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How AI is redefining finance leadership: ‘There has never been a more exciting time to be a CFO’

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Good morning. This year has shown that AI isn’t just a buzzword anymore—it’s redefining finance. 

In covering AI, I’ve spoken with CFOs across industries who are focused on value creation and developing real-world use cases for AI to reshape everything from forecasting and financial planning to strategic decision-making. As data moves faster than ever, finance leaders are asking a new question: not what AI could do, but how it can truly transform the enterprise. I’ve also talked with industry experts and researchers about topics ranging from the ROI of AI to “prompt-a-thons” and debates over whether AI will turn CFOs into chief capital officers.

Finance chiefs are signaling the next big evolution—2026 will be the year of enterprise-scale AI. Pilot programs and proofs of concept are giving way to avenues for full-scale deployment as CFOs expect AI to deliver measurable value: faster decisions, leaner operations, and predictive insights that can provide a competitive edge. However, that level of transformation comes with new demands—governance, data integrity, and human oversight matter more than ever.

I recently asked finance chiefs from leading companies how they expect AI to redefine what it means to lead in finance. For instance, Zane Rowe, CFO at Workday, told me: “There has never been a more exciting time to be a CFO with AI unlocking new opportunities for value creation through unprecedented data and insights. Most of the focus has been on experimentation and discovering the art of the possible, but this year, leaders will shift from ‘What can AI do?’ to ‘How do we build the foundation for scale?’ They will manage a more nuanced AI portfolio that balances launching pilots with rolling out proven solutions, and they will prioritize the unglamorous but critical work of data governance, process redesign, and maintenance of new technologies. Success in 2026 will be defined by how we mature our AI strategy to ensure it is both agile, durable, and enterprise-grade.”

Shifting from the perspective of a major tech company to a beauty and cosmetics leader, Mandy Fields, CFO at e.l.f. Beauty offered this prediction: “From where a CFO sits, AI simultaneously helps broaden our view to get a better macro picture and can help put a sharper focus on very specific points of interest. e.l.f. Beauty is growing globally, and AI has visibility across it all. Going into next year, we’ll continue to explore how we best leverage AI in finance to lean into its strengths. It’s a pretty similar approach to our high-performance teamwork culture in which we encourage the team to pursue and thrive in the areas where they have expertise, learn continuously and move at e.l.f. speed.”

You can read more insights from over a dozen CFOs on how AI will shape finance in 2026 in my complete article here.

This is the final CFO Daily of 2025. The next issue will land in your inbox on Jan. 5. Thank you for your readership—and wishing you a wonderful holiday season. See you in 2026!

Sheryl Estrada
sheryl.estrada@fortune.com

This story was originally featured on Fortune.com



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Millennial designer spent months building ‘The Holiday’ cottage replica. It’s renting at $499/night

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Everyone has must-watch holiday movies that they binge during the festive season, from Love Actually to Home Alone. But few actually get the chance to step inside the world of their favorite comfort flicks—that is, until now. Superfans of The Holiday can now rent out a replica of the quaint English cottage where fictional Hollywood bigwig Amanda Woods (played by Cameron Diaz) was charmed by heartthrob British book editor Graham (played by Jude Law). They’ll have to wait four months, and make the trek to Georgia instead of the Cotswolds. 

Home designer Lucy Small put The Holiday Cottage up for short-term rentals this October after a nine-month build—and a fan frenzy quickly ensued. The 37-year-old has spent the past six years designing homes in the Blue Ridge Mountains; she’s worked on three dozen houses, from bathroom and kitchen rebuilds to hardcore construction projects. But nothing could have prepared her for the rush of attention that came with her latest project: replicating the cozy Rosehill Cottage featured in The Holiday, from the ground up. After all, nearly two decades after the movie’s release, it continues to be a top-watched festive flick—in 2023, The Holiday was streamed 2.3 million times, according to an analysis from Samba TV.

As it turned out, the house featured in the 2006 film—owned by Kate Winslet’s character Iris, who home-swapped with Amanda’s L.A. mansion for the Christmas season—never actually existed in real life. It was a big undertaking, but Small saw a potential hit on her hands. 

