There is much ado in the financial press about the "AI bubble". Pundits wax on and on about the coming and going, the pop prick of this thing "we all know" is happening.
The majority fall into the camp that reflects their imbedded conflict of interest, the idea that "a bubble is coming but it is not here yet". This view they will hold until after a bubble has past, for it 1) keeps them in the majority and avoids (shudder) standing out in full sunlight with an actual well-reasoned adult opinion 2) it keeps their clients in the market, in the pundits' strategy/fund/etf/etc.
As I see it, bubbles are rarely called in advance. It always looks like things could get crazier, prices more elevated. There is always some past mania where prices were pushed to an even greater extreme, on such as basis, we are still at a reasonable valuation.
It's always easier to tell when things are really cheap than when they are really expensive. At least it always was for me, when I did this stuff for a living.
Your broker/advisor/manager will not get you out of this. Neither will the guy on the radio and his coop of financial bucket masters. This is good, because they don't know where the top is. They don't know where the bottom is. They only know this mantra that they repeat at the break of each new year... this thing the market is doing today we believe will continue for a while, later on we think prices will change. Yellow. Worthless. Where they will add value is keeping you out of the ditch, keeping you in the market when your impulse is to run, keeping you out of expensive strategies/funds/partnerships/pools/private this/private that.
When the dust settles and the things in that bubbble have fallen a bunch, and then a bunch again, then we'll look back at the mess and read the wisdom of pundits who will tell us of the fools like us who never learned from the past.
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