Comment by jqpabc123
3 days ago
Ever hear of arbitrage and hedge funds?
These companies exist specifically to identify and take advantage of aberrations and inefficiencies in capital markets.
This is something I would expect "super intelligence" to excel at.
Ok, but besides today's models mostly not being trained to find those inefficiencies, who says that finding them is actually the most profitable thing to do with a good brain? I know Juergen Schmidhuber likes it, but why should capital markets be the test of intelligence?
but why should capital markets be the test of intelligence?
Why do AI companies rely on capital markets to keep them afloat?
Why? Because this is where all the money is. And because the survival of AI companies ultimately depends on the ability to earn more than they spend.
> Why? Because this is where all the money is.
Well no, it's not. If finding inefficiencies in capital markets was the most profitable thing to do, the capital markets would never invest in anything but themselves. Recursion hits bottom somewhere and investors, at some point, want to invest in a real business, not just in a recursive investment vehicle.
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