Keynote
The AI Revolution, Policy Shift, and U.S. Economic Performance
Mike Knetter Senior Advisor Wisconsin Investment Management Company
Top Takeaways
The U.S. economy is being propelled by the AI revolution
AI-related companies have been responsible for 75% of the S&P 500 returns since the 2022 launch of ChatGPT.
The AI arms race is narrow
There are only three or four companies in the world are competing to own this space and the cost of capital is very high.
Automation-driven manufacturing is growing, but difficult
Executing on growing manufacturing in the U.S. is extremely complex due to myriad labor, technology, and trade policy changes. All factors considered, it’s difficult to give any “one-size-fits-all” advice as the opportunities and challenges will vary greatly by firm and industry.
Go Deeper
AI Opportunities Easily in Reach
The Collision of AI Innovation and Economic Nationalism
Manufacturing at an Inflection Point: Labor Tightness and Automation
“The Blob,” a group of 41 AI-related (direct, utilities, capital) stocks have accounted for…
of S&P 500 returns
of earnings growth
of capex growth
All since the Nov 2022 launch of ChatGPT
Source: Cembalest (Eye on the Market, JPM)
