AI Whistleblowers Warn of Existential Risk
If you’re like me, the past week has been heavy. AI whistleblowers sounding the alarm that they believe there’s a greater than 10% chance that future AI systems could wipe out humanity.
I’ll be honest. I’ve gone down the rabbit hole over this, and climbed back out. And still there are questions.
How could that happen? Who are these whistleblowers and can they be trusted? What now for AI? And what happens to the AI stock trade, and even the overall market?
Stock Market Reaction to AI Fears, Inflation Data, Rate Hikes & the Iran Conflict
Whistleblowers and AI annihilation fears were largely shrugged off by the stock market this week, as investors focused on more tangible things like inflation data, rate hikes, and the ongoing conflict with Iran. And, honestly, that’s what we all should be doing.
We Cannot Know: Why AI Uncertainty Means Business as Usual
After contemplating the dire predictions, reading and listening to the doomsday voices, and finding plenty of counter-perspective to provide balance, we are left with one conclusion: we cannot know. And, quite frankly, AI buildout will happen, even if companies slow the pace. So, unless we are ready to get completely off the grid, as if that’s even possible, and live in a fortified bunker for the rest of our lives, we have to carry on, with business as usual.
Why Doomsday Economic Predictions Rarely Come True
It’s very similar to what we’ve said about many dire economic predictions in the past. First, they rarely come to pass, and second, if the rules of the game are going to change in the future, but we don’t know how they will change, we should continue to play the game by the rules we know. Buying in to a doomsday prediction is a sure fire way to fail to reach your financial goals.
The Broken Clock Effect: Market Crash Predictors Are Usually Wrong
Here’s why. Nobody gets it right, at the right time. There are lots of people who make a really good living making predictions of market crashes and economic collapses. Some of them have gotten a few of them right. But, the old saying goes, a broken clock is right twice a day. If you research those people, you’ll likely find that they make the same bold predictions almost constantly. So, they are wrong infinitely more often than they are right.
Sometimes, these people are making predictions about how the game will permanently change. It never has. Not for over a century. Any economic collapse or market crash, was a blip on the radar to a better future.
Investing with Conviction: Choosing Faith Over Fear
There is a term used in investing called conviction. It’s used to mean a high belief in a stock, sector, or strategy, that causes the investor to lean into it a little more. It’s faith. Faith that their choices will pay off. Ultimately, they may be wrong, but the faith is usually founded on facts, and tangible data, not on trying to predict the future. That’s fear. At the end of the day, I’ll choose faith over fear, every time.
Securities are offered through LPL Financial, Member FINRA/SIPC. GenWealth Financial Advisors is an other business name of Independent Advisor Alliance, LLC. All investment advice is offered through Independent Advisor Alliance, LLC, a registered investment adviser. Independent Advisor Alliance, LLC is a separate entity from LPL Financial.
