Ten years ago, I found myself at the forefront of digital transformation, a journey that ignited my fascination with artificial intelligence (AI). At the time, the financial industry was just beginning to explore AI’s potential, and I was fortunate to champion My Advisor, RBC’s AI-powered retirement planning assistant. This experience opened my eyes to how AI could revolutionize decision-making—not by replacing human judgment, but by enhancing it.
Since then, I’ve embraced AI tools to streamline workflows, analyze data, and refine strategic thinking. Yet, as AI’s capabilities grow, so does the debate: Is AI a brainpower enhancer or a deteriorator? The answer isn’t black and white—it depends on how we use it.
Recent discussions at various tech week events and a recent Permissionless‘ Family Office & Investor Summit side event underscored this tension. AI now dominates venture capital, with over 70% of VC funding flowing into AI-driven startups (excluding AI, investment is down 36% from Q4). But amid the hype, critical questions emerged about IP risks, overvaluation, and the “AI or nothing” investment mentality—themes that mirror my own cautious optimism about AI’s role in augmenting human intelligence.
AI as a Deteriorator: The Risks of Over-Reliance
1. Intellectual Property (IP) Risk
AI’s ability to generate content—code, articles, financial models—raises critical IP concerns. Who owns the output? Could proprietary data fed into AI models be compromised? Early in my experimentation with AI-powered financial forecasting tools, I realized that blindly trusting AI-generated insights without scrutiny could lead to unintended data exposure or flawed decisions.
Supporting Evidence:
- A 2023 U.S. GAO report warned that generative AI poses risks of inadvertent IP leaks (GAO, 2023).
- At Permissionless, legal experts highlighted that AI-generated works lack copyright or patent protection unless human contribution is proven. Investors now scrutinize:
- Ownership of training data (e.g., Getty Images’ lawsuits against AI models).
- Vendor IP policies (e.g., OpenAI’s terms for commercial use).
- Output legality (e.g., prompts that regurgitate copyrighted material).
2. The Forgetfulness Factor
There’s a cognitive cost to over-reliance on AI. When we depend on AI for memory (e.g., meeting summaries, calculations), our own retention and critical thinking may weaken. I noticed this when using AI note-taking apps—while they saved time, I recalled fewer details organically.
Supporting Evidence:
- A Nature Human Behaviour study (2021) linked digital outsourcing to reduced recall ability (Nature, 2021).
- At Permissionless, Calvin Cooper (Pilot Wave Holdings) warned that automation without oversight risks eroding operational expertise in fields like legal and accounting.
AI as an Enhancer: Amplifying Human Potential
1. Time Saved is Brainpower Redirected
The most undeniable benefit of AI is efficiency. At RBC, My Advisor empowered planners to focus on clients by automating retirement projections. Today, tools like ChatGPT save me hours in drafting and research.
Supporting Evidence:
- McKinsey (2023) found AI saves knowledge workers 20-30% of their time (McKinsey, 2023).
- Permissionless Takeaway: AI-driven automation in manufacturing boosts productivity without replacing human strategists.
2. Augmented Intelligence: Faster, Smarter, More Precise
AI elevates cognition. Need a 50-page report summarized? AI extracts key insights in seconds. Struggling with phrasing? It refines language.
Supporting Evidence:
- MIT Sloan (2023) showed AI-augmented professionals make decisions 25% more accurately (MIT Sloan, 2023).
- Permissionless Insight: Spencer Zabelas’ AI company uses behavioral data to enhance live events (e.g., dynamic pricing, ad targeting), proving AI’s value in refining—not replacing—human creativity.
The Balance: Lessons from Investors and Innovators
The Permissionless Summit reinforced that AI’s value hinges on intentional adoption:
- Question outputs (e.g., AI music lacks emotional resonance; human input is key for copyright).
- Protect IP (trade secrets often trump patents for AI frameworks).
- Avoid hype cycles (experts cautioned against overpaying for “pedigree” over fundamentals).
AI is neither savior nor villain—it’s a tool. Like My Advisor a decade ago, today’s AI thrives when it amplifies human judgment, not replaces it.
The conferences I’ve attended in 2025 so far have reinforced what I’ve learned across both traditional wealth management and modern venture investing: The most sophisticated investors use AI as a precision tool, not a crutch. Whether evaluating an AI startup’s IP moat or applying large language models to portfolio analysis, the human element remains irreplaceable – particularly when advising clients with complex, multi-generational wealth structures.
As a Strategic Partnerships Consultant, I bridge the gap between traditional wealth preservation and modern technology adoption. My experience with AI spans from implementing RBC’s first advisor tools to evaluating cutting-edge AI investments for family offices. The throughline? Technology should amplify human expertise – especially when dealing with sophisticated investors who require tailored solutions. If you’re navigating the intersection of wealth management and AI, I’d welcome the conversation. Connect with me on Francine Mbvoumbo.
