It’s often said that AI is still in its early innings. While that’s true, the evolution is advancing rapidly. This is prompting investors to inquire about what’s next.
Obviously, the answer has multiple layers, many of which have an array of investment implications. That’s especially true for ETFs like the Invesco QQQ Trust (QQQ ) and the Invesco NASDAQ 100 ETF (QQQM ). These funds have long been relevant in the artificial intelligence investing conversation. That status is likely to remain in place as AI adoption and investment implications broaden.
Take the case of corporate adoption of artificial intelligence. It’s a cornerstone of the related investing thesis and one that’s likely to be bolstered in the future by agentic AI. Those are pivotal concepts that should examined by investors mulling funds such as QQQ and QQQM. The need for that due diligence is punctuated by some experts speculating that an inflection point for enterprise is either already here or will soon arrive.
Big Business Could Be Big for QQQ
How corporations deploy artificial intelligence is already evolving. That’s pertinent when discussing QQQ and QQQM because many of the ETFs’ most widely followed holdings are either major AI enablers or hyperscaler adopters.
“A new generation of AI for businesses is emerging; one that recognizes the nuanced needs of large organizations: data security, operational integration, regulatory compliance and above all, business context,” according to the World Economic Forum (WEF). “This is not about building AI for AI’s sake, it’s about embedding intelligence where work happens.”
Another point of emphasis for corporate AI adopters is access to data. Without it, even top-flight AI models don’t deliver the desired results. Increasing momentum for retrieval-augmented generation could ease that burden. At the same time, it could potentially benefit select QQQ/QQQM member firms.
QQQ/QQQM investors have another point to ponder: the booming market for AI agents. This is a field in which some of the ETFs’ holdings are already making inroads. It’s an important one at that, owing to its sizable total addressable market.
Pre-built AI agents “provide a fast path to outcomes, whether in customer service, sales enablement or IT support, while giving organizations the breathing room to develop their longer-term, bespoke AI roadmaps. In this way, operational impact and strategic innovation are no longer mutually exclusive,” added the WEF.
The bottom line is that broader business-level adoption of AI will be rooted in empowerment, trust, and value propositions. These boxes are already being checked by some QQQ/QQQM components.
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