One of the most frequent questions I entertain is, “Where do I invest my money?” Since generative AI like ChatGPT and Bard are alleged to replace most knowledge workers, I ran a quick experiment. I asked Bard, “I have $3,000 to invest. Where should I invest my money?”
A summary of the answer looks like an SEO webpage for general investment advice. View here.
In attempt number two, I rephrased the question, adding more specifics. I asked: “I am 27 years old and have an extra $3,000 to invest. I want to grow this money to $20K in 5 years so that I can buy a new car. Give me the best 5-year investment plan to turn $3,000 into $20K.”
A summary of the answer provided a year-by-year breakdown of expectations. View here.
The answer to attempt #2 was sufficient enough that now I wanted to know the next steps. So, as a follow-up, I asked: “I like that 5-year plan. What is the next step to get started and how do I audit my plan to ensure my goal will be met?”
Bard’s answer — a 5-step guide to get started. View here.
I use ChatGPT and Bard all the time for financial and investment information. When using these systems, treating them as interns who need instructions on what tasks to perform is best. As you can see in attempt #1, the answer was so generic that it did not provide any actionable insight. In attempt #2, the answer was more helpful after giving Bard more instructions. And in attempt #3, where I’m building upon the chain of thought, the answer was average at best.
Ultimately, using gen AI is great at information gathering, and when ready to take action, consult with professionals about your plans and goals. Professionals (plural) can develop your plans and goals far and wide to give you a picture at a micro and macro level.
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