How to trade or invest in artificial intelligence (AI)
Artificial intelligence (AI) is getting set to change the future. Discover how to trade or invest in AI with us, the UK’s No.1 trading provider.1
Call 0800 195 3100 or email newaccounts.uk@ig.com to talk about opening an account.
Contact us 0800 195 3100
Get info fast via our instant help and support portal. Available for account queries, ProRealTime, product info and more.
Visit help and support for more information.
Get info fast via our instant help and support portal. Available for account queries, ProRealTime, product info and more.
Visit help and support for more information.
Call 0800 409 6789 or email helpdesk.uk@ig.com if you have any questions about trading or investing. We’re available from 9am to 5pm (UK time), Monday to Friday.
Contact us 0800 409 6789
Call 0800 195 3100 or email newaccounts.uk@ig.com to talk about opening an account.
Contact us 0800 195 3100
Get info fast via our instant help and support portal. Available for account queries, ProRealTime, product info and more.
Visit help and support for more information.
Get info fast via our instant help and support portal. Available for account queries, ProRealTime, product info and more.
Visit help and support for more information.
Call 0800 409 6789 or email helpdesk.uk@ig.com if you have any questions about trading or investing. We’re available from 9am to 5pm (UK time), Monday to Friday.
Contact us 0800 409 6789
If you’re ready to trade or invest in artificial intelligence, follow these steps:
1. Choose whether to trade or invest
Trading lets you speculate on rising or falling prices with spread bets or CFDs, investing lets you take direct ownership.
2. Identify a stock or ETF through your own analysis
Carry out your own technical and fundamental analysis to identify a stock or ETF that you’d like to take a position on.
3. Open an account and place your AI trade or investment
Open a trading account to speculate on prices with spread bets or CFDs, open a share dealing account to take direct ownership.
Get direct exposure to the top artificial intelligence stocks with our Artificial Intelligence Index
Explore a unique trading opportunity with our AI Index, where you can access a curated selection of leading AI stocks conveniently. Diversify your portfolio with exposure to prominent US corporations spearheading innovation. You can trade the index using spread bets or CFDs. Both are derivatives, which means you can:
Go long or short
Take advantage of market fluctuations by going long or short on the AI industry, enabling you to capitalise on both rising and falling prices. However, it’s important to remember that you can make a loss if the market moves against you.
Trade with leverage
Unlock the power of leverage by depositing only a fraction of the full trade value to open positions, which enables you to amplify potential profits based on the entire value of the trade. However, it’s crucial to know the associated risks, as leverage magnifies both gains and losses. This means your potential loss can exceed your deposit amount.
The index is calculated and managed by BITA GmbH.
Or, if you want to get a greater understanding of the AI sector before you take a position, here’s our full guide:
5 steps to trading or investing in artificial intelligence (AI)
Learn about the AI industry
The artificial intelligence (AI) industry is focused on researching, developing and manufacturing the latest and greatest machines that can make our everyday lives easier. The sector is centred around machines that’ve been programmed to carry out tasks which previously could only be performed by a human. Examples of these innovations are broad and range from smart speakers such as Google Voice or Alexa, to chatbots like Google Bard and Chat GPT, to driverless cars.
In many cases, AI has been seen to be more efficient and, in some instances, more accurate than a human. It has already been implemented in a range of sectors to help increase productivity through automation. These include healthcare, finance, car manufacturing, robotics, automation, education and agriculture.
Discover why people trade or invest in AI
People trade or invest in AI because it’s a growing sector that’s likely to become a greater part of our daily lives in the coming years. The technology has already altered the way we live by making certain activities more efficient, and it’s still relatively new. Who’s to say what the world will look like in 10 years’ time?
So, people are looking to trade or invest in AI due to its future potential. Companies such as NVIDIA and AMD, which create the chips and hardware needed to implement AI, have seen a significant increase in their share price since the AI hype began.
Big name companies are also getting involved. Microsoft, one of the main investors in OpenAI, has used the company’s products to improve Bing, their search engine, and their Microsoft Office software, to make it more user-friendly. Tesla has also used AI in the development of self-driving cars, and its v12 technology should enable them to be used on our roads in the near future.
When trading or investing, it’s important to diversify your portfolio to manage your risk by opening positions across multiple asset classes.
AI is one of several thematic investment opportunities that’ve gained popularity in recent years – and people are interested to see exactly what this industry has in store. Other thematic opportunities include water, electric vehicles and 5G.
Decide which AI asset you want to take a position on
With us, you’ll be able to trade or invest in artificial intelligence stocks or ETFs.
