The AIQ Illusion: A Contrarian’s Take on Hancock’s Tech Gamble

What Transpired in the Digital Mirage

In a move that will undoubtedly set tongues wagging across Bloomberg terminals from Greenwich to Mayfair, Hancock Prospecting Pty Ltd has acquired a Global X Artificial Intelligence & Technology ETF (AIQ +0.22%) stake worth $73.82 million, according to a filing that arrived at the SEC like a particularly persistent telemarketer on November 14, 2025.

This represents a net position change of $71.75 million – a figure that would buy rather a lot of champagne for the inevitable IPO parties, assuming the AI bubble hasn’t yet burst by then.

Additional Observations from the Speculative Trenches

The AIQ now constitutes 2.4% of Hancock’s $3.07 billion 13F portfolio – a sum that would have purchased 144 Lamborghinis at 2025 prices, though apparently purchasing exposure to algorithms seemed more prudent.

Their current top holdings read like a who’s-who of modern investing anxiety:

MP Materials Corporation (MP +5.31%): $997 million (Enough to buy 32.5% of their self-respect)
Invesco Nasdaq-100 ETF (QQQ 0.09%): $767 million (The old reliable, like a well-tailored Savile Row suit)
Teck Resources (TECK +0.97%): $343 million (For when one fancies a touch of industrial grime)
Hudbay Minerals Inc. (HBM 0.29%): $220 million (The mining equivalent of a forgotten heirloom)
State Street SPDR Portfolio S&P 400 Mid Cap ETF(SPMD +0.48%): $81 million (For those who like their speculation with a side of mediocrity)

As of this writing, AIQ shares languish at $50.94 – a 5% discount from their 52-week high that might tempt the optimistic, or terrify the prudent. The ETF’s 30% one-year return would have made Keynes blush, though its 31 P/E ratio suggests we’re all supposed to ignore the man behind the curtain.

ETF: The Mechanical Turk of Modern Investing

Metric	Value
AUM	$5.98 billion (Roughly the GDP of a small island nation)
Price (as of market close 12/2/25)	$50.94 (The cost of two tickets to a West End show, circa 1955)
Dividend yield	0.12% (Practically decorative)
1-year total return	30% (Enough to turn heads at the yacht club)

Operatic Synopsis of This Particular Financial Drama

Tracks an index of companies pretending to be involved in artificial intelligence, which is apparently the new alchemy
Composed largely of equity securities from firms that mention “AI” more than “profit” in their earnings calls
Offers minimal dividends and maximal hope, like investing in a particularly charismatic startup founder’s PowerPoint

The Global X Artificial Intelligence & Technology ETF (AIQ) provides access to companies pioneering the future, though one might reasonably ask whether they’re pioneering profits or simply PowerPoint presentations.

With $5.98 billion in assets and a 30% return, the fund demonstrates remarkable growth in a sector where the only certainty is that someone, somewhere, is writing Python code at 3 a.m.

This ETF tracks companies developing AI and big data solutions, though the non-diversified structure suggests confidence in their algorithmic overlords – or perhaps just a lack of imagination.

Contrarian Calculations Beneath the Glamour

While Hancock’s AIQ purchase makes for splendid headlines, their QQQ position remains an order of magnitude larger – a fact that suggests this is less a revolution than a speculative indulgence.

AIQ’s 30% annual return, while eye-catching, must be weighed against its 0.68% expense ratio – a tollbooth on the road to riches that QQQ’s 0.2% doesn’t charge. The dividend yield? Practically an afterthought.

One might reasonably question whether this ETF offers anything beyond what QQQ already provides, dressed up with some algorithmic window dressing. The largest holdings are familiar names that have already graced countless portfolios – hardly the stuff of revolutionary disruption.

For those inclined to join Hancock’s wager, remember: the siren song of artificial intelligence sounds remarkably similar to the dot-com chorus of yesteryear. One might do better assembling a portfolio of favored AI stocks directly – or simply purchasing QQQ and saving the difference for more champagne.

Glossary for the Bewildered Investor

13F reportable assets under management (AUM): The portion of a fund’s assets that must be disclosed, lest the market remain pleasantly mysterious.
Net position change: The difference between buying and selling, expressed in currency rather than regret.
Dividend yield: That charming but often negligible courtesy payment from investments.
Forward price-to-earnings ratio: A numerical incantation predicting future profitability with questionable accuracy.
Total return: The sum of price changes and dividends, assuming one reinvests rather than spends them on luxuries.
Non-diversified structure: A strategy of putting many eggs in one basket, hoping for the best.
Thematic exposure: Investing based on trends, much like choosing a restaurant based on Instagram aesthetics.
Equity securities: Pieces of paper representing ownership, though not necessarily wisdom.
Index tracking: The financial equivalent of following the crowd, with slightly more mathematical rigor.
Stake: The amount invested, which may or may not represent the investor’s actual stake in reality.

2025-12-05 06:12