10-20-26 Is AI Killing Diversification

Is artificial intelligence making portfolio diversification more difficult than investors realize?

AI-driven stocks dominate major market indexes, leaving investors potentially overexposed to a handful of technology companies, even when they own diversified index funds.

Lance Roberts and Jonathan Penn examine the hidden risks of AI-driven market concentration, the limitations of traditional diversification, and practical strategies for balancing portfolio risk without sacrificing long-term investment objectives.

0:00 - INTRO

1:00 - What Employment Reports & JOLTS Surveys Say

3:23 - Forward PE's are What the Entire Market Prices Off of

5:13 - S&P 500 Rallies Slightly, Still Trading Sideways

5:48 - Oil Price Rally Putting Pressure on Interest Rates (Time to take profits?)

7:50 - Sector Rotation Within the markets

11:34 - The Autumn Crud

12:22 - Nvidia, AI, & Proper Diversification - Are We In an AI Bubble?

20:42 - The Difference Between Internet Cos and AI Cos of Today