"There is no question that 2026 is already set up to be something of a continuance of 2025, at least in the sense of moving deeper into the world of AI, automation, and robotics. As companies deploy AI at scale and industrial robots continue to replace human labor slowly, chip manufacturers can't keep up with demand, and the hype isn't really hype anymore, as it's infrastructure being built in real time."
"These five ETFs capture different angles of the supercycle we're currently in, from pure-play AI to humanoid robotics, and they are best for investors with capital that can be put in risky investments with the hope of being exposed to the fastest-growing sectors in the economy. The Roundhill Generative AI & Technology ETF ( NYSE:CHAT) is home to 49 different holdings that are on the cutting edge of generative AI."
"The trade-off here is also an obvious one in that if Roundhill Generative AI & Technology ETF delivers, it's because AI has delivered. On the other hand, if sentiment shifts or valuations fall, this ETF can fall hard as well. With a P/E ratio of 31.60, you're paying a significant premium for growth, which is also something to keep in mind."
2026 is set to continue the expansion into AI, automation, and robotics as companies deploy AI at scale and industrial robots slowly replace human labor. Chip manufacturers cannot keep up with demand, and AI infrastructure is being built in real time. AI and robotics investments are unlikely to provide significant income via dividends in the near term. ETFs focused on AI and robotics offer exposure to potential future economic growth but carry concentrated and valuation-driven risks. The Roundhill Generative AI & Technology ETF (CHAT) holds 49 concentrated generative-AI leaders and trades at a P/E near 31.6, reflecting a premium for growth.
Read at 24/7 Wall St.
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