Is the AI Bubble About to Burst?

Lately, the headlines have zeroed in on artificial intelligence. Some say AI is in a bubble and warn of a coming burst. But AI is just the latest storyline. Not long ago, it was inflation, rising interest rates, or fears of recession. Add in concerns about high stock valuations and a slowing economy, and there’s always something to make investors uneasy.

For many, the natural question becomes: What should I do?

Why Doing Nothing Is Often the Best Choice

The instinct is to react by selling stocks, reducing equity exposure, and moving to the sidelines until “things settle down.” But in most cases, the best response is simple: do nothing.

That doesn’t mean ignoring risk. It means recognizing that your financial plan and diversified portfolio are built with volatility in mind. They don’t require markets to move straight up for you to succeed. Instead, they anticipate periods of turbulence along the way. Pullbacks aren’t evidence your plan is broken; they’re part of the normal cycle your strategy already accounts for.

Discipline: The True Edge in Investing

This is why discipline matters so much. The real advantage isn’t predicting the next bubble—it’s maintaining composure when fear dominates the headlines. By sticking to the plan, rebalancing when appropriate, and filtering out noise that doesn’t impact long-term goals, investors give themselves the best chance at lasting success.

If the chatter becomes overwhelming, one of the healthiest steps you can take is to limit your exposure to it. Turning off the news doesn’t mean being uninformed. It means protecting yourself from emotional reactions that can lead to costly mistakes.

Markets will always have dramatic stories. What matters most is not the news of the day, but your ability to stay steady through it. Your future doesn’t depend on headlines. It depends on discipline, patience, and commitment to the plan we’ve built together.