- Stocks give you exposure to the market performance of different companies that are directly involved in the artificial intelligence sector like Alibaba, IBM and Microsoft
- ETFs are a basket of securities – usually the shares of multiple companies and certain indices like the Nasdaq 100 – that will give you diversified exposure to the artificial intelligence sector
- AI Index – this index reflects the performance of notable US companies and is a great way to gain exposure to the AI market
- Stocks
- ETFs
- Indices
| Trading | Investing |
| Speculate on stock prices rising or falling with spread bets or CFDs. | Buy the stocks outright and benefit from any upward movement in their price. |
| Trading | Investing |
| Speculate on ETF prices rising or falling with spread bets or CFDs. | Buy shares in an ETF outright and benefit from any upward movement in the ETF’s price. |
| Trading |
| Speculate on prices rising or falling with spread bets or CFDs. |
- Artificial intelligence stocks live market prices
- Artificial intelligence ETFS live market prices
Choose whether to trade or invest in artificial intelligences
| Trading | Investing | |
| Markets | Artificial intelligence shares and ETFs | Artificial intelligence shares and ETFs |
| Method | Trading derivatives like spread bets or CFDs | Investing with a share dealing account, ISA or IG Smart Portfolio |
| Time frame | Short to medium term | Medium to long term |
| Initial capital required | Deposit (margin) | Full value of investment |
| Returns | Profit from long and short positions | From capital appreciation and dividends |
| Cost of trading | Spreads when spread betting, commission when CFD trading. Margin requirements vary | Buy and sell shares and ETFs from zero commission for US shares and £3 commission for UK shares2 |
| Tax benefits | Spread bets are tax free, and both spread bets and CFDs are free from stamp duty3 | IG ISAs aren’t subject to capital gains tax (CGT) or income tax3 |
| Risk | Leverage can magnify both your profits and losses as they’ll be based on the full exposure of the trade, not just the margin required to open it. This means losses as well as profits could far outweigh your margin, so always ensure you’re trading within your means. | Limited to the initial outlay |
| Style | Day trading, swing trading, trend trading and position trading | Passive and active investing |
Trading vs investing in detail
We like to be clear about the differences between trading and investing.
‘Trading’ lets you speculate on the price of a stock or other financial asset rising or falling using derivatives like spread bets or CFDs. If you want to take a position on AI stocks or ETFs without owning them directly, then spread bets or CFDs might be for you.
Bear in mind that these are leveraged products, which means they enable you to get full market exposure for an initial deposit – known as margin. But, while leverage can increase your profits, it can also increase your losses.
‘Investing’ means that you’re taking direct ownership of something to benefit from prices rising. You’ll be able to invest in the shares of individual companies that are involved in the artificial intelligence sector, or in ETFs to get broad exposure to AI.
Leverage isn’t available when you’re investing, so you’ll need to commit the full cost of your position upfront. While this could increase your initial outlay, it also caps your maximum risk at the amount of money you paid to open your position.
Here are our best share dealing commission rates compared to those of our competitors:
| IG | Hargreaves Lansdown | AJ Bell | |
| Best commission rate on US shares | Free | £5.95 | £4.95 |
| Standard commission rate on US shares | £10 | £11.95 | £9.95 |
| FX conversion fee | 0.5% | 1% - 0.25% | 0.75% - 0.25% |
| Best commission rate on UK shares | £3 | £5.95 | £4.95 |
| Standard commission rate on UK shares | £8 | £11.95 | £9.95 |
| How to qualify for the best rate | 3+ trades in prior month | 20+ trades in prior month | 10+ trades in prior month |
Identify an opportunity through your own analysis
Analysis is a crucial part of trading and investing – and competent analysis can be the difference between making a profit or incurring a loss. Technical and fundamental analysis are two forms of analysis which can be carried out.
- Technical analysis looks at chart patterns, technical indicators and historical price action
- Fundamental analysis is based on the fundamentals of a company, including its net revenue and profit and loss statements
Interested in analysis? Find out more at IG Academy
Pick your platform and place your AI trade or investment
We’ve got an award-winning trading platform4 – available on desktop or on-the-go with our mobile app. You’ll benefit from in-platform news and analysis from our in-house team of experts and Reuters newsfeeds – as well as a range of technical indicators that you can use to analyse charts and historical price action.
Step-by-step guide to making an AI stocks or ETFs trade
Here’s a screenshot of our trading platform, with some steps that take you through how to open a position for spread bets or CFDs.
- Search for and select your opportunity
- Choose ‘buy’ to go long or ‘sell’ to go short
- Put in your position size
- Set your stops or limits to help manage your risk
- Place your deal and monitor your position
Step-by-step guide to making an AI stocks or ETFs investment
Here’s a screenshot of our investment platform, with some steps that take you through how to open an investment position.
- Search for and select your opportunity
- Choose ‘buy’ to open your investment
- Put in your position size
- Set your order type
- Place your deal and monitor your position
Before you open a position on artificial intelligence stocks or ETFs, it’s important to take steps to manage your risk. For example, spread bets and CFDs are leveraged products, meaning that you should familiarise yourself with the impact of leverage on your trading.
We’ve also got free educational courses at IG Academy to help you get the most out of your time on the markets. If you’re not ready to trade with a live account, maybe you’ll want to try our demo – which gives you £10,000 in virtual funds to help build your confidence in a risk-free environment.
1 Based on revenue (published financial statements, 2023).
2
Our best share dealing commissions apply to clients who opened three or more positions on their share dealing account in the previous month.
3
Tax laws are subject to change and depend on individual circumstances. Tax law may differ in a jurisdiction other than the UK.
4
Best trading platform as awarded at the ADVFN International Financial Awards and Professional Trader Awards 2019. Best trading app as awarded at the ADVFN International Financial Awards 2020.
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