“The Holiday Cottage was really a fun thing. I was like, ‘Hey, why don’t I do this? I have everything at my disposal to be able to do it, I know how to build, and I can find land,’” Small tells Fortune, adding she’s a fan of the iconic movie. “Honestly, it was just one of those situations where I had this wacky idea, and everyone got excited about it, and no one stopped me.”

David Cannon Photography/Courtesy of Lucy Small

Before the foundation of the two-bedroom, two-and-a-half bath home was even built, Small had attracted attention from thousands of customers. She first announced her plan to build the cottage in 2022, and fan fervor started pouring in. The entrepreneur says they only had digital renders of the cottage at the time, but people were already sending her handwritten letters about how they couldn’t wait to stay there. Around 4,000 people left their emails on a website Small threw together to update the public on its availability. Now, just two months after going live on the market, the short-term stay is fully booked out until March 2026. 

“People have really loved it, and every time I get one of those letters of, ‘This means so much to me, thank you so much for making it possible,’ that’s just way more worthwhile to me than anything else,” Small continues. “Anyone can build a house, have it be a good investment, and sell it to an investor. But this seems to really have meaning to people, and that makes it important.”

The nine-month process to bring The Holiday cottage to life

It’s no easy feat bringing a piece of cinema into the real world—especially when you’re up against a home that’s impossible to replicate. In truth, the Rosehill Cottage featured in The Holiday was just a bit of movie magic; the home’s weathered facade was built in an open field, while the interior was filmed on sets. Home-makers might hesitate at the idea of building an unbuildable home—but Small was actually excited by the premise. 

“I found out that the house never actually existed in real life, which, for me, is a big deal. Because if you can actually go visit the Brady Bunch house, or the Home Alone house, me building another one is less interesting,” she explains. “But if it never existed, if it’s a set that was torn down 20 years ago, that’s a lot more interesting, because there is literally nothing else in the world like it.”

Small put the project into motion several years ago, but quickly ran into some time-consuming roadblocks. Georgia, a popular tourist getaway and filming location, was slow to issue more short-term rental licenses as temporary stays flooded the market. Heavy taxes and fees also had to be factored into the price, as counties wanted in on the industry’s growing success. Finding the right land to build on was a struggle—but once they settled on a plot in North Georgia, it was off to the races. 

David Cannon Photography/Courtesy of Lucy Small

In total, it took nine months to build The Holiday Cottage, from breaking ground to putting in the final flourishes. Small worked with an architectural designer, watching the romcom together “1,000 times” to try and get it right. The first hurdle: They realized the house would never meet code. When trying to build at scale, they discovered the ceilings would be too low, standing at only seven feet tall, based on where the windows were positioned in the movie. The film version of the cottage had only two chimneys but featured three fireplaces; the bathroom floor was sloped; and, in reality, one window would cut halfway through the kitchen cabinet. Small and her team did everything to match the same aesthetic, even setting up fake walls and slopes.

Replicating the home’s furnishings proved to be a bit pricey, too. Despite the quaint movie cottage, seemingly adorned with humble, second-hand furniture, the kitsch decor was beyond Small’s budget. Using Google image reverse search, she tracked down antiques identical to the ones in the set, which ran upwards of $30,000 each. The bamboo umbrella tree shown in the cottage entryway, for example, was priced at over $15,000. Eventually, Small was able to parallel the same warm, charming atmosphere with similar decor. She declines to share how much the entire build set her back, or even when she’ll recoup on costs. Small says she rents out the home at a modest price—$399 per night during the low season, and $499 during high season—and is adamant The Holiday Cottage has been a worthwhile investment. 

“It’s not like we were totally surprised and totally blew the budget. We knew what it would be—we don’t charge a stupid amount,” Small says. “And so it’s still been a good investment, given that we did not like cheap out on the build at all.”

