#AI for investing#Investment research#Decision-making#AI strategy#Financial analysis#Thesis testing
Frequently asked questions
- Why is asking AI "is Company X a good investment?" a mistake?
- Because it outsources judgment to a tool that doesn't know your risk tolerance, your thesis, or your time horizon. AI isn't an oracle - it's a research partner. The better use is having it help you ask sharper questions, process more source material, and stress-test your own thinking rather than handing you a verdict.
- What's the difference between a summary and extraction in Stage 2?
- A summary tells you what happened. Extraction tells you what changed, what management avoided saying, and what the numbers underneath the headline actually show. For example - whether the language around margins shifted between quarters, what new risks appeared in this year's 10-K, or where the stated strategy diverges from actual capital allocation.
- Why define exit conditions before investing?
- Most people have fuzzy entry criteria and no exit plan. When the position moves against them, they don't know whether it's market noise or a broken thesis. Defining exit conditions in advance lets you decide coldly - not emotionally while watching the price move.
