Unless you've been living under a rock for the past few years, you'd probably be aware of just how extensively artificial intelligence (AI) technology is transforming different aspects of society.
In just a few short years, it has become startlingly normal to use AI tools like ChatGPT, Gemini, and Copilot in everyday tasks. These tools increasingly dominate both our working lives and our time at home.
Many savvy investors have taken note of just how powerful this trend is, and, understandably, want to invest in its future. But how does one do this on the ASX? After all, the Australian stock market isn't exactly known for housing the most dominant players in the world of AI.
Well, I think there are two buy-and-hold investments on the ASX that investors can consider today if they wish to invest in the AI revolution.
2 buy-and-hold ASX stocks for the AI revolution
Goodman Group (ASX: GMG)
Goodman Group is an ASX real estate investment trust (REIT) that has long been a market darling. This property-focused stock has long had a reputation for investing in savvy, future-facing assets that prove to be highly lucrative. This includes e-commerce warehouses and logistics facilities. But more recently, data centres. These centres help push AI technology forward.
Any AI service requires a massive amount of digital infrastructure to support it. Goodman has been investing huge sums of capital into data centres and is one of the largest owners of this infrastructure in the country.
It can be thought of as a 'picks-and-shovels' business for the AI revolution. As such, it's my view that Goodman Group has the potential to serve long-term investors well as an AI stock.
BetaShares Nasdaq 100 ETF (ASX: NDQ)
Our next ASX stock isn't really a stock at all, but rather an exchange-traded fund (ETF). The Betashares Nasdaq 100 ETF is an index fund. It tracks the largest 100 non-financial stocks listed on the American NASDAQ exchange. The NASDAQ used to be known as the exchange where the US' largest tech companies call home. That is still true, although it is rapidly evolving from tech to AI.
Just take NDQ's large holdings. Apple, Microsoft, NVIDIA, Amazon, Meta Platforms, Alphabet, and Broadcom are all among the largest holdings in the Betashares Nasdaq 100 ETF. All are leaders in the AI space and, at least in my view, are likely to continue to be AI pioneers. As such, I think this ASX ETF is another great choice for long-term investors who wish to see some significant exposure to AI in their own ASX stock portfolios.
