3Wk·

AI as a great investment opportunity?

We (around 40 people from SW development) trundled into a bar after work last week and wanted to round off the evening in a relaxed atmosphere. Instead of 2 beers, there were of course significantly more and the topic of our operational business was over relatively quickly, in the end of course (once again) we only talked about AI and the discussion hype/sustainability and how each individual can benefit from it (many do without any company insurance, prefer to receive an annual bonus and invest it in the stock market).

In the end (8 beers later) there was relative agreement that it is

a) it is a megatrend with a tailwind (comparable to the internet or smartphones back then)

b) AI will change every industry (and in my opinion very quickly)

c) targeted investments will lead to significant increases in value in 5-10 years.

What has left us all with questions is the impact on the labor market. Entire industries will look completely different in the future; instead of people, there will be robotics and perhaps a handful of people monitoring everything. Where will that lead? Tax systems need to be rethought (loss of jobs = loss of wage tax and social security contributions), the education system needs to be revolutionized and so on. Where are we heading? AI user tax? Digital value-added taxation?

Very exciting with our political leaders and little hope :D

Of course, this is all minimally frightening, but it also offers us all incredible opportunities.

To return to the core issue: I think we all have an opportunity here to build massive wealth. My portfolio is extremely tech-heavy, so I'm still betting on the big players ($NVDA (+3.19%) , $TSM (+1.13%) , $ASML (+1.26%) - entire value chain for chip development), $GOOGL (+3.98%) , $META (+2.82%) . $AMZN (+3.59%) and also a few riskier ones like $PLTR (+7.48%) , $SMCP, $NOW (+1.82%) etc.).

Quantum computing would of course be the next big highlight, but that's another story.

What do you think about it? How will AI shape our generations, what social impact will it have and where are you investing?

LG Max

11 Comments

TotallyLost@TotallyLost

3Wk

Who says that tech companies will benefit the most from AI and robotics?
My thesis is that they will cannibalize each other, the good old competition in capitalism will ensure that prices fall and margins too.
The winners could then be those who can ultimately buy the services and products to increase productivity at low prices.

You can already see it with ChatCPT, Gemini and the other gadgets.
Nobody earns money with them except the users who use them to increase their productivity.

So it may well be that boring industrial companies or Auntie Erna's travel agency are the big winners. 😅

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Charmin@Charmin

3Wk

If history has taught us anything, it is that there has never been an invention that has made people "useless". People simply do different jobs. The "human computers" of the 1950s became programmers, for example.

AI is already radically changing many markets (think of jobs such as translators, voice-over artists, graphic designers), and the number of applications is increasing rapidly. This will continue until every niche has its own AI application.

We are still in the infancy of AI, comparable to the 4004 (quasi first CPU from Intel; 1971), if you apply this to the computer revolution. Just as it was impossible to imagine back then what computers would make possible, it is difficult to predict today what AI will achieve.

But a few things are clear to me:

1. it will be an ultra-cool and exciting time
2. companies like NVDIA will go completely through the roof - we've seen virtually nothing here yet
3. there will be a massive shakeout of players on the market (in several waves), only the most relevant will survive, most will disappear again as quickly as they arrived

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Stuttgarter81@Moneymoney

3Wk

Hi Max. AI is definitely a megatrend - the question is just how far it has already been priced in. At the beginning of a megatrend there is often a hype that ends in a bear market - the question is where are we now? Are today's winners also tomorrow's winners? In my view, the markets are not favorable. The hype of 2000 is not yet here, but many people in my circle have already entered the market who were not interested in the stock market before - that's why my cash share is relatively high at almost 50 percent - after all, you get an average of 3.5 percent p.a. for a good, almost risk-free bond share. I wish you continued success 🍀👍🏻

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Hugo@hugosilva77

3Wk

After so many beers someone was still sober to remember the conclusions? lol

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Max@MaxtheCat

3Wk

@hugosilva77 we are living in Austria, this is called breakfast

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Susanne@Isus01010

2Wk

In my opinion, this is only scratching the surface.
If you look at what Google & Co have achieved with protein folding, for example, this will open up new opportunities for the pharmaceutical industry in the development of drugs.
I think many traditional areas have the potential to generate great added value through AI.

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AdriInvests@AdriInvests

2Wk

In Germany, AI will probably be taxed so highly that it will be cheaper to hire people. System saved 😂

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