China fund managers stick with AI, chips in August despite July sell-off, survey finds
Despite July’s sharp sell-off in global semiconductor shares, driven by concerns over AI-linked profitability, artificial intelligence and chips remained China’s most preferred investment themes in August, while more investors moved to hedge tech exposure, according to a survey by BofA Global Research. The findings come from the August edition of the Asia Fund Manager Survey, for which Bank of…
China fund managers maintained their focus on AI and semiconductor investments in August, despite a sharp sell-off in global semiconductor shares in July, according to a Bank of America survey. In August, 73% of surveyed China-based fund managers selected AI and chips as their top two investment themes, up from 60% in July and 50% in June.
This preference for AI and chips was higher than the global average of 56%. In contrast to the US market, where semiconductor stocks plummeted 21% in July, China's chip-savvy market indices rebounded in August. Additionally, only 27% of Asia-based fund managers remain optimistic about semiconductor-export growth in South Korea and Taiwan, compared to 60% in July.
Despite this cautious outlook, 64% of Asia-based fund managers require proof of revenue generation from AI investments before increasing their holdings of related stocks. The survey polled 98 fund managers across the Asia region, representing $272 billion in assets under management.
Written by urgent.news from SCMP Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
