What AI Can Actually Do — And What It Can’t

Artificial intelligence is changing finance, healthcare, education, and the future of work — but what is it actually doing under the hood?

In this conversation, I sit down with Albert Berdellans, Global Head of AI at Invenium, for one of the clearest explanations I’ve heard of how large language models actually work, what AI can and cannot do, where the risks are overstated, and how it may reshape society in the years ahead.

We discuss:
• how large language models generate answers
• why AI does not actually “think”
• hallucinations, context rot, and why AI gets things wrong
• whether AI will replace jobs
• how AI is already changing finance
• the future of healthcare and education
• why fears of rogue AI may be overblown

If you’re trying to build a clear framework for understanding AI beyond the hype and fear, I think you’ll find this conversation to be invaluable.

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Timestamps:
00:00 Introduction — what AI actually is beyond the hype
01:04 Albert’s background and how he entered AI
04:55 Where AI impresses most — and where it doesn’t
07:31 How AI is used in finance and large institutions
12:11 Context rot and why too much information hurts AI
14:05 How large language models actually work
17:44 Hallucinations and false answers
19:25 Can you trust AI outputs?
22:31 Can AI reason and make predictions?
27:21 Which jobs AI will change first
31:13 How AI is transforming private markets and due diligence
37:36 Tokenization, liquidity, and real estate
40:49 How AI could improve healthcare and education
47:12 AI in medicine, diagnosis, and surgery
48:16 The future of education and personalized learning
52:08 Will AI go rogue? The real risks
55:15 Real-world examples of “rogue AI” explained
59:23 Final thoughts