“The Case for Human Judgment in an AI-Driven Market”
“The Case for Human Judgment in an AI-Driven Market”
Blog Article
Inside a strategy forum hosted at AIM in Manila, Joseph Plazo—founder of AI investment firm Plazo Sullivan Roche—challenged the room to rethink what success means in a world run by machines.
His algorithms have posted a 99% win rate across asset classes.
And yet, he stood in front of the next generation of business leaders to say:
“A bot can optimize a trade. Only a leader can own its consequences.”
???? **The Architect Who Questions the Architecture**
Plazo is not retreating from AI—he’s refining how it’s led.
“Speed does not imply wisdom. Nor does precision imply perspective.”
He recalled a moment in 2020: a bot under his direction flagged a short on gold—hours before the Federal Reserve’s emergency announcement.
“We reversed the trade. It lacked what we call ‘narrative context.’”
???? **Why Strategic Friction Still Matters**
Plazo introduced a concept he now teaches internally: **Strategic Friction**.
“A moment of hesitation can preserve more value than a flawless trade.”
He then outlined **Conviction Calculus**, a leadership-level framework for decision validation in AI-assisted organizations:
- What does this say about our organization’s long-term identity?
- Has senior leadership had a voice before execution?
- Will we own the outcome if it fails?
???? **Why Asia’s AI Acceleration Needs Executive Restraint**
Plazo pointed to Asia’s surging fintech sector—with massive investments in algorithmic trading and automation infrastructure from Singapore, South Korea, and the Philippines.
But he cautioned:
“We are scaling capacity faster than conscience.”
He referenced recent collapses of AI-driven hedge funds in Hong Kong in 2024, where systems failed to interpret macroeconomic risk.
“These weren’t technical breakdowns—they were governance breakdowns.”
???? **Why Context Is the Next get more info Competitive Advantage**
Plazo is now advancing what he calls **“narrative-integrated AI”**—systems that integrate geopolitical signals, regulatory context, intent, and human tone into algorithmic output.
“The next leap isn’t faster data—it’s smarter context.”
Following his talk, venture firms from Tokyo and Jakarta began discussions on enterprise-level governance systems for algorithmic infrastructure.
One executive called the talk:
“The most practical leadership lens for automated systems I’ve heard in years.”
???? **What Happens When No One Says 'Wait'?**
Plazo closed with a sobering truth:
“Flawless execution without intent can still cause systemic damage.”
The message was clear: AI may dominate execution, but humans must lead intention.