Green’s thesis is simple: even if AI transforms the economy, the biggest winners may ultimately not be the mega-cap companies building the models.
“I think that these giant companies providing the AI models will actually be competing with each other for those customers in part by competing on price,” Green said. “And that might mean that the value delivered to small companies will be bigger than value delivered to the big AI companies. Who knows though? I just think that’s a thing that could happen.”
And if his concerns are overblown? He’s fine with that, too.
“If I’m wrong, 75% of my money is still in the safe place that everybody says your money should be, which is the S&P 500.”
As a self-described “middle-aged, 45-year-old successful person,” Green said he’s trying to model what thoughtful, long-term decision-making actually looks like. And part of that effort includes dispelling one big misconception shared among some of his audience:
“I get these comments from people who are like, I can’t believe that you’re participating in this Ponzi scheme,” Green told Fortune. “I do want to alienate those people, because I don’t believe that the stock market is a Ponzi scheme. I do think that it’s overvalued right now, but I think that it’s tied to real value that’s really created in the world.”
“A lot of people think that investing is like getting a Robinhood account and buying Tesla,” Green added. “And I’m like, ‘Nope, you’ve got to get a Fidelity account and buy a low cost index fund everybody and or just keep it in your 401K and let the people who manage it manage it’—which is what a lot of people do, which is also fine.”
His younger viewers are paying attention. One popular comment summed it up: “As a young person entering the point in my life where I’m starting to think about investing, I really appreciate you talking through your logic and giving a ton of disclaimers rather than telling me I should buy buy buy exactly what you buy buy buy.” The comment has already racked up more than 4,700 likes.
While Green doesn’t come from a financial background, experts from the world of investing said they agree largely with his rationale: Having a diversified portfolio is the way to go—especially if you have worries about an AI bubble.
“Still, the concentration risk remains a valid concern for investors that are seeking diversification. However, this is precisely why we advise against putting all investments solely in the S&P 500, especially if you have a shorter time horizon.”
Hanson added wise investors spread their money across various asset classes, including small-caps, international, and bonds, in order to reduce portfolio volatility and provide
more consistent returns across various market environments.
“Particularly as you get older, having guaranteed income streams becomes crucial. Products like annuities can provide reliable payments regardless of market swings, creating a foundation of financial security,” Ornstein told Fortune. “Think of it as building a floor beneath your portfolio—one that market volatility can’t touch.”
