Video games and TV shows are not child's play to Darren Chervitz. They're serious investments, getting especially close scrutiny as the Consumer Electronics Show previews the future in Las Vegas.
Chervitz is co-portfolio manager of the four-star Jacob Internet Fund, which has returned an annualized 24.3 percent over the last five years.
His list of recommendations for investors includes Take Two Interactive .
"In the second quarter of the year, they're going to launch the latest iteration of what is the best-selling video game series of all time, Grand Theft Auto," he told CNBC. "It's the first one for the new generation devices, PS3 and the Xbox 360."
Chervitz says the company is no longer dependent on a single blockbuster game series.
"Bioshock, for the Xbox 360, continues to be among the top sellers, and that is a new development that we think makes the company even more valuable," he said.
One of the most notable trends Chervitz has spotted at the CES is high-definition TV, and that underscores his choice of Sigma Designs .
"They make the media-processing chips for two very high-growth markets right now: IPTV set-top boxes — they're the only chips certified by Microsoft right now — and also high-definition DVD recorders and players," he said. "Consumers have spent billions of dollars investing in high-definition TVs, and they want to make sure they have the content to take full advantage of that."
Chervitz owns Take Two Interactive and Sigma Designs through his fund.