Having 4,000 eager fans lined up—and why Small is fine being a ‘one-hit-wonder’

With 4,000 eager renters already waiting for the pin to drop, The Holiday Cottage’s instant success wasn’t a huge surprise. However, Small wasn’t used to her projects getting so much attention. 

“As someone who, frankly, does not know how to use social media at all, who doesn’t have it, who’s pretty private, I’m usually unable to get eyeballs on any of my projects,” she continues. “For this one, [attention has] just been pouring in completely, even though I haven’t gone out to seek it, which has been a very new position for me as a designer.”

Once The Holiday Cottage booking site went live on Oct. 4, Small says dates started filling up “immediately.” And media attention only riled up more interest; the millennial home designer says she “can’t think of a magazine” that hasn’t covered her new build. And just in time for the holidays, it’s proved to be the perfect place to get into the festive spirit. Currently, there is only one open day in March, a few available slots in April, and just one in May. The Holiday Cottage isn’t available for a multi-day booking until June 2026—the house is nearly booked out for six straight months.

David Cannon Photography/Courtesy of Lucy Small

Small’s latest project has proved a huge success, and she says renters have so far been loving it. Travelers leave their stories in the home’s guest book; a trio of sisters brought their mother, a big fan of The Holiday, along for the ultimate dream stay; another visitor used to watch the movie with her mom every Christmas, and after her passing, rented the place with her dad. For the people who stay there, the short-term rental is more than a place to crash. It’s the chance to be immersed in romcom nostalgia and reconnect with loved ones. 

When asked if she is planning another movie-related build, Small says she’s perfectly happy being the homeowner of this one viral sensation. Right now, she has no other ideas—all she knows is she will only take projects like this, where people are excited about the result. Plus, Small believes there’s no other home built that can replicate the same magic as The Holiday Cottage. 

“Honestly, I’m fine being a one-hit-wonder,” Small says. “I don’t need it to be a big money-maker or big success, because a lot of the things that make this house—The Holiday Cottage—so special, I don’t think can be replicated.”

A version of this story originally published on Fortune.com on November 28, 2025.

Join us at the Fortune Workplace Innovation Summit May 19–20, 2026, in Atlanta. The next era of workplace innovation is here—and the old playbook is being rewritten. At this exclusive, high-energy event, the world’s most innovative leaders will convene to explore how AI, humanity, and strategy converge to redefine, again, the future of work. Register now.



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Merry Christmas. The economy is recovering. 

In assessing our economy or, really, any economy, you want to know if the economy is growing, that there are enough jobs for people, that people can borrow at reasonable rates and that the dollar you hold today is worth about the same as it did a year ago. If those four metrics are solid, we are good. Using Pareto’s 80/20 principle—the idea that 20% of any set of numbers constitutes 80% of the value of the entire set—we know that real GDP, the unemployment rate, interest rates and inflation drive the vast majority of what is important.

If those four numbers are excellent and all other economic metrics are falling apart, we still get a B grade. If all other numbers are great and those four numbers are bad, we get an F.

These four pillars are the best antidote to the idea of the “vibecession”—a state defined by persistent negative “vibes” and a sense of malaise about the economy due to factors like high grocery prices and housing costs, with no regard to what the hard data says.

When rhetoric gets loud in politics, look at the basic math. First, consider gross domestic product (GDP). GDP is simply the value of all the goods and services a country produces within a time period. Think of GDP as a country’s sales or revenue, just like the top line for a company. After a minus 0.6% growth rate at the start of the year, the second quarter bounced back with a 3.8% increase. New data this week showed third-quarter GDP growth accelerating to 4.3%—the highest rate in two years. Historically, a real GDP growth rate above 3% is outstanding. Real GDP—check.

In contrast, unemployment sits at 4.6%, the highest since 2021. But look at context: Since 1950, the average U.S. unemployment rate has been about 5.7%. In 2020, it spiked to 14.8%. By any historical measure, if you want a job in America today, the math is on your side. Employment—check.

