If there has been one dominating sector in the market over the last decade, it has to be tech. From the emergence of cloud computing and apps to the recent surge in artificial intelligence, the sector has continued to support portfolios and growth within the world’s economy. As such, the sector remains a top portfolio position for many investors. However, with uncertainty rising and valuations appearing stretched, many pundits and analysts have begun to wonder if tech’s time in the spotlight is starting to fade.
The answer could be a resounding “no.”
While tech’s ascension may not be a straight line up, that ascension is assured. With earnings growth still going strong and new A.I. demand just getting started, the sector will continue to be a dominant portfolio growth engine for years to come. For investors, that still means a smart overweight in tech stocks could be in order.
