> ## Content Index
> Fetch the complete content index at: https://www.leadlagreport.com/llms.txt
> Use this file to discover other available public pages before exploring further.

# The AI Trade Is Broadening — and Portfolios May Need to Catch Up
- URL: https://www.leadlagreport.com/the-ai-trade-is-broadening-and-portfolios/
- Published: 2026-01-28T01:08:09.000Z
- Updated: 2026-01-28T01:08:09.000Z
- Author: Michael A. Gayed, CFA
- Tags: Newsletter, #substack, #substack-type-newsletter, #substack-access-everyone, #Import 2026-07-17 08:13

Artificial intelligence has been the dominant force behind equity market leadership, but that leadership has come at a cost: concentration. A small group of mega-cap stocks now accounts for an unusually large share of index weight, while the real economic footprint of AI continues to expand well beyond that narrow group.

The next phase of AI may look very different from the first.

That’s the focus of an upcoming **live webinar** I’m hosting with **KraneShares**, featuring **Derek Yan**, Senior Investment Strategist at the firm. We’ll be discussing how AI exposure is evolving from the Magnificent 7 toward a broader ecosystem that includes infrastructure, software enablers, robotics, and physical AI.

👉 **Register here:**  
[**https://us06web.zoom.us/webinar/register/WN\_Fcoe7POaRpaYUOGNokXAug**](https://us06web.zoom.us/webinar/register/WN%5FFcoe7POaRpaYUOGNokXAug?ref=leadlagreport.com)

### Why this conversation matters now

AI didn’t become dominant by accident. It outperformed because it delivered. But today, market concentration has moved faster than earnings contribution, and enterprise adoption has entered a new phase where AI is being embedded directly into workflows, production, and decision-making.

At the same time:

- Innovation is increasingly staying private for longer
- Robotics and automation are moving from concept to deployment
- Energy availability and geopolitics are becoming binding constraints on AI development
- The global AI race is intensifying, particularly outside the U.S.

These shifts raise an important question for investors and advisors alike: **Is AI exposure too narrowly defined in portfolios today?**

### What we’ll cover in the webinar

During this CE-approved session, Derek and I will explore:

- Why AI market leadership has become historically concentrated
- How enterprise AI adoption is translating into real economic usage
- The role of physical AI, robotics, and embodied intelligence in the next phase of growth
- Portfolio construction considerations as AI broadens beyond mega-cap platforms

This discussion is designed to be educational, forward-looking, and practical for advisors thinking about concentration risk and diversification within thematic allocations.

### Webinar details

**Title:** The AI Broadening Trade: From the Magnificent 7 to the Next Phase of AI  
**Host:** **Michael Gayed**, Publisher of *The Lead-Lag Report*  
**Presenter:** **Derek Yan**, Senior Investment Strategist, KraneShares  
**Date:** Wednesday, January 28  
**Time:** 11:00 AM – 12:00 PM ET  
**CE Credit:** CFP® Board approved

If AI is moving from a narrow trade to a broad economic force, portfolios may need to evolve with it. I hope you’ll join us for the conversation.

👉 **Save your spot here:**  
[**https://us06web.zoom.us/webinar/register/WN\_Fcoe7POaRpaYUOGNokXAug**](https://us06web.zoom.us/webinar/register/WN%5FFcoe7POaRpaYUOGNokXAug?ref=leadlagreport.com)