this is only edutainment for you and then you got to take it and do your own
research because after all why would you trust me I'm just some guy on YouTube that some people
in the comments say I look an awful lot like Woody from Toy Story so you gotta take that for
what it's worth all right first one up on Deck b-o-t-z we're going to call it Bots managed by
global X this is actually the company behind the famous qy LD ETF if you're familiar with that one
Bots has a total of 49 different stocks within it and a majority of its stake is in Nvidia key ants
and intuitive surgical so as the world continues to focus on how do we become more efficient with
how we manufacture products ship those products to companies ship those products to customers and
also how do we make sure that we can treat people for diseases even give surgeries with robots in
the future that's some of the companies that Bots is investing in now all ETFs do come with
an expense ratio that doesn't mean that you get a bill that you have to pay that just means it's
taken out of your portfolio once a year with the expense ratio percentage my goal when I invest in
ETFs is to aim for anything at a 0.30 or lower or somewhere around there that means for every
one thousand dollars that you have invested you'll pay roughly about 3 dollars to the expense ratio
now specifically looking at Bots it has a 0.68 percent so a little bit higher than I like but
that does mean you would pay six dollars and eighty cents for every one thousand dollars
invested now what I think we should do is compare these AI ETFs to the S P 500 now the S P 500 is
made up of the top 500 companies that are rated by market cap so we're talking about the big boys you
know the things that you know Apple Microsoft Google things like that and what I'm going to
do is look at the last three years because it's not worth it to look in the short term we need
to look as long term as we can when it comes down to investing and of course the thing to keep in
mind is most of this is actually new AI is just starting off I actually relate this to like the
next chapter after the dawn of the internet so it's not quite something that we can look
at over 10 years or more so we'll look at three years to start comparing Bots to the S P 500 you
can see what's going on right here now what I'm using is Seeking Alpha I love Seeking Alpha it's
one of my favorite investing research tools and you can get a discount by using the link in the
description below but if we look at the last three years of total performance you can see a positive
41.5 percent which is great for Bots but it does lag behind the S P 500 which is at 66.84 percent
so we're going to take that into consideration now the goal will be as we talk about the next three
ETFs is really to have the mindset of long term because AI is still new the S P 500 has been
around forever let's look at the scorecard so I'm going to give the expense ratio minus one because
it is above I would say quite amount above my point three percent goal I'm going to take the
AI investment Holdings I'll give it one point for that because it does invest in AI it's not saying
that it's Ai and investing in something that's off the chart that would be stupid so I'll give
it a point for that uh dividend it doesn't pay any dividend so it gets zero points for that
assets under management now this is a lot it has a total of 1.73 billion assets under its management
with this particular ETF so I'm going to give it a point for that and the return while it's
not beating the S P 500 it is positive it's not negative so that's a plus I'll give it a one for
that that means the total scorecard for Bots is two I wonder what the other ones are going to rank
up to we'll find out in a second let's move on to the second ETF and that's Robo Robo robots yeah
these guys are clever when they name their ETFs now this ETF has a total of 91 different stocks
in it and aims to invest in companies that operate across Information Technology software Services
automation products and services and robotic sectors most of the Holdings are relatively
split across the board at one percent so the top Holdings for this one is intuitive surgical Kareem
Holdings and comments again now now of course this is also the second time we've seen intuitive
Surgical and I think it's kind of cool to point out that particular company right now what is
cool about intuitive surgical is that it was founded in 1995 so it's actually a little bit
older but it aims to make robotic products to improve the clinical outcomes of patients so
that's kind of cool when we look at the medical advancements so not only Medical Technology but
medical artificial intelligence and on top of that medical robots that's kind of cool now I
would definitely recommend checking out Seeking Alpha type in these ETF and look through all the
different Holdings then what you can do is take those Holdings do a little bit more research on
each individual company that way you know the type of stocks that you're getting into if you decide
to invest in any of these ETFs now the expense ratio for this one oh it's a little expensive
for my taste I'm sorry but 0.95 that's a lot now if we compare Robo to both Bots and the S P 500
let's see how its Total return is over the last three years so I'm going to come over to Seeking
Alpha we'll hit add comparison and then all you have to do is just type in whatever ET if you
want now in our case we want to check out Robo and right there it is popped up at the top we're
going to click on that and then we're going to hit compare here we are here's all the learnings
now you can click on one or just actually Mouse over on one of these and it'll highlight all the
different graphs but we're going to look at it compared to the other two now you can see
a more impressive performance over the last three years at 64.12 which is very close to the S P 500
performance and of course beating bots so let's pull up the scorecard and see how Robo Stacks up
expense ratio way too expensive I'm gonna have to give it a minus two just because that is the
highest expense ratio we're going to explore in today's video off the bat minus two now let's
