The frenzy over artificial intelligence has helped Asian stocks outperform the world this year. It’s also transforming the region’s markets in a way that has fund managers racing to keep up.
Fears of concentration in the US have been well documented, as the six largest tech stocks now account for more than 30% of the S&P 500 Index. The concern is the potential impact should there be any rapid unwind of a rally that has seen Nvidia Corp.’s market cap soar to $5 trillion from $1 trillion in just two years.