Kind: captions
Language: en
If you had put just $1,000 into Amazon's
IPO in 1997 and never sold, today you'd
be sitting on over $2 million. That's
the power of getting in early, picking
right, and holding on while everyone
else bails. If that doesn't have you
locked in, how about the fact that
missing just the 10 best trading days in
the S&P 500 over the last 20 years would
cut your total return by more than 50%.
10 days accounts for half of the gains
over 20 years or one more. In the first
six months of 2023, just seven AI link
stocks were responsible for 100%
of the S&P 500's total gains. Without
AI, the stock market wouldn't have even
been flat. It would have been negative.
AI is the game. You ignore it at your
peril because you live in a world with
inflation. Your purchasing power is
being stolen from you and you absolutely
must find a way to fight back. That's
what this is all about. But what now,
right? What should you actually do?
We've covered the scale of the AI
opportunity. We've looked at the risks
of missing it. We've mapped the sectors
most likely to win and examine the
brutal lessons of the dotcom boom. Now,
I want to walk you through how to take
intelligent action. The first thing to
understand is this. There's no single
correct way to win. In every
technological revolution, fortunes have
been made by people who built companies,
by people who worked for equity at the
right companies, and by people who
invested early in the companies that
went on to dominate. Investing isn't the
only path forward. If you're a builder,
focus on solving a massive burning
problem that people are willing to pay
to have solved. If you've got an AI
skill set, you're in business. People
are throwing around billion-dollar
salaries. This is wild. I don't know if
we've ever seen anything like this. But
if you're neither an entrepreneur nor
one of the most skilled AI engineers on
Earth, you still can afford to sit on
the sidelines. Your focus is going to
have to be investing. And if you're
investing, here's the playbook. It's
very simple. One, start now. Even small
amounts count. Waiting for the perfect
entry point is how you miss decades of
compounding. Even $50 to $100 a month
into the right assets adds up over time.
Fractional shares mean you don't need
thousands to start. You can buy a piece
of Nvidia or Microsoft today. Two, build
a diversified AI portfolio. Think in
buckets, not single stocks.
infrastructure, chips, cloud, data
centers, companies grouped up like
Nvidia, AMD, TSMC, etc. You can find
them in clusters. Core AI models, the
companies building foundational AI
models like XAI, OpenAI, Google
DeepMind, and Anthropic and all of the
other players that may come into the
space. Integrated application layer, eg
companies that are integrating AI into
high-v value industries like healthcare,
manufacturing, and finance. Again, not
one, the whole space. Picks and shovels,
cyber security as a whole, governance
and developer tools that every AI
company are going to need. You could
also easily be broad and spread your
money across multiple buckets. That way,
even if an entire bucket flops, the
other buckets will still carry you
forward. Three, avoid leverage so you
can play the long game. margin and
options make people feel like a genius
on the way up because you're using
somebody else's money, but it will wipe
you out if there's even a temporary dip.
You have to be so careful with leverage.
Just like you would never take out a
loan to gamble at a casino, don't ever
take out a loan to gamble in the stock
market. Now, that is not going to be
common advice. A lot of people are going
to tell you to do it on margin, but baby
oh baby, I'm telling you, that is how
you get yourself in trouble. Four, use
dollar cost averaging. Invest a fixed
amount on a regular schedule, weekly,
bi-weekly, monthly, whatever, regardless
of the price. This removes the need to
time the market and keeps you buying
even during dips, which is when the best
long-term gains are made. Five, reinvest
your gains. Dividends and profits should
be reinvested into your positions or
into other AI opportunities. By all
means, balance it out. So, if you've got
one that's just absolutely crushing it,
you want to spread those wins to other
areas just in case, do it. But by doing
that, you accelerate the compounding,
the single biggest driver of long-term
wealth. Six, keep a cash buffer. Never
invest money you can't afford to leave
alone for 5 to 10 years. Having 3 to six
months worth of expenses in cash keeps
you from panic selling when the market
inevitably dips. Seven, commit to
staying in. Booms come with volatility.
AI stocks are bound to have massive draw
downs as we move into the future. The
companies that ultimately win will
recover and surpass their previous
highs. But that only helps you if you
didn't panic sell. Eight. Remember the
number one rule of investing. Buy low,
sell high. Now, this has become a joke,
but the truth is most people buy high
and sell low. They get in on hype and
then they sell on fear. dollar cost
average in hold for the next decade plus
no matter what's happening. That's the
play time in the market versus trying to
time the market. Right? If you follow
this, you're not going to be trying to
predict the next Nvidia or Amazon. You
won't expect or need the winners to be
obvious. You're going to own a broad
slice of the entire AI economy and let
the leaders emerge naturally in your
portfolio. Because in the end, in an
inflationary world, owning assets, even
in an uncertain market, isn't optional.
This is your moment. Pick your lane, get
in the game, and stay there long enough
to let the compounding work its magic.
Moments like this really do not come
around often. And when they do, they
don't last. The last time we saw a shift
this big, a million people became
millionaires. Not because they were the
smartest, but instead because they were
in the game when the market bmed and
they didn't have to panic sell when the
market got rocky. They rode the wave all
the way to the shore of Wealthy Island.
And now it's your turn. AI is the new
wave. It's bigger and moving faster than
anything before it. You can watch it
pass you by and spend the next 20 years
wishing you'd take an action. Or you can
take a position now, wax your board, and
get in the water. You'll probably
swallow a couple mouthfuls of sea water
along the way, but if you avoid debt and
let time and compounding work their
magic, you'll likely come out ahead. The
future is going to belong to the people
who move wisely today. Because by the
time it's obvious, it's already too