Favor stocks where AI applications are most proven, says GMO's Tom Hancock

AI Investment Opportunities - The market favors stocks with proven AI applications, particularly those benefiting from AI in areas like ad targeting [1][2] - Custom silicon and foundries like Taiwan Semiconductor are key areas for investment in AI infrastructure [2][3] - Semicap equipment companies also present opportunities in the AI space [3] - Betting on the 5% of AI projects that generate returns is crucial for profitability [4] Company Specific Analysis - Meta is benefiting significantly from AI in ad targeting and content delivery [2] - Broadcom is a way to play custom silicon solutions [2] - Accenture is viewed contrarily as an AI beneficiary, expected to see increased demand for AI implementation services, despite market skepticism [6][7] - ASML, specializing in lithography for advanced chips, is expected to benefit from the increasing need for power efficiency in AI chips [7][8] Macroeconomic Concerns - Concerns exist regarding the macro environment and the Federal Reserve's actions [11] - The market prioritizes short-term low interest rates over long-term Fed independence [12]