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Just my thoughts #0783

Volatility and Investment: The phenomenon where an asset’s price fluctuates over time is called volatility. Owning and reselling this volatile asset is known as an investment. The concept of buying and reselling an asset often causes us to overlook the fact that this process involves a trade-off between low-volatility and high-volatility assets. Cash is less volatile than stocks, and stocks are relatively more volatile. In other words, investing involves exchanging low-volatility assets for high-volatility assets and then switching back to low-volatility assets. Meanwhile, surplus profit is generated by the price differences caused by volatility. What would happen if we traded only highly volatile assets with each other? We would probably hesitate to exchange assets and might refrain from investing. In investing, there must be both low-volatility and high-volatility assets. - Joseph’s “just my thoughts”

Just my thoughts #0115

There is a study called “computational psychiatry”. This study will help patients suffering from depression or hallucinations by studying AI algorithms such as “reinforcement learning” among computer AI functions. Machines are examples of human treatment. Conversely, people wonder if AI-learning humans can be depressed like humans. The answer is “yes”. It is a fact that scientists consider it possible. People thought human emotion was something special. However, emotions can be replaced with symbol combinations promised as signals in the algorithm world. In other words, the emotion on the machine is “selection”. - Joseph’s “just my thoughts”