An old boss of mine once laid out a rule I (Chris Reilly, filling in for Stephen) never forgot:
If one of your analysts is excited about a trend, pay attention.
If two of them are saying the same thing, write it down.
If three of them agree—you have no excuse not to put some money to work.
I recently hosted our private call for invitation-only RiskHedge Reserve lifetime members, which we hold quarterly. During these calls, Stephen McBride, Justin Spittler, and Chris Wood share their best buys and much more.
Before we wrapped up, I asked them the same question: “What’s the biggest market theme to make money for the rest of the year?”
These guys didn’t coordinate. They come from different angles—tech disruption, trading, growth-stock investing...
And yet… all three gave a similar answer.
Here’s what they said—in their own words.
Justin Spittler: “Physical AI and robotics could be the next rotation.”
Early in the cycle, it was all about Nvidia (NVDA) and Meta Platforms (META), the mega caps. Then you saw a rotation into semiconductor stocks. Then banks and financials were working well. Now, there are multiple themes working at once.
But we’re at the stage in the market where narrative is incredibly powerful. If Tesla (TSLA) really starts to pick up more steam—and it’s already done well—I think the conversation could turn to robotics. People are looking for the next big thing.
I still think the data center buildout continues. The artificial intelligence (AI) energy trade is going to be a great trade between now and the end of this bull market. Animal spirits are picking up. People are looking to the future for the next rotation.
Physical AI and robotics—that’s the space I’m watching between now and the end of the year.
And look, if we get a blow-off top, it’ll be in AI. That’s where it’ll be most pronounced. As a trader, that’s where I want to be. As an investor, that’s where you want to be, too.
Chris Wood: “Follow how capital is shifting through the AI value chain.”
Of course it’s AI. But not just broad “AI.” What matters is how investment is progressing through the value chain: the enabling layer, the intelligence layer, and the application layer.
We’re watching how spending shifts between those layers because that’s how you find the next batch of big winners. This won’t be one wave—it’ll come in phases. And different groups will lead each phase.
Right now, we’re moving past the pure infrastructure stage. Chips, servers, and data centers got the early funding. Now, the intelligence layer is attracting capital. After that, the real money goes into applications—and that’s where you’ll see the explosive opportunities.
That’s what I’m focused on: where the money is flowing next. That’s where the returns come from.
Stephen McBride: “Don’t overthink it. AI is the next big thing.”
Listen, I hate to say it, but it really is AI.
Investors are always on the hunt for the next big thing. We’re info junkies. But that can make you overthink and overtrade because you’re always asking, “Well, we made money from that—what’s next?”
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The next thing is AI. The largest companies in the world are spending hundreds of billions of dollars on this. This year, it’s around $350 billion. We’ve run the numbers—next year, it’ll probably be $450 billion or $500 billion. This is the thing.
We’ve written a lot about the “theme of the decade.” If you nail the theme of a decade, you can make one decision—buy 10 stocks, a basket—and go to the beach. The problem is that investors get in their own way. They overthink.
So yeah, don’t overthink this. AI is where the money’s going. This is the theme of the decade.
Chris Reilly again. As you’ve heard, AI is entering a new phase.
Justin is watching the narrative shift—from chips and mega caps to robotics, data center energy plays, and physical AI. That’s where momentum traders and fast money rotate next.
Chris Wood is tracking the capital shift—from enabling infrastructure into intelligence platforms and soon into real-world applications. That’s where the next batch of AI 10X–20X winners will come from.
Stephen reminds us not to get cute trying to outsmart the obvious. When companies are committing half a trillion dollars to something, you don’t wait around for the “next” trend. This is it.
If you’re ready to profit off the next leg of AI, Stephen and Chris just dedicated their October Disruption Investor issue to this idea.
In it, they show how the spending is evolving and who the next winners are, including their latest portfolio recommendation.
Paid-up members can access the issue here.
If you’re not a member, upgrade here.
Chris Reilly
Executive Editor, RiskHedge