alt Hacker NewsPreviously, I thought investing in AI companies would be a good hedge against AI taking my job, but I hadn't considered the possibility that they fund the build out by issuing shares. Is there no reprieve?
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maybe not. There could be mass unemployment and all the big dogs could also lose from the buildout while smaller players (non-public) take over. It could be a lycos / yahoo / google situation where there was no "winner" to invest in during the initial dotcom crash, and there was large-scale disruption all the same.
Theoretically hedging would only work if the A.I. firms are not already priced for taking your job, right?
I have no opinion on whether they are.
Not for people like us.
It actually is but very few people realized that yet. We are still at "it doesn't work it's a fluke" denial phase
The shares you own (usually) give you voting rights. Whether that makes any difference is another story.
But I'm not sure what people think the stock market is for? It exists primarily so that companies can access capital markets namely by issuing their own shares.
Historically for companies that were growing rapidly or had large capital needs, private markets weren't large enough to handle that. Times have changed, but the whole point of going public is to be able to raise capital by issuing shares.