Goldman Sachs: Under the impact of AI, the light-asset halo fades, with capacity and infrastructure becoming hard currency

Goldman Sachs strategists say that as investors seek to avoid the disruptive risks brought by AI, stocks of companies with substantial physical production assets are performing well. The report states that investors are increasingly turning to stocks with what strategists call the “halo effect,” which are companies with large asset bases, low obsolescence risk, mainly in sectors like utilities, basic resources, and energy. Goldman Sachs strategist Jaisson said, “The market is rewarding capacity, networks, infrastructure, and engineering complexity—these assets have high replication costs and are less likely to be replaced by technological advances.”