As AI transforms the speed and breadth of market analysis, Rathbone Income Fund Manager Carl Stick asks an uncomfortable question: what happens when investors stop doing the thinking themselves?
Do I risk being labelled an old-fashioned, out-of-touch Luddite if I don’t whole-heartedly buy into the AI revolution? Perhaps I am simply long in the tooth or sufficiently seasoned enough to tolerate the inevitable criticism that comes with suggesting the industry may be getting complacent. As Edward Luce recently wrote in the FT, for AI cheerleaders, “safety is woke”; so I open myself up to such a label.
That said, I’m not entirely sure the AI enthusiasm in corporate America and on Wall Street is universally shared. Step outside the industry bubble and there’s a noticeable degree of unease about where all this leads. Whether justified or not, that disconnect alone should give us pause for thought. Markets tend to run into trouble when confidence becomes one-sided.
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