Will AI Fix Banking? | ITK with Cathie Wood

On episode 43 of "In the Know," (May 5, 2023) ARK CEO/CIO, Cathie Wood, weighs in on the ongoing banking crisis, M2 growth, credit default swaps, productivity, electric vehicles, and artificial intelligence.
As always, she discusses fiscal policy, monetary policy, market signals, economic indicators, and innovation. We hope you find this monthly series useful, especially during periods of heightened volatility. Stay Healthy. Stay Innovative.
00:00:00 - Intro
00:00:45 - Welcome
00:01:42 - Fiscal Policy
00:05:58 - Monetary Policy & Market Signals
00:33:14 - Economic Indicators
00:42:58 - Innovation
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Disclosure: arkinv.st/39rzF94

[@DwainDwight]

Always look forward to your take on things Cathy. Thanks for taking the time.

[@dineshmistry8902]

Thank you Cathie, your detailed explanation of key economic indcators are very very educational ans very much appreciated 🤟💯

[@liamnoah5567]

Transformation is the basis of evolution. innovation drives the progress and growth of every company, especially in the digital world we find ourselves in! Fobi AI is at the forefront of driving innovation in many fields, from insurance to retail! Fobi Ai is an AI Data first company and aligns with Cathie's thinking as a pioneer for the next future market leaders!

[@robertswan1585]

I am investor in Fobi Ai, very innovative e revolutionary company

[@myrandacollins9025]

100% agree with you, I strongly Believe in Fobi in long term

[@alisheikh786]

Thank you very much for such informative video series. I think it will be very helpful as a result of viewing all these factors and how it will translate to stock prices and where the market is heading?

[@88doonyboy88]

This is my favourite content anywhere, any time. Such genuine value, thank you Cathie!

[@2brazy4ubitch]

The returns are truly out of this world!

[@NuanceOverDogma]

I can't believe how naive Cathy & those like her are too blind to see this is a controlled demolition of the economy. People were talking about this for years & people like Cathy ignored the signs. Everyone better wake the F up cuz they will scapegoat people like Cathy & wealthy pro-bitcoiners and steal their wealth. I still I don't see anything being done.

[@stilllearning7434]

Ditto !

[@amyniemann9564]

Cathie I can not thank you enough for your excellent analysis. I’m a 69 year old boomer, 100% in TSLA. Sometimes scary but I truly feel this is the best place for our retirement savings. You give me hope for the future. I wanted to tell you how much I appreciate you and listening to your down to earth explanation of what the heck is going on. 👍🏼❤️. Thank you

[@paulpate5208]

You might want to look at microsstrategy ma'am

[@stilllearning7434]

Elon keeps at it after Karpathy has had enough. Elon never ever gives up.

[@2brazy4ubitch]

Kill me now

[@cliffpeebles9705]

Amy, you really need to diversify. You don't realize how much risk you are taking with 100% in any stock. Talk to someone you trust.

[@lorenzoandujo1012]

Thank you for explaining how the macro economics work . With the extra details in your explanation have opened our eyes to the truth. You are a source of encouragement.

[@robertasorride]

for me, ark Invest are ❤simply the best, of course starting from Cathy Wood. Thank you so much, I deeply appreciate everything you share with us. May God bless you and your entire team, eternally

[@roderickfarrell2318]

Speaking to the innovation section on AI, the demonstration of Khanmigo was pretty amazing. Pretty immersive experience, especially how the AI can "become" the subject for teaching purposes. Will make an amazing tutor, especially for those who cannot afford a traditional tutor. I feel that Khanmigo can become the great leveler within education accessibility, much like Khan himself said.

[@vincerob9660]

Thank you Cathie - appreciate the way the report is broken down into sectors and the detailed macro analysis . Could you have a word with Mr. Powell and some other European leaders how to fix this global economy?!

[@MAVERICK-ti1hm]

Thank you for providing these valuable updates ….. other so called experts would charge a fortune for this information. ❤

[@paulp3992]

agreed knowing what not to do by seeing what Cathy does is invaluable but she does charge a fortune for this info. I think its 1-2 billion a year she skims off her patrons.

[@sarnoldus7]

Once again Cathie, excellent info and update. You always calmly explain what is going on in the economy.

[@JoshauCalum]

Request for change: When talking about graphical changes, is it possible to overlay this information? E.g. 14mins Yield curve

[@drc7969]

고마워요, CIO/CEO Ms. CATHIE WOOD. I appreciate a lot. I am still a shresholder in ARK etfs with having strong trust of your investing philosophy. Have a happy weekend.

[@johnstontown]

Still a holder of ARKK ... not doing too well, and that’s an understatement. Thinking of finding a tall tree and short rope this weekend.

