Tech is hot again. After falling in 2022 and taking the rest of the market with it, tech is once again popular with investors. The tech-heavy composite is up 37% so far in 2023, about double the broader S 500's gain.

Industries will always have cycles, so investors shouldn't get too excited or perturbed by short-term movements. But tech as an industry could be riskier than other stocks, since a lot of it is fueled by unproven or unprofitable technology. Then again, it also provides some of the best opportunities for skyrocketing growth.

If you're investing for retirement, the best way to play it is to stick with proven tech stocks that will have a large upside. And if you have a long time horizon, you should invest in tech stocks that are demonstrating strong performance and have a viable path toward profitability. Amazon (NASDAQ: AMZN), (NASDAQ: MELI), and SoFi Technologies (NASDAQ: SOFI) are my three recommendations.

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Source Fool.com