Morgan Housel

Everyone has the same information.

It's all on your phone.

A kid in Africa has the same information that the people working at Goldman Sachs do.

So informational edges almost don't exist like they have.

And so over the last 30 years, what has become more important in terms of having an edge is behavioral.

Very hard to have an information edge.

But if you can remain calm when others are panicking, that's your edge.

And to the extent that AI is another layer on top of that.

that the people building investing models on Wall Street, discounted cash flow models, even 10 years ago, that was kind of a unique thing.

That was a unique skill they had.

Now, any AI can whip out those models in three seconds, and anyone can do it for free.

So that edge doesn't exist anymore.

What could backfire with AI and investors, as everyone knows if you've used ChatGPT or Anthropic or whatever, they're all sycophants.

They just tell you whatever you want to hear.

And very much like social media,

It's very good at keeping you engaged.

They know exactly how to keep you scrolling.

And I think with the LLMs now, they want to keep you on the page.

They want to make you happy.

They want to tell you that you're doing great.