BlackRock joins the AI craze with two new ETFs

Asset management giant BlackRock launched two new exchange-traded funds (ETFs) on Tuesday, aiming to give investors exposure to the booming artificial intelligence market. "Generative artificial intelligence aims to create human-like interactions by processing large amounts of data, it has been popular worldwide and is expected to be integrated into almost all industries from technology to financial services in the coming years." BlackRock stated: "We believe that artificial intelligence is a tremendous force, with broad investment significance both now and in the long term." Unlike traditional products that track broad market indices, asset management companies have been introducing thematic ETFs to capitalize on the popularity of certain themes, industries, or trends. However, in recent months, the demand for these products has been mixed as investors have been opting for funds linked to stock market benchmarks, which are hovering near historic highs. BlackRock's iShares A.I. Innovation and Tech Active ETF will invest in global artificial intelligence and technology stocks of different market capitalizations. Its iShares Technology Opportunities Active ETF has a similar investment objective, aiming to achieve long-term capital appreciation by investing in global technology companies in industries such as semiconductors, software, and hardware. Tony Kim, head of fundamental equity stock technology at BlackRock, said: "These active ETFs can help investors capture overlooked investment opportunities in the entire field of artificial intelligence and advanced technology." Earlier this month, with funds flowing into the US stock market rebounding, this asset management company's third-quarter profits exceeded Wall Street's expectations. As of September 30th, the assets under management of its iShares business (which owns more than 1400 ETFs) reached $4.2 trillion