Elon Musk: This is just bad math

Brett winton recently tweeted on how the media industry mixes information with price movements and it confuses investors. Thus creating the ruckus among investors and they take a risk while investing.
The tweet was not in the spotlight until Elon musk tweeted that it is all because of bad mathematics. He said,” Absolutely. This is just bad math.”
Brett winton tweeted, “The financial-media ecosystem’s widespread (and generally accepted) …..conflation of price volatility with risk …..massively dis-serves the investing public.”
He also added that intermediaries are driven to create financial products that conceal volatility (but increase risk at the same time).
“There is, of course, a reason why people conflate risk with volatility: but the risk is not an intrinsic property of the asset, ….instead it is a risk at the investment decision-maker level ….(that they will sell at the worst possible time or buy at the worst possible time.)” he added to the tweet thread.
He continued that more volatility doesn’t mean more risk. As people conflate volatility with risk, they assume that less volatility equals less risk, so they take massive leverage (emotional or financial, understood or implicit) against the “non-risky” asset.
Brett Winton is a research director at ARK investor. The other is Elon Musk, a business titan and entrepreneur. He is the founder, CEO, and Chief Engineer of SpaceX; an early-stage investor, Tesla, Inc.’s CEO and Product Architect; and the co-founder of Neuralink and OpenAI.