The more I learn about artificial intelligence (AI), the more convinced I become: this may be the most transformative innovation in human history.
Learning AI as a Non-Technical Investor
I don’t have a technology background. But I do believe in research and critical thinking. As an investor, I’m trying to understand the economics of AI and how to invest in it wisely. That curiosity has led me down a deep dive into AI — one I expect will continue for quite a while.
What the Data Is Showing
Some of what I’ve learned so far is, honestly, unsettling.
A recent Wall Street Journal article reports that unemployment among recent college graduates is now significantly higher than the broader national average. A major reason? AI is replacing entry-level roles.
Another source, the Financial Times, cites a conversation with Dario Amodei, CEO of Anthropic, one of the leading AI companies. According to Amodei, up to 50% of entry-level jobs could vanish in five years. Others believe that number may reach 80–90%.
What I Know (and Don’t Know)
Now, I’ll be the first to admit: what do I know?
I’m a middle-aged value investor, still referencing my copies of Security Analysis and The Essays of Warren Buffett. I can’t speak confidently about the future of data science or tech roles. But I can speak about finance and investment analysis — and that’s where this gets even more real.
For more than 20 years, I’ve been building financial models and researching investments across industries — from real estate to small business acquisitions to public equities. The mechanics of financial modeling aren’t complicated; I can teach most people how to build one in an afternoon. So I wasn’t shocked when I saw that AI tools can now build financial models too.
Beyond the Numbers: The Bigger Impact
What did surprise me was how quickly AI is now producing research reports, business plans, and financial documents — often with the same quality you’d expect from junior analysts or bankers. And businesses are taking notice.
Companies across industries — from law and medicine to advertising and finance — are increasingly using AI to stay competitive. And yes, this adoption is reducing the need for human labor, especially at the entry level.
Working With AI, Not Against It
This shift means that workers in nearly every field will need to learn how to use AI tools effectively and collaborate with AI-generated outputs. Many executives are embracing this as a natural evolution, comparing it to past technological revolutions.
But here’s the caution: there’s a line between using AI to enhance productivity and relying on it as a crutch.
Why Creation Still Matters
Take the example of a business plan. AI can now generate a well-structured plan with minimal input. But here’s the thing — the value of a business plan doesn’t lie in the final document. It lies in the thinking process it forces.
Writing a business plan makes you grapple with essential strategic questions — about market dynamics, customer behavior, financial risk, and more. A plan is not a static report. It’s a working model of the real challenges a business will face. It forces reflection and discipline — two things no AI tool can replace.
As Dwight Eisenhower famously said, “Plans are worthless, but planning is everything.”
Final Thoughts
AI is a powerful tool, and it will play a central role in shaping the future of work. But over-reliance can weaken the critical thinking and decision-making processes that create long-term value in business and investing.
Whether you’re a business owner, investor, or someone just trying to stay ahead in your career, understanding how to think, not just what to produce, is more important than ever.
