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The artificial intelligence (AI)-led rally of the “Magnificent 7,” which includes Nvidia (NVDA), Meta (META), Microsoft (MSFT), Amazon (AMZN), Apple (AAPL), Google (GOOG) and Tesla (TSLA), has come to a screeching halt in 2025. Due to the onslaught of President Donald Trump’s tariffs and competition from China, shares of the Roundhill Magnificent Seven ETF (MAGS), the most well-known ETF dedicated to the cohort, have corrected 23% on a YTD basis.
Although the growth runway for AI remains significant and intact, steering the portfolio toward a new technology gaining mainstream acceptance can be a prudent tactical move.