‘A tsunami effect’: ETF fund manager bets on the robot boom

Artificial quality isn't conscionable a blistery taxable successful Hollywood.

While fearfulness robot movie "M3gan" racks up millions astatine the wintertime container office, the ETF manufacture is seeing opportunities from the arguable technology.

According to ROBO Global CIO William Studebaker, the economical benefits could beryllium staggering.

"You're going to spot a tsunami effect successful presumption of prices coming down arsenic a effect of deflationary pressures from these technologies," helium told CNBC's "ETF Edge" connected Wednesday. "It's successful concern manufacturing, wellness care, AG [agriculture], information and surveillance … and others."

Studebaker manages the ROBO Global Robotics and Automation Index ETF, which is up 12% truthful acold this year. The exchange-traded fund's holdings see IPG Photonic, Zebra Technologies, Rockwell Automation and Teradyne.

"I person precocious assurance this is going to beryllium precise additive to our economies globally, and importantly, conscionable generating caller growth," helium added.

There's wide interest AI volition travel astatine the disbursal of jobs. But Studebaker contends that hazard is overblown.

"If you look astatine the companies and countries that person the highest utilization of automation — Guess what? They person the lowest unemployment rates," helium noted.

The International Federation of Robotics reported a milestone past year. It recovered a grounds fig of robots were installed implicit the people of a year, which is simply a 22% summation from the pre-pandemic grounds acceptable successful 2018.

Studebaker suggests the robot roar is inactive successful its aboriginal innings.

"If you deliberation astir the fig of information scientists and radical that are trained successful AI globally, it's a de minimis figure," Studebaker said. "[The AI surge is] going to instrumentality a agelong clip for this to happen."