1 June 2023: Wealth Product Ideas
| Fund Name (Ticker) | Robotics & Artificial Intelligence ETF (BOTZ US) |
| Description | The Global X Robotics & Artificial Intelligence ETF seeks to invest in companies that potentially stand to benefit from increased adoption and utilization of robotics and artificial intelligence (AI), including those involved with industrial robotics and automation, non-industrial robots, and autonomous vehicles. |
| Asset Class | Equity |
| 30-Day Average Volume (as of 30 May) | 1,054,825 |
| Net Assets of Fund (as of 30 May) | US$2.12B |
| 12-Month Trailing Yield | NA |
| P/E Ratio (as of 26 May) | 40.90 |
| P/B Ratio (as of 26 May) | 4.43 |
| Management Fees (Annual) | 0.69% |
Top 10 Holdings
(as of 30 May 2023)
- BUY Entry –27.5 Target – 30.0 Stop Loss – 26.3
- AI Boom. With the recent AI tech boom generated by the hype surrounding generative AI, stocks relating to AI technology have seen shocking price increases from the beginning of the year. This trend has supported the inclination of stock prices that released semi-good earnings as long as the company provides relatively optimistic guidance with the help of AI introduction or progress.
- Brain-computer interaction is the embranchment of AI application. Recently, Elon Musk’s neurotechnology company Neuralink obtained the US Food and Drug Administration (FDA) approval for a clinical study. Neuralink developed a brain-computer interface called the N1 Implant, which aims to enhance human capabilities and treat neurological conditions using artificial intelligence. The implant consists of electrodes-fueled threads inserted into the brain’s neurons. It is designed to be fully implantable and cosmetically invisible, allowing users to control a computer or mobile device anywhere they go. With the approval from FDA, N1’s effectivness will now be assessed through its first-in-human clinical study.
- Robots released into the wild. Serve Robotics has partnered with Uber Eats to introduce 2,000 sidewalk delivery bots, equipped with advanced technology, for transporting food orders from restaurants to customers. This collaboration aims to improve efficiency and speed in food delivery while reducing costs. The demand for autonomous mobile robots (AMRs) is on the rise as industries seek operational efficiency, with shipments expected to increase from 251,000 units in 2023 to 1.6 million by 2028. Revenue in the AMR market is projected to surge from $12.6 billion to $64.5 billion during this same period. NVIDIA’s ISAAC-AMR platform will play a role in accelerating the development and deployment of intelligent robots across various industries. It will provide developers with comprehensive tools and frameworks to create advanced AMR applications that enable autonomous perception, planning, navigation, and human interaction. The deployment and advancement of AMRs reflect the growing adoption of autonomous technologies in our society.
(Source: Bloomberg)
| Fund Name (Ticker) | CSOP Metaverse Concept ETF (3034 HK) |
| Description | The investment objective of the CSOP Metaverse Concept ETF (the “Sub-Fund”) is to achieve long term capital growth by primarily investing in companies which are directly or indirectly involved in the use of innovative technology to offer products or services which contribute to the development of the Metaverse. |
| Asset Class | Equity |
| 30-Day Average Volume (as of 30 May) | 8108 |
| Net Assets of Fund (as of 30 May) | USD$5,579,139.00 |
| 12-Month Trailing Yield (as of 30 May) | 1.64% |
| P/E Ratio (as of 30 May) | 84.048 |
| P/B Ratio (as of 31 May) | 5.290 |
| Management Fees | 0.99% |
Top 10 Holdings
(as of 30 May 2023)
- BUY Entry – 6.40 Target – 7.00 Stop Loss – 6.10
- The AI Wave. Nvidia has emerged as a dominant player in the AI chips industry, driving its growth in the coming years and capturing significant market shares. Tech giants such Microsoft, Google, and Meta platforms have accelerated the training of their own large language models. Due to the high entry barriers of AI research and development, the tech giants probably take the lead in the AI wave which is viewed as the next stage revolution.
- Alliance between giants. Nvidia unveiled a range of new products and services focused on AI. One notable offering is DGX GH200, an AI supercomputer platform that empowers tech companies to develop AI-driven products and services more effectively. Google Cloud, Meta and Microsoft are among the first expected to gain access to the DGX GH200 to explore its capabilities for generative AI workloads. Apple recently announced a new multibillion-dollar deal with Broadcom to develop 5G radio frequency components in the US.
- Metaverse growth fuelled by AI. AI can greatly contribute to the metaverse in various ways. It can power virtual assistants and AI companions, assist in content generation and world-building, enable natural language communication, personalise user experiences, optimize virtual economies, ensure moderation and safety, create intelligent NPCs, provide data analytics and insights, and more. AI’s integration can enhance the functionality, immersion, and user experience within the metaverse. The recent US$4tn rally due to a wave of interest in AI has caused technology stocks to surge, despite uncertainty over the US Debt ceiling deal.
(Source: Bloomberg)
