Post #3485845
2026-06-30 07:51 UTC
Do not invest in AI ETFs.
1. AI isn't exclusive to them.
Any high school kid can get AI tools.
2. The edge represents the most likely output of a language model fed with literature
An AI model predicts text from the corpus. It's not innovating. It's predicting. The most likely answer, for everyone.
3. LLMs cannot do math
They are text crunchers. If that's enough for an ETF, it's slop.
4. LLMs do not have any fundamental capability to assess 10-Qs, 10-Ks, Earnings call transcripts or SEC filings. It's always the best year of the quarter ;)
LLMs are not trained to reason against business phrasing / deceptive text. The buy the most optimistic speech pattern, not the fundamental edge.
5. The AI is made by a 3rd party. You have no control.
Do not invest in AI ETFs. Do not invest in IPOs. Unless you have a plan and a setup, that resembles a professional hedge fund.
#ai #etf #riskmanagement #slop
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