[@3beans-yk8fg]

@@johnstontown I believe now is the best time to get into ARKK, ARKG. I only buy during flash sales, and I consider 2023 to be like an on-going sale lol... Just adding to the portfolio every month on the dips (TSLA/ARKG/ARKK).

[@Mk-ie2kd]

@@3beans-yk8fg bad bad bad lol

[@JoeDoe2]

I fall asleep hugging my pillow an listening to In The Know. It's my sleep aid.

[@aminesaib]

Thank you Cathie, Another month another great In The Know video.

[@TiagoRamosVideos]

Thanks!

[@bacool]

Very interesting talk. I was wondering whether Fed was at all considering the effect of AI on rate hike models.

[@ondramlcek3174]

Thank you so much for the report ✨

[@snoopyshea]

Thank you Cathie!!! Need Cathie to teach the FED Econ 101!!!!

[@anthonyleonard]

Very helpful -- thank you!

[@user-pi1eg1fm2o]

Merci pour vos analyses et vos videos Madame WOOD, trés trés instructif.

[@curtfinch]

about yield curves, it depends on what your card you look at if you look at the five-year 3-month yield curve is it -2% now which is just crazy

[@mskmsk7174]

Thank you Cathie. Another insightful macro overview for consideration.

[@mikeh5629]

Cathie, do you honestly feel we can trust these jobs numbers? I feel the unemployment numbers are very manipulated by taking people out of the workforce and counting them as not looking for work. We are laying off a lot of higher paying jobs and seem to see higher jobs in the lower pay service sector.

[@christopherhartline1863]

Thanks for being candid, Ms Woods. We all remember "... two weeks to flatten the curve ... " and "... not even thinking about thinking about raising rates." Yep. The gov has a HUGE hand in this. After all 'this' why would you even consider investing in banks, unless it was the government's chosen

[@jamesbecker4326]

always good information, thank you

[@alasmar1011]

Understanding economic is important thanks

[@hallamhope]

Always an illuminating enjoyable analysis. Hallam in always sunny Barbados.

[@bobtarmac1828]

Very BankAible ideas. Thank you Cathie!

[@nfstreet]

Priceless

[@steveb1370]

Cathie, I drive from suburbs in Toronto everyday 50km there are so many Tesla's on the road, people commuting to work have switched to EV, & they are the market that drive the most

[@al-qassamyounes5061]

It's good to see something so beautiful, thank you, I had a lot of fun😊

[@toddsmith4280]

The banks could have bought t-bills that are tied to the inflation rate. They should have seen inflation coming with all the quantitative easing and stimulus proposals that were happening.

[@boshman8331]

So Awesome! Thank you!

[@finglisCave]

Thank you cathie.

[@kimberly5304]

Thank you!!!!!!!!!!

[@husamabed6527]

I appreciate the fact that Cathie is consistent in her believe!😀

[@jwkerjooo9260]

It's good to see something so beautiful, thank you, I had a lot of fun

[@504ryanvido2]

Great video 😊

[@harrytrevenen2310]

Cathie, always watch and enjoy your videos, think your going a little too easy on the bankers though, these are supposed to be investing experts... so why didn't they diversify some of their investments into short term paper? and after the the June 2022 rate hike of 75 basis points, you'd think they would of started hedging if they hadn't already, if not CDO's, they could have bought a short bond fund like TBT, or even puts on TLT, by then I think we all knew the Fed was serious about fighting inflation after being proved wrong about it's transitory statements, just would of expected more out of people who manage money for a living.

[@fscott1134]

I am well on my way to a avoiding banks. Crypto exchanges issuing debit cards to spend down your crypto balance. Why tolerate banks?

[@sesh7357]

Thanks Cathie

[@jgonz1325]

Beautiful and informative as always 💝 thank you Cathie

[@randallstephens1680]

There is only one problem with banking: Fractional Reserve. When that's gone, so are all the banking problems of late. With digital currencies like Bitcoin, we no longer need banks and can, instead, self-custody our money while still maintaining access to the digital payment rails.

[@-spooke9327]

Very Good

[@binahtrading8565]

Powell and Yellen 😁 I'll keep my thoughts in my head regarding those two.

[@veganmafiaboss1645]

Great video. You and Thomas Sowell are my absolute favorite economists. And as an investor, you, Peter Lynch, and young Warren Buffett are my greatest influence. .

[@cliffpeebles9705]

Love the Thomas Sowell shout-out. Don't leave out Charlie Munger.

[@harrycook111]

I am very nervous on Cathie's reads but man I have my highest respect for her.

[@mushroomthump]

I love Cathie Wood 🔥

[@mjkeating]

The percentage of rate increases are obviously going to be very different when you start from .25% instead of 10%. So, that might not be a useful comparison.

