Happy Sunday, and welcome to Benzinga’s financial advisor newsletter.

Today we're talking about Artificial Intelligence and its ever-growing role in the workplace. In fact, a staggering amount of executives are now embracing AI as they look to transform work habits and growth strategies. Read on to see what this means for advisors and the next generation of workers.

Plus, a look back at all the top stories and market activity from this past week.

Lastly, if you would like to be featured in our upcoming Advisor Spotlight and showcase your business, click here to send us an email.

Table of Contents

• Industry Chatter

• Weekly Market Recap

• The Week Ahead

INDUSTRY CHATTER

Executives Are Going All In On AI

Wall Street might be wondering if the “AI trade” is running out of steam, but corporate America clearly hasn’t gotten the memo.

Companies in Goldman’s AI equity basket have already issued $141 billion in new debt this year, and with Google, Meta, and Microsoft all raising CapEx on recent earnings calls, that number is only heading higher.

Why? Because people are using AI, investors are rewarding it, and it provides a new growth opportunity that companies are quickly trying to corner and take advantage of.

In fact, according to a new Wharton survey from 800 business leaders at companies with more than 1,000 employees, almost everyone is using AI now. A staggering 82% of executives now use generative AI weekly — up from 37% last year — and nearly half use it every day.

For business leaders, AI isn’t just an investment theme. It’s becoming a habit. It’s gone from “pilot project” to part of the everyday work week.

And it’s not just companies embracing AI. From boardrooms to living rooms, more people are turning to AI tools — not just to boost productivity, but to make real-life decisions, including financial ones. As noted a few weeks ago, a recent Pearl.com survey found that nearly 1 in 5 Americans lost over $100 after following financial advice from an AI chatbot.

That gap between usefulness and understanding is where professionals still matter most.

Efficiency vs. Relationships

Executives are leaning into AI for efficiency, but Wharton’s researchers note that real long-term value comes not from cost-cutting, but from creativity — using AI to design new products, improve client experiences, and build stronger relationships.

It’s a useful parallel for financial advisors too. There’s no shortage of AI tools promising faster research, better content, tools, and resources. But efficiency only gets you so far. The real opportunity lies in using these tools to deepen relationships, not replace them. For advisors, it’s an opportunity to leverage AI to create new ways to educate, engage, and deliver advice.

Generational Shift

If you’re worried about AI taking away all the jobs, the good news is that the survey found that senior leaders expect AI to create more junior jobs than eliminate them. Nearly half expect to hire more interns and entry-level staff, not fewer. It turns out “AI anxiety” — especially among Gen Z — may be overstated. The next generation of workers isn’t being replaced; they’re being asked to make the most of it.

For advisors, that’s a cue. Your next intern or associate may already be fluent in AI. Rather than fearing it, harness that skill to make your firm smarter and more responsive. Those who leverage AI to enhance relationships, mentor the next generation, and create meaningful client experiences will be the ones who not just survive the AI wave, but come out on top.

WEEKLY MARKET RECAP

Main Street's Job Fears Hit Wall Street As AI Rally Falters

After a six-month winning streak, investors thought the artificial-intelligence boom was bulletproof. This week proved otherwise as a series of events sent technology and AI-linked stocks into their worst week since April's tariff-driven selloff.

The first warning sign arrived Tuesday, following Palantir (PLTR) 's earnings report — one of the poster children of this year's market rally.

The company handily beat expectations, yet investors took it as an opportunity to cash out after the stock had surged more than 170% year-to-date.

That profit-taking quickly spread to other AI favorites, sparking a wave of adverse reactions despite strong results from names like Advanced Micro Devices (AMD) and Robinhood (HOOD), both key players in the AI-fueled rally.

Palantir fell for four straight sessions, losing about 15% from Monday's highs — its worst week since February. The damage didn't stop there: AI heavyweights including Nvidia (NVDA), AMD, and Oracle (ORCL) each sank roughly 10% over the week.

Chart Of The Week: Investors Dump AI Darlings Amid Growing Bubble Concerns

Meanwhile, the prolonged government shutdown once again delayed the release of official labor market data, leaving private-sector reports as the only clue to the state of the U.S. economy — and they weren't encouraging.

The ADP National Employment Report showed just 42,000 new jobs in October, a rebound from September's 32,000 losses but still too weak to signal any meaningful improvement in labor conditions.

Then came the real shocks on Thursday and Friday. Challenger, Gray & Christmas reported that U.S. employers announced 153,074 job cuts in October, bringing total layoffs this year above one million — the worst pace since 2020.

October's job cuts were up 175% from a year earlier, marking the highest October total since 2003, highlighting the growing impact of AI-driven disruptions.

Finally, the University of Michigan's consumer sentiment survey completed the picture of a struggling Main Street. Confidence plunged to 50.3 — the lowest since June 2022 — while the subindex for current economic conditions hit the worst level on record since the survey began in 1951.

Yet, amid the gloom, one group stood apart: the wealthiest Americans actually reported an improvement in sentiment, highlighting a widening divide in an economy that continues to follow a distinctly K-shaped path.

THE WEEK AHEAD

Walt Disney, Oklo, CoreWeave, Rigetti, Circle, and Cisco to report earnings, Fed speeches, rig count, and more

Economic Data

• Monday: No meaningful reports due to government shutdown

• Tuesday: NFIB optimism index, Fed speech (Michael Barr)

• Wednesday: Fed speeches (Williams, Waller, Bostic, Collins, Miran)

• Thursday: Federal budget, Fed speeches (Williams, Musalem, Hammack, Bostic)

• Friday: Fed speeches (Logan, Schmid), Baker Hughes rig count

Earnings

• Monday: CoreWeave (CRWV), Occidental (OXY), Rigetti (RGTI)

• Tuesday: Sea Limited (SE), Oklo, (OKLA), Alcon (ALC)

• Wednesday: Cisco (CSCO), Circle (CRCL), DLocal (DLO)

• Thursday: Walt Disney (DIS), JD.com (JD), Applied Materials (AMAT)

• Friday: Spire (SR), SBC Medical (SBC), Forge Global (FRGE)

Click here for the full calendar of economic data and earnings reports.

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