Am I invested in AI?

By: Tom Betros CFA, CFP® and Laura Betros, CFP®

Artificial Intelligence has been the driving force behind much of the market rally through the third quarter of 2025. Corporate investment in artificial intelligence is still booming and it’s showing up in the revenue and earnings of the biggest technology companies at the forefront of the AI revolution. In simple terms, suppliers are selling the technologies to large corporate investors who are investing in the technology to improve operational efficiency. Investment has been coming from all sectors of the economy with each company applying AI to fit their unique structure.

So while a business’ core operations may be far from technology-oriented, their integration of AI may help them deliver a better product and improve profits. And although it seems too early to project how impactful generative AI, Large Language Models, and other AI applications will be in increasing profits across different sectors, the market seems to expect a significant impact as future earnings expectations continue to drive the market higher.

As the “AI trade” continues to propel stocks higher, a common question we have been answering is, “Do I have exposure to AI?”. Our answer is, you probably have more than you think already. Here are some of the top AI stocks by global market capitalization.

1.       NVIDIA (~5% of Global Equity Index)

2.       Microsoft (~4.04% of Global Equity Index)

3.       Amazon (~2.31% of Global Equity Index)

4.       Broadcom (~1.62% of Global Equity Index)

5.       Meta Platforms (~1.71% of Global Equity Index)

6.       Alphabet (~2.85% of Global Equity Index)

7.       Taiwan Semiconductors (~1.3% of Global Equity Index)

Data from Morningstar as of 10/17/2025. Global Equity Index is MSCI ACWI.

Six of the seven listed companies are US companies and collectively make up about 28% of the S&P 500 (US Equity Index). The last company is one of the biggest semiconductor companies abroad and makes up more than 11% of the MSCI Emerging Markets Index (Emerging Markets Index). These names alone make up close to 20% of the global equity markets by market capitalization. With companies this massive relative to the rest of the publicly traded universe, it’s hard not to own them unless you exclusively pick stocks. So how do we help our clients navigate AI?

Instead of hand-picking a few individual stocks for our clients, we invest in diversified ETFs and/or Mutual Funds. Through this approach, we own most companies in the global equity market with a similar weighting scheme as major market indices. This allows us to give our clients exposure to new technologies like Artificial Intelligence while reducing concentration risk. The fact of the matter is, we simply do not know what companies will outperform on a go-forward basis. By owning all stocks, it allows our clients to participate when new technologies emerge.  So, when we get the question, “how much AI exposure do I have?”, our answer is at least 20% of your equity allocation, although it is impossible to know the true exposure when accounting for all companies investing in AI.

The information provided in this blog post is for general informational purposes only and should not be construed as personalized investment advice or a recommendation to buy or sell any security. D’Arcangelo Financial Advisors, LLC does not guarantee the accuracy or completeness of the information presented. Readers should consult with a qualified financial professional before making any investment decisions. Past performance is not indicative of future results. All investments involve risk, including the potential loss of principal.