Meta Platforms Inc. (NASDAQ: META) is advancing its artificial intelligence capabilities with the launch of a new personal AI agent named "Muse." According to a recent report, this agent is designed to move beyond simple question-and-answer interactions to complete complex tasks for users. The system is positioned to help users research products, negotiate deals, and, with explicit permission, complete purchases directly within the platform.
T. Rowe Price portfolio manager Tony Wang noted that this development creates a potential second growth engine for Meta beyond its traditional advertising revenue. He characterized the move as giving Meta a "distribution advantage," leveraging its massive user base to facilitate transactions.
The article highlights several exchange-traded funds (ETFs) that offer investors exposure to Meta and the broader ecosystem that could benefit from this shift:
- First Trust Dow Jones Internet Index Fund (FDN): This fund holds Meta as its largest holding, accounting for approximately 10.5% of the portfolio. Other major holdings include Amazon, Alphabet, Salesforce, Oracle, and Cisco Systems.
- Invesco AI and Next Gen Software ETF (IGPT): Meta represents about 8.7% of this fund. The portfolio also includes Nvidia, Alphabet, and Micron Technology. The report suggests that if agentic AI drives demand for memory and networking hardware, this fund could benefit.
- Global X Social Media ETF (SOCL): This fund holds Meta at roughly 10.6%. Its other holdings include Reddit and Tencent, offering a focused bet on the social-media ecosystem.
- Communication Services Select Sector SPDR Fund (XLC): This fund provides the most concentrated exposure to Meta, with the company comprising 19.3% of the portfolio. Alphabet’s two share classes make up another 18.2%. The fund has only 27 total holdings.
- Invesco QQQ Trust (QQQ): While Meta accounts for a smaller 2.9% of this broader index, it offers exposure to the wider technology ecosystem, including large positions in Nvidia, Apple, and Microsoft.
The article notes that the ultimate impact on these ETFs depends on whether AI agents become a mainstream consumer behavior across Meta’s platforms, such as Instagram and WhatsApp. If successful, the massive distribution network could serve as a significant competitive advantage.
