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Worried About an AI Bubble? Invest in These 3 ETFs

Source: Motley Fool

2025-12-18 13:40:12 ET

Artificial intelligence (AI) stocks have been red hot in recent years, perhaps too hot. The problem is that has inflated the value of the S&P 500 , which has historically been a safe index to track as it's a collection of the leading stocks on the market. But if it's too heavily tilted toward tech, as it arguably is now due to soaring AI stocks, that may make investors a bit nervous about investing in normally safe funds that track the S&P 500.

The good news is that there are alternative options. You can invest in exchange-traded funds (ETFs) that give you a diverse mix of stocks, while keeping your overall exposure to tech to a minimum. Three ETFs that you may want to consider are the Vanguard High Dividend Yield Index Fund ETF (NYSEMKT: VYM) , Invesco S&P 500 Revenue ETF (NYSEMKT: RWL) , and the State Street Consumer Staples Select Sector SPDR ETF (NYSEMKT: XLP) . Here's why these three ETFs are AI bubble resistant.

Image source: Getty Images.

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