Post B9V1be2vY9jexDvK2C by cagatayy@mastodon.social
 (DIR) More posts by cagatayy@mastodon.social
 (DIR) Post #B9TqL6aItm3vt5UBu4 by mntmn@mastodon.social
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       > A correction in US technology stocks is likely and could threaten Eurozone financial stability, even if AI eventually lives up to investors’ hopes, a team of European Central Bank economists has warned> Euro area households have about €440bn of exposure to US tech equities, according to the economists, largely through investment funds
       
 (DIR) Post #B9UUKoGb056VF4gJvM by JulianWgs@ieji.de
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       @mntmn I don‘t have the specific data on this, but usually the time to recover for indices after a big crash is 4 to 6 years. So if you keep being invested for that time you don‘t "lose" any money (if you bought right before the crash). Of course if you are dependent on that money in that timeframe you shouldn‘t be invested in stocks anyway.Time in the market beats timing the market.Nonetheless diversifying investment and divesting from unethical companies & indices is always a good idea.This is not financial advice :D
       
 (DIR) Post #B9V1be2vY9jexDvK2C by cagatayy@mastodon.social
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       @mntmn IMHO the source blog post (https://www.ecb.europa.eu/press/blog/date/2026/html/ecb.blog20260817~754a8a4418.en.html) is sensationlizing a bit. Mag7 is a poor proxy for AI exposure. Apple and Tesla (as opposed to SpaceX) are not deeply invested in AI. Other five all have non-AI businesses. Nvidia is probably the one that is most AI dependent but even it has plenty of non-AI business. Also, I can't find a mention of the total assets the European households hold in the post. €440bn is less than 2% of the total from two years ago (https://data.ecb.europa.eu/blog/blog-posts/exploring-investment-funds-households-own).