As artificial intelligence (AI) valuations skyrocket, high-net-worth investors are hunting for defensive opportunities outside the booming tech sector.
While massive tech rallies have propelled chipmaker Micron Technology Inc. (NASDAQ:MU) into a $1 trillion company, Morgan Stanley Private Wealth Management is advising clients to pocket some profits and rotate into tangible commodities and inflation-resistant energy equities.
The Shift To Real Assets
Kathleen Entwistle, Managing Director and Private Wealth Advisor at Morgan Stanley, noted in a conversation with CNBC that investors are thrilled with the tech sector's performance, finding sustainable upside requires a tactical pivot.
“The market has been on a tear for sure,” Entwistle observed. Instead of over-allocating to expensive tech giants, she recommends capitalizing on inflation hedges.
