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Lessons from past bubbles for the AI revolution

A cautious approach is warranted to navigate the challenges in investing in artificial intelligence

    • The ebbs and flows of generative AI growth do not necessarily signal severe market instability; they are inherent characteristics of technological evolution within a market economy.
    • The ebbs and flows of generative AI growth do not necessarily signal severe market instability; they are inherent characteristics of technological evolution within a market economy. ILLUSTRATION: PIXABAY
    Published Tue, Mar 26, 2024 · 05:55 PM

    THE artificial intelligence (AI) revolution, with its expansion into neural networks and other novel fields, marks a dramatic shift away from traditional innovation models.

    Like all revolutions, it comes with challenges, as rapid technological advancement gives rise to concurrent risks. Market volatility and convoluted regulations are significant hurdles, especially for generative AI and large language models.

    But previous market bubbles provide valuable lessons for investors and emphasise the need for a clear-sighted, cautious approach.

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