Experts Are Sounding the Alarm Over an AI Bubble. Here's What History Says Investors Should Do Right Now.
If a bear market is coming, here's how to protect your investments.
Overview
The AI sector has experienced unprecedented growth in recent years, lifting the rest of the stock market with it. The catch, though, is that these stocks can also drag the market down if they falter.
The top 10 largest AI-related stocks now make up over 40% of the S&P 500 (SNPINDEX: ^GSPC), according to research from Bank of America, which is similar to the levels of tech stock concentration during the dot-com bubble of the early 2000s.
Details
While AI bubble fears have been circulating for years, recent volatility within the tech sector has led to renewed concerns. More experts are beginning to sound the alarm, and history offers a clear answer as to what investors should do right now.
Source
Originally published at www.fool.com.