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Its Not Harry

Comment and opinion for retail investors in the UK

Opinion

A little foresight?

29th October 2026 by Mark Potter Leave a Comment

Back in March 2025, when I was experimenting with ChatGPT and other AI systems, I wrote a longish article (Deep Dive – March 2025) attempting to anticipate, or at least explore, some of the implications of AI for investors, at a very general level.

Today’s financial news prompted me to recall that I wrote the following:

“The point here is that I have bypassed all of Google’s advertising! This hints at a significant devaluation in the shares of companies like Google and Meta whose main revenues are from advertising. One begins to appreciate why Microsoft has put so much money into this new way of using the internet.”

At the time, this was an observation about a possible consequence of AI rather than a fully developed investment thesis. But the underlying idea was that AI could do more than introduce a new technology: it would change the way people access the internet, undermining some of the economics of the existing advertising model.

Feeling a bit cocky!

Now consider the financial news of this week.

Google’s parent, Alphabet, has seen its share price tank after it reported slower-than-expected growth in search revenue while spending enormous sums on AI infrastructure. Investors have become increasingly concerned about the cash required to fund that investment and the possibility that AI is taking business away from conventional search. Microsoft, by contrast, has demonstrated strong growth in its Azure cloud business and generated substantial free cash flow despite its own heavy investment. Meta, meanwhile, whose advertising is not so dirrectly related to Interenet searches reports that its advertising business remains robust, but the cost of its AI ambitions is becoming an increasingly important consideration for investors.

The market is now grappling with precisely the sort of questions I was raising eighteen months earlier.

To be clear, I did not predict the timing of a share-price fall, identify its eventual scale or establish that Google and Meta were certain to be long-term losers. Nor did I foresee all the complications of the AI investment boom and I was very clear in the text that I was attempting a technical analysis of a major and rapidly evolving step-change in technology. I did not, in any way, work out that there would be a bubble in chip maker share prices resulting from data centre build out.

But I think the original observation deserves some credit. I deduced that if AI could answer questions directly, bypassing the conventional search process, the consequences for then current advertising markets did not look positive for Google.

I suggested that this was an issue that could reach into the economics and valuations of some of the world’s largest businesses. Incidentally, again taking note of news about job losses announced at Microsoft this week, I had also commented with some accuracy on the prospects for employment in certain businesses.

Of course, fund investors do not pick stocks and we can only hope that our fund managers also stay ahead when technology is changing rapidly. The well known technology fund manager Ben Rogoff once said at a conference I was attending that a good technology fund manager is always aware not just of what IS happening in the world of technology but what is ABOUT to happen!

Filed Under: Markets, Opinion, Portfolios

(not so) Deep Dive – July 2026

1st July 2026 by Mark Potter Leave a Comment

Readers have, I can safely assume, just lived through some very hot weather and I am writing this sat directly in the air conditioner ouput in my flat. I have today seen the fairly dire meteriological predictions that result from computer modelling of El Nino. Also on this very day, I also saw independent media content explaining that the US administration is shutting down it most authorative climate monitoring services, on the authority of that narcissistic dim-witted leader who is too busy looking to plunder more wealth for himself and his family to care about his fellow humans, never mind the planet and all future generations.

Bad news – shut down the newsroom!

I am not proposing that we accept without question that global warming is a man-made event without question, merely observing instead that it would very probably be useful to have the best possible data available to scientists who might work out some solutions to what is obviously more of a problem than just discomfort.

I have kicked off with this observation because I intend to explore the question of how the world now deals with inconvenient truths, focusing on aspects that are relevant to investment markets. Maybe we are approaching the ‘last times’ of a very long investment market cycle, where only an ‘Armaggedon’ will clean up the many sins of the markets and allow a fresh start?

It occurs to me that eschatology may not be what some readers are looking for from this web site. Although I firmly believe, as you will know, that markets and ultimately the valuation of our investments are the distillation of human behaviours, not the pseudo science of economics, so feel justified in taking a tangential look at what seem to be absurdities in current marjet patterns, I can offer an alternative for those not interested who still want to do some useful reading to brush up their portfolio maintenance skills.

