Enduring a bear market is hard work. Downward trajectories are no excuse to lose control, and here’s what you can do to prepare for the inevitable return of the bulls.
When I wrote about what to do when the inevitable crypto winter hit us, I had no idea the bitcoin crash was so imminent. I had even less idea that it would be accompanied by a spirited bear market that has sent return expectations deep into the red across the board.
If shorting and defensive hedging aren’t your thing, bear markets offer little to do other than wait for the headwinds to subside. This, in turn, leaves many hands eagerly burned from playing capricious instruments like the VIX (or haven’t we all…?) or too inactive for their owner’s comfort.
If you’re tired of bending over, I’ve got good news: There’s never been a better time to take a deep dive into fintech and catch up on the latest industry trends like the (de)commoditization of data, radical automation, and cloud services. independent advice.
Here’s my supplemental curriculum for anyone interested in making the most of downtime.
Lecture 1: Blink and you’ll miss it: the rise of independent advice and radical automation
As the fintech industry matures, we see more and more sophisticated products and platforms coming to market.
While machine learning and AI are not new to portfolio management, truly scalable portfolio customization and intelligent AI concierge platforms that healing rather than simply index they are few and far between.
However, the field is developing rapidly and now is the time to catch the train before it leaves the station.
If you’re looking for a place to start, you can check out Vise, which has been around since 2016 and offers automated investment customization management for financial advisors. Brooklyn Investment Group is a more recent entrant to the market, but its Bespoke AI platform is already causing the right kind of stir.
So is Q.ai, an AI-powered investment app that also gives you their views on Forbes.
Once you’re done with the demos, it’s time to embark on your first task of the day and see how the sausage is actually made.
If you’re up for the challenge, Udemy offers courses like AI Stock Trading System Course and AI Automated Investing Using Robo Advisors that will have you up and running in a matter of days and downright dangerous with the underlying technology at the end. of the course.
Code at your own risk; you may end up liking it.
Lecture 2: Reviewing Industry Trends: DeFi & ESG Investing
By now, you should be familiar with DeFi and what all those altcoins, ape-faced NFTs, and smart contracts are all about. Otherwise, I highly recommend taking, for example, MIT’s Economics of Blockchain and Digital Assets ex-ed course starting in October.
Another unmissable trend of our time is the recently renewed intellectual dispute between profit and the planet, played out earlier by Friedman and Freeman.
As of today, the opposing corners are now represented by Larry Fink and Vivek Ramaswamy and the fight looks to be an entertaining one.
His must-read includes Larry Fink’s 2022 Letter to the CEOs, Woke Inc, as well as the long-standing Friedman vs Freeman debate at the Institute of Corporate Ethics Business Roundtable. Enjoy!
Lecture 3: Next Big Bet: Data (de)commodification
A few years ago, all lawyers and their uncles were involved in data privacy, and for good reason. The legal side of the industry has matured to a point where even certification bodies and auditors are well fed, but on the financial side things remain in an exciting state of flux.
The general industry trend here is (de)commodification of data, and what you really need to keep an eye on is end-user empowerment and access to retail data markets.
As the general sentiment around data privacy is hardening, the template is ready for Facebook and co. that have successfully amassed end-user data without offering user-oriented monitoring and marketing methods.
Given the spit-inducing size of the markets involved, you can bet your bottom dollar that countless future graduates are programming in hopes of becoming the go-to platform for end-users trading their data.
For extra credit, be sure to get up to speed on recent developments in data privacy and fintech and ponder which solutions are just behind the possible adjacent ones. A+ to everyone who creates a MeetUp group to strategize and share ideas.
Let me know once your initial round starts so we can all be on the ride, and whatever you do, remember not to be left out.