Enthusiasm for artificial intelligence has powered a breakneck rally in US equities this year, far overshadowing the US Federal Reserve’s campaign to raise interest rates. So how should investors sort out the fundamentals from the hype?

Mark Baribeau, the head of global equity at PGIM’s Jennison Associates, joined the What Goes Up podcast to discuss how he’s viewing the opportunity. He’s the lead manager of the PGIM Jennison Global Opportunities Fund, which is beating 99% of its peers with a more-than 30% gain so far in 2023. 

“The infrastructure layer that allows for this accelerated computing to go on is the way to play AI right now. Because we’re in the R&D phase, the applications are just getting developed,” Baribeau says. “Nvidia is an easy example. We kind of refer to their earnings release on May 24 as the ‘Big Bang’ because, in my history of doing growth equities since the ‘90s, I’ve never seen a company raise guidance for a quarter by $4 billion. That’s unprecedented.”

Enthusiasm for artificial intelligence has powered a breakneck rally in US equities this year, far overshadowing the US Federal Reserve’s campaign to raise interest rates. So how should investors sort out the fundamentals from the hype? Mark Baribeau, the head of global equity at PGIM’s Jennison Associates, joined the What Goes Up podcast to discuss how he’s viewing the opportunity. He’s the lead manager of the PGIM Jennison Global Opportunities Fund, which is beating 99% of its peers with a more-than 30% gain so far in 2023.  “The infrastructure layer that allows for this accelerated computing to go on is the way to play AI right now. Because we’re in the R&amp;D phase, the applications are just getting developed,” Baribeau says. “Nvidia is an easy example. We kind of refer to their earnings release on May 24 as the ‘Big Bang’ because, in my history of doing growth equities since the ‘90s, I’ve never seen a company raise guidance for a quarter by $4 billion. That’s unprecedented.”

Hosts Mike Regan and Vildana Hajric are joined each week by expert guests to discuss the main themes influencing global markets. They explore everything from stocks to bonds to currencies and commodities, and how each asset class affects trading in the others. Whether you’re a financial professional or just a curious retirement saver, What Goes Up keeps you apprised of the latest buzz on Wall Street and what the wildest movements in markets will mean for your investments.

Hosts Mike Regan and Vildana Hajric are joined each week by expert guests to discuss the main themes influencing global markets.

What Goes Up

AI's 'Big Bang' Moment

https://api.omny.fm/orgs/e73c998e-6e60-432f-8610-ae210140c5b1/clips/1174065c-18d9-403d-a838-b0220165090d/transcript

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