In late November 2022, OpenAI launched ChatGPT – an AI driven chatbot that can answer complex questions and handle almost any topic. A couple of months later, Microsoft (who is the primary investor) added a similar function to its Office suite. As more and more companies delve into the artificial intelligence world, we take a look at AI funds using our EPFR Stock Barometer tool: is AI going to be the next bubble for investors?
At the turn of the century, investing in China was viewed as a risky proposition. Foreign access to a notoriously volatile, retail-driven equity market was heavily restricted. The lack of a credible regulatory framework and legal protections deterred US venture capitalists from making direct investments in Chinese companies. In many cases, Chinese banks and the country’s fledgling private equity industry also balked. So, when Chinese technology firm Alibaba received its first $25 million investment from Goldman Sachs in 1999, investors sat up and took notice.