AI investing beyond the hype | HANetf

HANetf Active ETF Product Specialist Vincent Chung talked with Proactive's Stephen Gunnion about how second-quarter US earnings are reshaping investor expectations around artificial intelligence and why the market is becoming increasingly selective when evaluating AI-related companies. Chung explains that recent earnings have highlighted a growing divide between companies successfully monetising their AI investments and those that have struggled to justify elevated expectations. He points to contrasting market reactions, with companies such as Microsoft and Amazon delivering strong gains while other AI-related stocks experienced sharp declines following earnings. A key theme of the discussion is that AI should not be viewed as a single investment opportunity. Instead, Chung outlines the different parts of the AI value chain, including semiconductor manufacturers, memory chip producers, cloud infrastructure providers, software platforms and companies integrating AI into their existing operations. As Chung explains, "AI is not one homogenous investment. So there are different parts of the value chain." He says investors are increasingly recognising these differences, creating opportunities for active stock selection as companies mature at different rates and face varying market expectations. The interview also examines Microsoft's Azure cloud growth, Amazon's cloud business performance and Microsoft's expanding Copilot user base, highlighting how investors are rewarding companies that are successfully generating returns from substantial AI capital investment. Looking beyond short-term market movements, Chung argues that investors should maintain a long-term perspective. He notes that enduring returns often come from holding quality businesses over many years rather than attempting to trade short-term momentum. He also draws comparisons with the dot-com era, suggesting that while AI is likely to remain transformational, not every company benefiting from today's enthusiasm will remain a market leader in the decades ahead. Visit the Proactive YouTube channel for more interviews with leading market experts and company executives. If you enjoyed this video, please give it a like, subscribe to the channel and enable notifications so you never miss future content. Read Proactive's Editorial Policy here: https://www.proactiveinvestors.co.uk/pages/editorialPolicy #HANetf #AI #ArtificialIntelligence #Investing #StockMarket #USEarnings #Microsoft #Amazon #CloudComputing #ActiveManagement #InvestingStrategy #TechnologyStocks #Semiconductors #MarketAnalysis #Proactive