[@MrEvertonian20]

That’s what she’s saying… VERY different…

[@hiphophead8053]

Chegg also has proprietary data

[@randycastillo1353]

When deflation Cathie? If you are so right why is still inflation happening today?

[@robitmcclain6107]

It is nice that someone with gravitas cuts SVB et al some slack on their decision making. I suppose Treasuries can't have a variable interest.

[@kipling1957]

Cathie is the best.

[@JoeDoe2]

I love the intro. The graphic and the music. Marry me, I'm a Christian single.

[@senli9845]

If the debt ceiling problem is not solved by June, is the dollar going to be downgraded, AKA, exacerbating inflation , short long bond and buy equity?

[@alansolomon8401]

Would advise that you pay attention to the fires which are occurring in electric vehicles, which are reported in China

[@Georgggg]

FED is not talking about money supply now, because they never talked about it. They can't just change their targets on the fly. If they're stick to CPI while they ignored 40% money supply increase(and everyone pointed at it!), they should stick with it kicking can down the road. Otherwise it would be "heads - I win, tails - you lose" policy.

[@HappyBody3]

Thanks Cathie 😊 No crypto comments 😟

[@sewnsew6770]

Cathie is a good source of facts. We live in a world of chaos. Kali rules this time and Ahriman. So destructive AI lol. Ahriman has incarnated and will seize power in 2030 when he/she is 30 years old. Thanks for the observation on dead money in money market funds. Very low money velocity leads to depression

[@toddsmith4280]

It was interesting when you said government spending was crowding out commercial spending, and then went on to describe how banking customers where switching to Treasuries. That’s not what most people’s think of when you say government spending.

[@p.channel9312]

สวัสดีครับ

[@oliverpecha]

Graphs please 📊

[@theobishop7653]

Huge fan - hope to run into you at the bar Theo

[@simonliu9366]

When will ARKK go back to $120

[@Boom_1306]

#Wallstreettrapper and Cathie woods best content out of 21Century

[@simongrahl7876]

Can AI fix banking? The impression I get from this are some challenges that stem primarily from competition. If Government has a sort of monopoly (or attractive advantage) on technicians and tax reform, it will seek to automate processes to its benefit. Considering a more or less anticipated and compelling dialogue for its exploration in this domain, revolutionary applications of AI in emerging nations may very well substantiate this decision, given the demand, pressure or compelling monetary attractiveness it may have generated by then. If the Government has this much leverage however, than fixing banking is likely not going to be left to an application such as AI - much less the private sectors ability to maintain the balance on innovation and/or talent. Also, I think it only befitting to remember the late Bernie Madoff. Nasdaq adopted their software, and when things went south, he had to take the stand for it. This is virtually impossible with AI.

[@JoeDoe2]

I can impersonate you. It's easy....."Greetings everyone."

[@cliffpeebles9705]

She should try "Sup homies".

[@davidkoba]

Should ask AI if Crashy Woods will be around in 5 years.

[@angrybear888]

Thank you Cathie for these informative recaps!

[@bradhaaf4749]

Req every 60+ person in a position of power to have a 25 to 35 year old AI literate individual to translate in literally every sector and government organization and it might have a chance... It's possible to real-time audit every country in America every 24 hours and have real-time information on the economy and they don't even know that it's possible... nevermind that AI could aggregate that data and present it to them.. there 10 steps behind.

[@ReventureConsulting]

Great video Cathie. Would love to have you on my KZbin channel to discuss your thoughts on money supply, banking crisis, and the deflation/inflation discussion. I reached out to you on LinkedIn.

[@somerandomwithacat750]

When i last saw arkk it was at 157. Now its at 37. When i last saw arkg it was at 92, now its at 29. It would be cheaper to just warm your house by burning dollar bills at this point

[@travelwithcamera]

I always get tongue tied with Chat GPT, GBTC, GDP, etc. We just call it Chat GBTC in our house 🤣

[@kickinit333]

Writers, developers, admins will become AI operators. Think the computer usurping the typewriter. Those who learned the new tech did well.

[@unaldurmaz250]

Hope you're investing with $ARKK.

[@ErikMusicbox]

P*Q=M*V --> if P*Q=7 & M=(-2) than V=(-3,5) ---> money is turning 3,5 times slower --> is it?

[@marbellavillas-ih6eu]

Your performances have been decent from time to time, which surprises me given the many logical mistakes in your reasoning. Best of luck to those who choose to follow you, but personally, I do the opposite. You are like my polar star - when you go north, my money goes south, making for an easy win. 😂

[@RussCR5187]

In my opinion, the debt ceiling is just a game. It's an opportunity for posturing and brinksmanship.

