A top UBS Wealth Management executive is urging investors to reconsider their portfolios as artificial intelligence threatens to disrupt software-driven businesses. Ulrike Hoffmann-Burchardi, global head of equities and chief investment officer for the Americas at UBS Wealth Management, argues that AI's impact on tech companies creates an opportunity to shift capital toward physical-world industries.

Hoffmann-Burchardi specifically recommends investing in miners, power producers, and industrial firms that operate in the physical economy. She believes these companies face less direct AI disruption compared to software-based businesses that could see their competitive advantages eroded. The UBS Wealth CIO's advice comes amid growing concerns about AI's potential to automate coding and software development tasks.

The recommendation represents a significant strategic shift for investors who have heavily weighted their portfolios toward technology stocks in recent years. By moving capital from digital to physical assets, investors may better position themselves for a future where AI reshapes the technology landscape. Hoffmann-Burchardi's analysis suggests that traditional industrial companies could become more attractive as AI reduces barriers to entry in software markets.