To The Moon

ChatGPT's tips about values of a good investor

Source: https://markets.businessinsider.com/news/stocks/chatgpt-warren-buffett-michael-burry-stocks-successful-investor-traits-2023-2

ChatGPT seconds Warren Buffett's and Michael Burry's tips on what it takes to be a good investor - the bot lists patience and discipline among 6 must-have traits

Zahra Tayeb Feb 4, 2023, 6:00 PM

The buzzy AI bot chucked out 6 virtues that lead to investor success, including patience and discipline. Its advice mirrored that of top investors like Warren Buffett, but failed to identify other key traits vital to investor success. 

ChatGPT, the new buzzy chatbot developed by artificial intelligence company OpenAI, is the world's latest obsession for its human-like responses. 

The bot, which bagged a $10 billion investment from Microsoft, has shown a capacity for a range of tasks such as writing stock stories, layoff emails, and even dating-app messages. The craze around it has even boosted investor appetite for AI stocks, sending shares in names like Nvidia and Ambarella soaring. 

Earlier this week, I put the human mimic-like tool to the test to see what all the fuss was about. I enjoyed its conversational tone and was grabbed by the ease at which it churned out content, but its lack of empathy or decision-making skills ultimately made it easy for me to remember it's just a robot. 

As a frequent writer on the US equities market, I sought out to ask the AI tool what character traits make for a good stock investor. Here's what it chucked at me. 

ChatGPT's 6-part tip on traits that make for a successful stock investor

Patience: Investing in the stock market often requires a long-term perspective and the ability to withstand short-term volatility.

Discipline: Developing and sticking to a well-thought-out investment strategy can help investors avoid impulsive decisions based on emotions.

Objectivity: Being able to separate personal opinions and emotions from investment decisions can lead to more rational and informed investment choices.

Perseverance: Investing in the stock market can be a challenging and sometimes frustrating experience, but having the determination to stay the course and stick to a strategy can lead to long-term success.

Open-mindedness: Keeping an open mind to new information and being willing to adjust your investment strategy in light of new developments can help you stay ahead of the curve.

Attention to detail: Careful research and attention to detail can help investors identify the best investment opportunities and avoid costly mistakes. 

ChatGPT then cautioned none of its advice can guarantee success. "Having these traits does not guarantee success in the stock market, but they can help investors make better decisions and navigate the ups and downs of the market more effectively," it said. 

My thoughts

Having followed several (value) investors like Charlie Munger, Peter Lynch, Michael Burry, Warren Buffett & Mohnish Pabrai, this is good list of values.  In fact, the inputs above appears sound and from a learned source.  Over time, we can expect the AI to function even better.  What is interesting would be the "frontier" of Google Search Engine.  There will be value when ChatGPT is able to lend a hand in Microsoft's Bing search engine.  I think that the search empire has found a worthy foe, one to be respected and look out for.  From the initial experience, the inputs from ChatGPT has been "good".  With ads playing a role in the search results of Google, will the competitive advantge surrender to the new AI opponent.

It is too early to call the winner but it is due time that Google has worthy competition after the failures of Yahoo and Bing.  Let us monitor closely.  For a start, this is a good list of attributes that investors should possess.

@TigerStars

$Alphabet(GOOG)$ $Microsoft(MSFT)$