Deep Dive: Technology continues to excite but investors must beware 'boring history'

Considerable divergence of stocks

clock • 5 min read

Technology remains one of the most talked about sectors of recent years, but investors must be mindful of the enormous diversity within the space and the long history of technological advancements, according to experts.

One of the key risks facing technology investors is the unbridled optimism that often accompanies such developments, as Mark Murray, senior investment analyst at Morningstar, warned, citing the "extrapolation of high growth into the decent future". Investors raise human rights concerns over facial recognition technology "On top of having performed well recently, these stocks usually carry exciting and gripping narratives making us forgot about boring history and long-term data," he said. "While it can be tempting to view the current group of companies as unique and history as not r...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Global

Investment Week launches Geographical Equities Conference 2024

Investment Week launches Geographical Equities Conference 2024

Allianz Global Investors, Downing, EdenTree and Royal London Asset Management among speakers

Investment Week
clock 15 January 2024 • 2 min read
Moody's downgrades China sovereign credit outlook to negative

Moody's downgrades China sovereign credit outlook to negative

Retains A1 rating

Elliot Gulliver-Needham
clock 05 December 2023 • 2 min read
ECB warns high rates are pushing economy towards fragility

ECB warns high rates are pushing economy towards fragility

‘Early signs of stress’ in banks

Elliot Gulliver-Needham
clock 22 November 2023 • 2 min read
Trustpilot