deVere Group CEO Nigel Green warns AI trade is fracturing

Nigel Green, chief executive of deVere Group, cautioned AI investors to focus on three priorities for the remainder of 2026 as the sector’s rally shows signs of fracture. Global AI investment is projected to exceed $2.5 trillion in 2026, yet there is a stark gap between roughly $400 billion in infrastructure spending and only about $100 billion in enterprise AI revenue.

A Bank of America fund‑manager survey found 45% of respondents now view an AI bubble as the market’s greatest tail risk, up from 11% a few months earlier, with more than half believing AI stocks are already overvalued. Market data showed Asian equities slipping, the MSCI Asia‑Pacific index down 0.2% and South Korea’s Kospi falling 1%, while the S&P 500 retreated from a record high and a semiconductor index lost over 1%.

Nvidia shares fell 5% after reports of a $250 billion payment guarantee for OpenAI’s data‑centre lease and discussions of up to $350 billion in additional financing, pushing its market cap below Apple’s for the first time in over a year and triggering a record surge in its five‑year credit‑default swap premium. Despite record quarterly revenue, SK Hynix’s stock dropped 9% on the earnings call. Green urged investors to stop treating the AI trade as settled and apply rigorous scrutiny.