Artificial Intelligence: Think Outside the AI Box With This Vanguard ETF

Group 1: AI Industry Overview - The AI industry is rapidly expanding, but it remains uncertain which companies will emerge as long-term winners or losers [1][3] - Investing in AI stocks is risky due to the industry's early development stage, similar to the historical competition in the combustion engine sector [4] Group 2: Investment Options in AI - One viable investment strategy is to purchase AI-focused ETFs, such as Global X Robotics & Artificial Intelligence ETF, ROBO Global Robotics and Automation Index ETF, and iShares Future AI & Tech ETF, which provide diversified exposure to AI-related stocks [5] - There are alternative investment options beyond AI ETFs that may also benefit from the technology [6] Group 3: Utility Sector and AI Demand - The demand for electricity is expected to rise significantly due to the needs of AI technologies, with NextEra Energy projecting a 38% increase in energy demand in the U.S. by 2024 and a 55% increase by 2025 [8] - Investing in utility companies, particularly those that provide electricity, could be beneficial as they are likely to see increased demand driven by AI [7][9] Group 4: Vanguard Utilities ETF - Vanguard Utilities ETF offers a diversified investment in utility stocks, with NextEra Energy being the largest holding at over 10% of its assets [10][11] - The ETF has a modest expense ratio of 0.09% and an attractive dividend yield of 2.9%, which is more than double that of the S&P 500 index [11] - The growth story for electricity demand is projected to extend well into the future, aligning with the long-term needs of AI [12]