look at the AI investment Holdings of course we talked about the surgical and some of the
Automation and some of the software that it's investing in so I will give it a point for that
it does not pay any dividends zero points for that assets under management is impressive at
1.37 billion dollars so it'll get a point for that and because the return is really good and
actually almost up there with the S P 500 over the last three years I'll give it two points for
that giving it a total of two so we're at a tie right now let's see what happens with the other
two maybe we'll break this tide and see what's going on the third on the list irbo I'm gonna call
it irbo and this is managed by BlackRock the CTF has an impressive 134 different stocks and some of
the familiar companies that you might already be familiar with such as meta Nvidia and Spotify the
this finds specifically focuses on Information Technology with artificial intelligence software
and robotic technology sectors now of course a lot of focus on the bigger companies so you're going
to see a lot of companies like I mentioned earlier that you know now what makes this ETF a little bit
more unique and a little exciting is it does have a lower expense ratio at only 0.47 so it is closer
to my personal goal but even better than that it offers a dividend yeah we're talking about a
dividend on artificial intelligence ETF very very rare but that dividend yield is 0.61 percent now
that's not a lot for a dividend yield but remember dividend yields are very rare when it comes down
to something new and emerging and artificial intelligence is definitely new and emerging
now before we compare this one to the other two and the S P 500 on the charting within Seeking
Alpha I have one favor to ask you the favorite is not to click on anything in the description
it's not to do anything really all I'd like you to do is common comment down below if if you learned
anything in this video today and if there was anything that was like really cool that's all I'd
like just comment down below and I'll do my best to reply to as many comments as possible so coming
back over here to Seeking Alpha I'm going to hit add comparison and then we're going to type in
irbl and here we are with the ishares trust erbo let's see how we stack up here now this is getting
interesting with all the different colors but the comparison goes just like this it's not as strong
as the S P 500 and certainly not as strong as Robo but it does have a nice return at 45.46 percent
we're not seeing anything negative over the three year time period on total return which is nice so
let's pull up this scorecard and see if this one can break the tie expense ratio I'm gonna give it
a zero and the reason why is because it's probably the closest to my point three percent especially
after just looking at that 0.95 percent this one is looking a lot better AI investment Holdings
I'll give it a point for that dividend it pays a pretty good dividend for an AI ETF so I'm going to
give it two points for the dividend assets under management I'm not going to give it any point
because it only has 306 million dollars in asset under management relatively new that's okay but
that's why it gets a zero and the return while not as good as the S P 500 and it does lag behind
the winner of the total returns so far I'm only going to give it one point but that does give it
a total score of four so it's in first place and the other two are tied for second place but let's
talk about number four and that's Ro BT I'm gonna call it Rob T with 115 total stocks robty aims
to invest in stocks of Information Technology software automation products AI all within the
United States c3.ai and Illumina are two of the top companies in the list of Holdings for Rob T
now this expense ratio is okay 0.65 percent is not as good as erbo but it's fine but it also offers
a dividend yield not as high as Urban but it does offer 0.31 dividend yield so it'd be interesting
if we compare this one to the S P 500 and then the other three how is this one's Total return add
comparison I'm gonna hit compare and here is how we're shaking up so we're looking at a nicer turn
of 57.66 percent not bad while Robo wins the game for the turtle return over the last three years
the real piece to remember as I mentioned earlier is AI is relatively new but it is nice to see that
Rob T coming out in the back here with 57.66 percent scorecard time expense ratio I'll give
it a minus one because it is a little bit higher AI investment Holdings I'll give it another plus
one for that dividend plus one now the one before we got plus two so I'll give this one a plus one
because it's not as high as Urban was asset under management we're going to leave that as a zero
because it only has 240 million dollars in assets under management and return because it's one of
the higher players here in the game I'll give it a plus two giving it a total score of three that
means the total rankings for today's ETFs are erbo Rob T Robo and Bots all based on what I created
but always do your own research but there's another way to take advantage of AI stocks that
people don't really talk about because you know you could rush into these AI ETFs and it's fine
if you do I personally am not invested in any of them but that may change I'm not saying if I will
be in the future or not but what's cool about the top 500 companies when they're programmed into the
S P 500 is that you have to meet certain criteria so the thing is an AI company can do so well that
it then breaks through and gets listed in the S P 500 then as the AI Revolution happens tons of
money gets flowing into the AI industry as a whole then as it's included in the S P 500 those ETFs
will grow higher and then the flip side happens if a company's not doing well and it's starting to
suck then what could happen is that company gets dropped from the S P 500 so it like automatically
cleanses itself and always focuses on the top 500. so to look at it from that perspective there's
a lot of great ETFs that are focused on the S P 500 such as spy and V now to learn more about how
that would work in your ETF portfolio check out this video next we'll see you on the next video