In Reply to: Monday, Monday. Can't trust that day.* posted by mh on August 24, 2026 at 09:17:56
Most Americans have financial interests in AI data centers, and they don't realize it. It's not just index funds.
Insurance companies and retirement funds have been facing rising liabilities for years. As a result, they have been chasing higher yields. They are chasing the holy grail of investing: The high return, low risk investment.
Why is it the holy grail? 1) Everyone is searching for it. 2) It doesn't exist.
High yield investments have higher risks.
So what are insurance companies investing in? Modern investments like:
- Private Equity
- Venture Capital
- Private Credit
Insurance companies have over $1 trillion invested in privated debt.
And what do these "modern investments" put their money (when they aren't buying sports teams)? LOT AND LOTS of AI related investments. It may be financing data centers. It may be investing AI startups.
Anyone who has insurance, and annuity, or a traditional retirement plan is heavily invested in AI.
Personally, I think we are in an AI bubble. While many disagree, if I am right, an AI crash will have far-reaching consequences for all of global finance. Many insurance companies could be at risk. Many people will find their retirement isn't as safe as they assumed. And all of these effects will ripple through the economy causing more damage.
It won't be the end of the world, but it could be a VERY serious recession. And having a bunch of idiots running the government will make it worse.
An aside about startups. My daughter has been in the job market for only around 15 years. She has already lost two jobs when startup companies went under. Her current job is at risk.
She's not looking for startups. Those were the best jobs she could find.