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Dear Readers,

What do you think about when you read the word ‘mania’?

The Collins dictionary defines it as follows: a disorder characterized by euphoria and excitement.

Do you think this definition is apt to describe what happened in the headline below?
Source – Forbes

Let me tell you what I think of whenever I hear the word mania: the final few years of the 18.6-year Real Estate Cycle. And what happened to Nvidia is precisely why the PSE team used the term to describe them.

Today though, let’s lean right into the mania. The reason for the amazing price decline for one of the world’s most important and wealthy companies can be summed up thus: DeepSeek.

For me, the importance of this news is to show you a glimpse of the future. And it’s not pretty.

Even more importantly, the utter folly of believing the coming AI revolution is only good for you, or your investments.

Especially if you are ignorant of history.

A seismic shift

I won’t go too deep into the reason behind the massive sell-off across all US tech stocks recently. Healthy markets rise and they fall.

Plus, if you take a quick look at the most popular, and therefore most well-funded, ETFs in the US, it’s clear why the tech sector specifically experienced such a shock at DeepSeek news.

Take a look at the following graph.
Source – Bloomberg

What I want to bring to your attention is something much more profound. A deeply troubling trend that seems to have been washed over in the hype fueled racket surrounding AI.

And it holds implications for your own financial well-being that are not well understood. And that’s because DeepSeek isn’t just about an apparent threat to so-called US supremacy in this sector.

Notwithstanding the fact that, as technology develops at a rapid pace, we should be seeing more innovative and cheaper versions of today’s gold standards in software.

Rather, it will be AI’s role in turning the upcoming peak into a monumental bloodbath for 90% of all market participants.

And thanks to DeepSeek algorithms, I can now prove to you just how it will do this.

It’s time to really open your eyes to the danger.

Why this industry’s adoption of AI will hurt you.

It is no secret that if Silicon Valley and its European and Chinese equivalents have their way, AI will become the most widely used software on earth, in use across every part of the digital economy.

And that’s a problem.

Particularly in an important industry like the financial services sector. Let me explain.

There is no secret to the fact this industry has had a tough time lately. Not only have regulators really clamped down on requirements – both the qualifications and advice given in this area to retail investors – but also the scrutiny has scared away most of the very competent advisors who did care for their clients’ money.

It makes me wonder where they all ended up actually. Given the sheer size of it, I’d say the best of them went to private equity and credit firms. But I digress.

However, this is now beginning to change, drastically. And it is time for this to happen too. The masses are stirring, fed up sitting on the sidelines while crypto and stock fortunes are being made.

They want in.

If you know your real estate cycle history, you would be expecting the tide to turn as ‘we’ go all-in on speculative markets. And using enormous amounts of newly borrowed credit to do so.

Because it is that time in the cycle for this to occur. And it’s this opportunity that the once-maligned retail financial service industry is betting on to make a triumphant return. And those absent financial advisors aren’t even needed.

This is the gap in knowledge and personnel that AI will fill.
Source – Australian Financial Review
From the above article. The bold text is my own.

The funds management industry, and investing more broadly, is undergoing a seismic shift.

Once dominated by human intuition and expertise, the industry is witnessing the rapid ascendance of artificial intelligence as a transformative force.

This evolution is not merely incremental; it marks a fundamental redefinition of how investments are identified, analysed and executed. Technologies such as AI can also consider, at an incomprehensible pace and volume, the many factors that could influence a share price’s performance.

And thus, the seeds for a looming disaster are planted.

“Can I call a friend please?”

Here is what China’s DeepSeek AI algorithm has shown me. And why your knowledge of history is the only natural deterrent upon which you can rely. Recently a poster on X asked this customer facing AI tool a question.
Source – @rohanpaul_ai
DeepSeek did begin to reply to the prompt, as follows.
Source – @rohanpaul_ai
But then the inbuilt filters realized what had been asked and then amended its reply.
Source – @rohanpaul_ai
Oh dear, awkward!

AI is supposed to be a tool that propels society to greater productive heights, unleashing a whole new wave of research and innovation. Instead, yet another mouthpiece for the government, in this case China.

As this software develops as more people use it, a staggering question arises: just how much history will be deliberately wiped out or distorted to cater to a vested interest?
Let me lay out a scenario. Your fund manager continues to send you stock and crypto investment ideas that it thinks suits your portfolio. They also admit that, yes, whilst your investments have suffered some recent losses, they are nothing to worry about and you should continue to deposit the agreed monthly amount into your account so they may invest it on your behalf.

You however are unsure. There are continuing reports of shadow banks calling in loans and their stock prices tanking. Of private equity firms freezing client accounts on a temporary basis as they “better enable the firm to ride out current volatility.” Social media reports tell of these same people being unable to close down those same accounts and get their money back.

Concerned, you open your laptop or mobile and chat to the AI chat bot provided by your financial advisors. “What strategy are you implementing to protect our capital in light of the following bad news…”

What do you think it will be programmed to reply to you?

“All hell’s breaking loose! Get your money out – now!”

Believe that, hit me up. I have a unicorn in my backyard I’d like to offer you. What if the reply is this, “Let’s talk about something else.”

When we as a society are all-in, what motives would the financial industry have in advertising to all and sundry it’s time they got their money back? But we are approaching the peak of the current real estate cycle. The fund management industry is diving head-first into the AI revolution. Would you really trust them 100% with your money?

No one cares more about that money than you. You don’t necessarily have to rely upon AI to do your thinking when the greatest known supercomputer already resides in your head.

I have proven to you the obfuscation and deliberate re-writing of history happening with these client facing AI chat bots the funds management industry believe is their transformative force for the future.

They will program them with advice that suits their vested interest, not yours. What I’m saying is to fill your own supercomputer with knowledge of history and beat them at their own game.

And becoming our latest Boom Bust Bulletin (BBB) member is how you start.

Use our brand-new innovation of monthly video and written editions to learn about the 18.6-year Real Estate Cycle and why it continues to repeat after more than two hundred years of history.

The BBB will give you the grounding needed to take your investment journey to the next level. With its guidance, you can trade and invest with the trend of the cycle, not against it.

Your mantra must be profit and protect moving forwards. If AI becomes ubiquitous, what chance do you have to discern what really is truth or fiction? Then add the emotion and chaos when peak turns to bust, and you must make the correct decisions.

With not a whole lot of time to do it.

Knowledge of how the land markets work and their inherent timing is the truth that sets you free. Now is the ideal time to start learning about it.

Sign up now.
Best wishes,
Darren J Wilson
and your Property Sharemarket Economics Team

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This content is not personal or general advice. If you are in doubt as to how to apply or even should be applying the content in this document to your own personal situation, we recommend you seek professional financial advice. Feel free to forward this email to any other person whom you think should read it.