Bloomberg Surveillance · Wednesday, September 23, 2026
Gargi Chaudhry of BlackRock states that AI remains their strongest conviction, advising investors to diversify into "beyond AI" trades. She suggests looking at sectors like healthcare and dividend stocks as hedges against semiconductor sell-offs and mentions India and Japan as potential drivers of non-AI market moves.
“AI remains our strongest conviction, whether you do that in the US, whether you do that in Korea, whether you do that in Taiwan, that remains our strongest conviction. But more and more, given the concentration in the markets, you do need to be thinking about parts of the market. We call it the beyond AI trade.”
“Look at parts of the market like healthcare, which historically, when you've had the semiconductor sell-off, has held in better. Look at parts of the market like dividends, where again, if you're focusing on near-term cash flows, obviously paying dividends, That has, especially in the July sell-off, been a better hedge for the AI trade.”
“So investors outside of the U.S. like the AI trade, but they want opportunities to diversify away, and they're looking for ideas to do that, both in broad markets, but also looking at places like India and Japan as some of the drivers of the non-AI move in the markets.”