ECB researchers warn AI stocks face a likely correction, putting pension and index fund holders at risk — regardless of whether AI succeeds.

Passive investing turned everyone into a tech investor without anyone asking permission. That’s the uncomfortable reality your pension statement won’t spell out. Concentration risk isn’t theoretical — it’s sitting inside the funds you forgot you owned, quietly indexed to the same seven companies the ECB just flagged as the core of a potential AI Infrastructure financial stability problem.

  • sudo@programming.dev
    4·
    2 days ago

    They are making the chips, building the data centers and collecting the data. None of those are the missing piece. The missing piece is being able to actually turn a profit from that entire pipeline.

    • chortle_tortle@mander.xyz
      3·
      2 days ago

      Oh I agree. My point more was that this is the level of investment, and that these have to have perfect returns to be rational.

      • schipelblorp@sh.itjust.works
        4·
        2 days ago

        Are they rationally including replacing GPUs every three years? I mean, how many years before they even pay off the GPUs they have now?

        • sudo@programming.dev
          2·
          1 day ago

          Yeah when will those expired GPUs hit the resell market? Or are they going to grapes of wrath them.

          • schipelblorp@sh.itjust.works
            2·
            1 day ago

            There is a crime here that goes beyond denunciation. There is a sorrow here that weeping cannot symbolize. There is a failure here that topples all our success. The productive factories, the people in white coveralls in their perfectly-controlled environments and the chips, 16GB of VRAM just waiting for a charge. And children dying of boredom must play games on their phones because profit can not be taken from a GPU. And parents must hear daily, “I want to play Valorant” and “Skyrim is boring” and yet not be able to do anything–because the GPUs must rot, must be forced to rot.

        • chortle_tortle@mander.xyz
          4·
          2 days ago

          Well they are, rationally, assuming they are gonna make “a genie that can grant any wish”, so they will simply ask how to solve the next round of funding issues.

          • schipelblorp@sh.itjust.works
            3·
            2 days ago

            “As you can clearly see on the chart of our earnings projections, our revenue doubles on January 18th, 2027.” “Yes, I can see that quite clearly, thank you.”