Jamie Dimon Just Issued a Warning About AI Stocks. History Says the Smartest Investors Are Making This 1 Move.

Jamie Dimon, CEO of JPMorgan Chase, is one of the most respected voices in American business. When he raises concerns about the stock market, it's worth paying attention.

In a recent interview with Wilfred Frost on the Master Investor Podcast, Dimon said that the stock market feels a little too complacent about risks. He issued a warning about the artificial intelligence (AI) boom, drawing on what happened during the dot-com boom (and bust) of the late 1990s. When asked about risks facing AI stocks, Dimon said:

When I look at AI itself, the amount of money being spent is huge. Will it pay off in total? Probably, just like the internet did. Will it pay off the way you expect and the timetable you expect? Definitely not.

Jamie Dimon, JPMorgan Chase CEO. Image source: JPMorgan Chase.

Dimon also mentioned that before the long-term winners of the internet stock era like Alphabet emerged, there were bankruptcies and failures among former dot-com darlings like Yahoo! and Netscape. No one knows yet which stocks will be the long-term winners of the AI trade.

So how should you invest? Based on long-term stock market history and what happened to internet stocks 25 years ago, smart investors will continue investing in broadly diversified portfolios of stocks based on fundamentals and long-term growth potential -- not short-term hype.

If you agree with Dimon's assessment that AI is likely to pay off in the long run, let's look at two exchange-traded funds (ETFs) that are worth considering today.

Vanguard Morningstar Total Stock Market ETF (VTI): 3,531 stocks, 10 years of 14.5% annualized returns

If you don't know which stocks will be the big winners of AI but believe the U.S. stock market will go up in the long run, one simple move is to buy the Vanguard Morningstar Total Stock Market ETF (NYSEMKT: VTI). This is an ultra-low-cost index fund with an expense ratio of 0.03%. It holds roughly the entire U.S. stock market in its portfolio, with a total of 3,531 stock holdings.

That includes companies of all sizes (large caps, midcaps, and small caps). This fund owns growth stocks and value stocks, tech stocks, and all kinds of other industry sectors. No matter what happens next with AI stocks, if you believe that the U.S. economy will keep growing in the long run and U.S. companies will keep generating profits, buying this total stock market ETF can be a good move for long-term investors.

The Vanguard Morningstar Total Stock Market ETF has delivered average annual returns (by net asset value) of 14.5% for the past 10 years and 11.75% for the past five years.

Invesco Nasdaq Next Gen 100 ETF (QQQJ): 106 stocks, three years of 18.6% annualized returns

If you want to make a more targeted investment in a group of companies that might include the future Alphabet-style big winners of AI, this Nasdaq-focused ETF could be a good choice. Instead of tracking the tech-heavy Nasdaq-100, which includes some of the biggest names in AI, the Invesco Nasdaq Next Gen 100 ETF (NASDAQ: QQQJ) holds 106 stocks of smaller companies that might become the biggest tech names of the future. This fund's top five holdings are:

• eBay: 2.4% of the fund
• Natera: 2.2%
• Credo Technology Group: 2.2%
• Flex: 2.1%
• Revolution Medicines: 2.1%

Not all the stocks in this fund are directly related to the AI trade. But if you agree with Dimon's general assessment that some of the biggest winners of the future AI-driven economy might not be household names yet, this tech ETF can fit that strategy. It offers exposure to forward-thinking, fast-growing companies that sell cloud computing, cybersecurity, natural language processing, and other products and services related to the AI economy.

The Invesco Nasdaq Next Gen 100 ETF has delivered average annual returns (by net asset value) of 18.6% in the past three years and 32.9% in the past year. It charges a reasonable expense ratio of 0.15%.

Why buy VTI or QQQJ?

Just buying and holding these two ETFs could be a smart move for long-term investors. I own the Vanguard Morningstar Total Stock Market ETF (VTI) as a core part of my portfolio. If you are especially bullish on the future of tech and want to try some different stocks that might be overlooked by other investors, the Invesco Nasdaq Next Gen 100 ETF (QQQJ) could be worth considering.

JPMorgan Chase is an advertising partner of Motley Fool Money. Ben Gran has positions in Vanguard Morningstar Total Stock Market ETF. The Motley Fool has positions in and recommends Alphabet, JPMorgan Chase, Natera, and eBay. The Motley Fool recommends Flex. The Motley Fool has a disclosure policy.