Indiscriminately investing in AI is wrong for too many reasons

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Do you know what is the best time to start investing ? Now—and it doesn't matter when you read this—. Financial advisors advise against playing with market timing to enter the stock market because, in the time it takes to find the perfect moment, you lose up to 1.5% of profitability. The stock market can also be very volatile in the short term. Just one piece of news is enough to destabilize the markets. A change in the electoral cycle , a bankruptcy in a very specific sector or a fad, such as the artificial intelligence boom . Some stocks grew by 300% after the wide acceptance of ChatGPT – the generative language AI designed by OpenAI. Suddenly, anything with a label related to this type of algorithm becomes more attractive. The same thing happened at the time with dotcoms. And you know what came next . "What also happened to cryptocurrencies? They didn't have a background that made them useful.

If it is really a topic that you are passionate about, what you would have to do is invest in 40 projects knowing that 30 are going to die, but that the 10 that survive will give you the necessary profitability to cover the losses of the remaining 30. In the end "Those Cyprus Phone Number List who really add value to society will survive," exemplifies Eduardo Peralta, CEO of Finsei . That is, it is not enough for any company to carry the AI ​​label . It has to be a scalable project. "Now there is an investment boom . It is clear that we have to invest, but not all that glitters is gold . In some way you have to have the capacity for analysis: what project do I have to do or does it make sense with my structure, with my business model? business and, above all, that it brings me value from the short to the long term without doing crazy things.




The same thing happens with this. Can artificial intelligence be useful? It depends on what for . Not only does a machine need to be smart, it's that That intelligence helps you apply it to something that gives you a benefit," says Guillermo Villar, financial advisor at inversimply . "Indiscriminately investing in artificial intelligence is wrong for many reasons," he warns. The pros and cons of investing in artificial intelligence Fashions have a high component of error, but also innovation. What is the problem? That only the best will survive. And as a novice or retail investor this does not suit you at all. "It is also true that they discover new things and that it is very interesting that anyone can inform themselves, read and take advantage of the potential they have," adds Alberte Santos, CEO of Evercom, who participated as a speaker at the Money Insider event: new investment trends in times of inflation organized by Business Insider Spain.