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Filed Under: Members Only, Monthly commentary, Opinion, Portfolios

A Riddle

7th June 2026 by Mark Potter Leave a Comment

Q: What do you get if take a pee and see, then put in an n and a k?

A: if you start with SPACE, you get SNAKE.

The IPO of Space X is one of the most blatant corruptions of the regulations and institutions supposedly there to protect the public, a set of maneuvres akin to the trickery of the snake oil salesman. That is not my sole opinion, but one of many independent professional commentators and publishers.

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Filed Under: Markets, Opinion, Rants

Caution – potential ‘Black Swan’

27th January 2026 by Mark Potter Leave a Comment

Possibly only visible to a skilled ornithologist with the best of binoculars, there is not so far offshore a black swan detected.

To cut to the chase, as they say (although I personally deplore the hunting of birds), the potential significant, even catastrophic risk for investors is changes in the Japanese bond market.

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Filed Under: Announcements, Economics, Markets, Members Only, Opinion

Snippets – a foggy Autumn

20th October 2025 by Mark Potter Leave a Comment

All quiet on the Notharry front?

My readers may have noticed less blog posts recently. This had been deliberate on my part, for several reasons:

  • I had a few conversations with subscribers in which they confessed to not having time to read a few of my recent scribblings, sometimes I suspect for quite a few weeks. That means one of two things: I am posting too often or what I post is not useful or interesting. Now I am fairly sure that aside from the odd rant or attempt at dry humour, what I write IS useful to retail investors, so with that possibly conceited analysis, I have decided to reduce my frequency of posting to an average one longer read at the start of each month and one or two topical pieces in between.
  • Secondly, there are not many fundamental topics that I have not covered already in several ways: maybe a permanent long technical article, some reminder posts with cross references and now even maybe a video. I am therefore reluctant to write or record a piece that is just an unwanted repetition. On the other hand, as you know, I am very willing to write a piece on a subject that a particular subscriber wants explained or for me to comment on. Just tell me what you need!
  • Finally, current market conditions are so weird, so febrile and so full of risk (which last point I have made repeatedly already), that it is difficult to offer any intelligent guidance on portfolio servicing or reshaping over and above the usual basic essentials of being diversified, managing cash flows and taking the long view.

Nonetheless, I have collected quite a few thoughts on what are relevant factors that you might benefit from thinking about, or trends that need keeping an eye on, enough to make up one of my occasional ‘mish-mash’ lists of unconnected (or are they?) subjects that now follows.

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Filed Under: Members Only, News, Opinion, Politics, Portfolios

Deep Dive – October 2025

6th October 2025 by Mark Potter Leave a Comment

When a cult rules millions

For most of my working life, I have been able to tell those who asked me that politics made not much immediate difference to investment markets.  Of course, where politicians make significant changes to macro-economic conditions (say Reagan and Thatcher in the ‘80s under the influence of the monetarists and market liberalists), there will be impacts over the medium to long term. 

However, as a rule markets have always taken the view that in the democratic ‘free’ world, politicians come and go and policies oscillate from a bit leftish to a bit rightish with the odd major annoying upset, like Brexit.

It is also widely understood that the most important capitalist economy, the USA, is really under the control of two main groups – a loose collective of shadowy billionaire oligarchs and the lobbying firms employed by the mega corporations.  This was explained to me when I was a teenager attending college to study business and as a Brit, I struggled to believe it, but now there is some evidence (especially during the Boris Johnson period) that the same sort of democratic corrosion is occurring in the UK.

Are politics really relevant for investors?

The people with the real power in the USA welcomed Trump’s re-election and the US equity market performed accordingly early this year.  Here was a man who was not very bright, had only made money with the help of Russian property developers or by blatantly disreputable behaviour, when left to his own devices went bankrupt over and over again, had an ego that forever needed massaging, and was utterly free of the ethics that most people think define Christian societies. 

In essence, they thought that they knew, as the KGB had discovered much earlier, that this was a man whom you could easily manipulate with a little forethought.

That was however their mistake. 

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Filed Under: Economics, Markets, Members Only, Monthly commentary, Opinion, Politics

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