[@rlshultz5841]

Cathie would you think all the funds in money markets and government bonds could fuel a huge market increase if and when the macro economy turns more favorable. Seems like pile of logs covered with gas.

[@nishithkumar2850]

ARKK is also at covid low not just banks

[@kipling1957]

The world is at COVID low. And don’t blame the virus, blame the policies.

[@nishithkumar2850]

@@kipling1957 you have no idea what ya talking about

[@michaelsly901]

She said that oil will end, there would be no inflation, and all her investors would be very rich, because she knows the good companies… She believed in Bitcoin, and so forth… Depending on timing, she was quite lucky with one bet: Tesla… But not so much anymore too… Now she talks more about Economics, like any slick CEO… Good luck, indeed…

[@ashlynnseverythingfun6004]

For kathy W. to say in the early 80's interest rates went up 2 fold, and now 21 fold does not seem like an accurate statement. If from 10% to 20% is two fold then 0% to 5.25 % is only 5 .25 fold, no? 🤪

[@jinghuiniu7335]

Liked.

[@yomajo]

If she took the lower bound, she should say interest rates have increased infinite amount of folds. That would make more credibility.

[@kennycarneal6765]

I have no idea how to invest. I trust you and I have made more from ARKK. I just bought a little bit more Friday and I may buy more today... maybe 2 more shares. 😅 Imma still just a learnnen. 😊 I have done well in cryptocurrency though! 😊

[@davidwilkie9551]

"Tesla is vertically integrated" and so is a coherent self-consistent whole business management. The Fed is the inverse..? Chaos.

[@sytse7531]

Will AI fix your fund?

[@gregw322]

I simply cannot recommend The Hedonistic Imperative by philosopher David Pearce enough. In short it proposes how humanity could - and convincingly makes the case why we SHOULD - use artificial intelligence to abolish non-voluntary suffering in all sentient life.

[@italianmiltyfriedman6264]

precisely why you see resistance to it

[@gregw322]

@@italianmiltyfriedman6264 I think you’re right sadly enough.

[@sa.377]

that's a huge discusion though... No suffering at all and no pain mean no maturing, they mean remaining into an eternal toddler-like instant gratification state.

[@gregw322]

@@sa.377 not at all, very poor argument. Pain and suffering has nothing at all to do with growth. Learning and life experience are what cause growth. “You can’t have pleasure without pain” is another oft quoted but easily debunked comment on the subject. We know for certainty that you can have joy having never experienced pain. No one anywhere in the world has learned anything from suffering. They may have learned something from the life experience that brought about the suffering but suffering in and of itself teaches nothing at all and all of this and other common but easily dismissed objections are all addressed in the book. I highly suggest that you give it a read I think you’ll enjoy it. It can be found free online.

[@sa.377]

@@gregw322 people have always prefered convenient lies and illusions to hard truths, that's for sure/and it pays a lot, this strategy of selling dreams and idealism can be very profitable..

[@dikshanttahilramani1789]

Cathie defending the Bank management of these regional banks is absolutely incorrect. She ignores the fact that the FED gave ample warning to the financials system about the upcoming rate hikes. Furthermore, the well run banks with effective risk management protocols didn't get caught out by this Held to Maturity loss, because they managed their portfolios (Unlikely ARKK). The FEDs rate projections are NOT a guarantee of policy, it is in fact their view at the time of the projection. It is easy to blame the FED and absolve speculators (such as ARKK) of any responsibility of the massive capital destruction from Feb 21 to Feb 23.

[@grizzlymartin1]

Can chat GPTP be used like, and perhaps replace, the voice technology that Stephen Hawkings used and made so familiar?

[@waydewynn4191]

I love hearing the Normies talk. They don’t have a clue what’s about to happen. The gig is up. The corrupt corporation will default. They will not reach an agreement. Things are about to change. Buckle up buttercup!

[@italianmiltyfriedman6264]

i love hearing the doomies talk. every few years they show up in the comments, then nothing happens, then on to the next doomsday

[@user-pz4ty9yg4s]

❤❤❤

[@davec3974]

I saw the title and thought, "finally, an episode that isn't about macroeconomics." A minute in, and it's clear I was wrong.

[@mikestaub]

Everyone is overlooking the corporate greed component in the inflation data.

[@rajaradhakrisnan4015]

I believe in Auntie Cathie

[@otctsheppard6060]

Me2! Only down 85%😊

[@bettermetalsnake95]

Cathie Wood is my favorite owl.

[@cyiwin]

You sound like you really know your stuff but why are all of your ETF's so far down?

[@jaxm7205]

Fed doesn't deserve any blame they are trying to fight inflation