One simple question gives humans the edge over AI for now
Lost amid a constant flow of coverage about ways ChatGPT or Claude is disrupting industries (e.g. publishing,advertising and technology) is why the AI decided that was the optimal solution. What factors led to its answer based on nearly infinite data points run through complex algorithms against its user’s specific request? No AI today can explain why and that is its single biggest barrier.
Consider an investor asking their advisor why she changed the mix of investment vehicles in their portfolio and being told “because” or, even worse, “I don’t know.” That’s the exact scenario for the foreseeable future with an AI adviser. AIs are built around results and not reassuring individuals to trust it other than on performance. It’s knowledge (AI) vs wisdom (human experts in their field).
Semantics are the other advantage financial professionals hold as seemingly simply defined words such as “risk” hold different meanings for each person. This is especially true when understanding a person’s risk tolerance and how it changes based on life stages and events. Plus 75% of people lie about their debt and income – bad data in, bad data out – that a well-honed algorithm will base their financial plan on likely without asking why.
What industry/industries hold an advantage over AI for now?
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