Next, interest rates. The Federal Reserve recently set a target range of 3.5% to 3.75%. Historically, 30-year mortgages run two to three percentage points higher than that rate, and they currently sit around 6.3%. We are in a cooling-off period after mortgage rates peaked near 8% in late 2023. If you are anchored to the sub-3% rates of 2020—a once-in-a-century anomaly—6.3% doesn’t feel so good. But the historical average since 1971 is 7.4%. We are currently borrowing at low rates compared to the last five decades. Interest rates—check.

Finally, the annual inflation rate is currently around 2.7%, higher than the Federal Reserve’s 2% target but well below the 75-year average of 3.5%. Remember, the COVID-era high was 9.1% in June 2022. Things still “feel” bad around inflation because groceries can cost $150 for two bags and because of what has occurred over the past five years. Prices aren’t dropping, but the speed of their increase has significantly slowed. We are still paying for the 24% total price hike endured since 2021, but the bleeding has stopped. At 2.7%, the engine is cooling to a healthy temperature. Inflation—check.

The answer: Despite the “vibecession” narrative, the economy is recovering. I think we get an A-minus, no matter who the teacher is—Democrat or Republican.

One last item. Who drives all these metrics? Certainly not the politicians. It is the small-business person. They create the jobs and the growth. A healthy economy is built by small businesses. They create about 65% of all new jobs and the vast majority of innovation. These businesses have been operating in a fog of mixed information and a quickly changing policy environment. Predictability is the oxygen needed for entrepreneurs because their lives are already upside down with risk. They need the certainty to plan, hire and invest. So, people, let’s not confuse the creators. It is time to move past the noise and get back to business. The math says we’re going to be just fine.

The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of Fortune.



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Why gold went through the roof this year

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The S&P 500 closed up 0.46% yesterday to hit a new record of 6,909.79. The index is now up 17.48% for the year. With only the quiet Christmas week left before the end of the year it’s likely that investors will mark this down in their spreadsheets as a very good year.

Unless, of course, they have a friend who bought gold at or before the beginning of 2025. The price of gold is up an astonishing 71% year-to-date, and is currently hovering around $4,514 per troy ounce. That friend is now laughing at you, the foolish stock investor, for wasting your money on trivia like the Magnificent Seven.

There’s a hackneyed narrative explaining why gold went up: We had a volatile year with President Trump’s tariffs disrupting global trade; Russia’s ongoing invasion of Ukraine; there’s a bubble in AI-related tech stocks; Bitcoin went nowhere this year (it’s down 7%); inflation is trending up; and gold is the safe-haven investment for nervous investors who want a hedge against pretty much all of that. 

In fact, that is only partially true, according to newish research from Claude Erb and Campbell Harvey of the Fuqua School of Business at Duke University. The reality, they say, is that the introduction in 2004 of gold exchange-traded funds—which make buying gold as easy as buying stocks—has permanently pushed up the price of gold.

“Total North American gold ETFs have almost $200 billion, and ETFs outside the U.S. account for another $175 billion in gold,” they said in an October 2025 research paper.

This chart shows the apparent effect on the price of gold following the introduction of gold ETFs. The chart shows the “real” price of gold, which discounts inflation from its price:

The more recent introduction of tokenized gold stablecoins—crypto tokens backed by gold reserves and thus pegged to the price of gold, which can be “staked” or locked up as investments in other risk assets like bonds—is likely to push the price up further, they say.

But don’t get too excited.

Gold isn’t actually a great hedge against inflation over the long run, Erb and Harvey argue. The price of gold has high volatility, whereas inflation is a low-vol phenomenon. Gold investors can thus spend years losing money if they are trying to beat inflation:

And then there is the performance of gold generally, in nominal dollars, versus stocks. This chart shows the price of gold over the last 40 years. Note that gold can spend years and years in long-term price declines:

And here is the Comex continuous contract for gold versus the S&P 500 index over the last 20 years. Clearly, the winner ain’t gold:

So has gold peaked? No one knows, obviously. But it is interesting that investment banks like Société Générale, Morgan Stanley, and Mitsui have all expanded their precious metal trading teams this year, and other banks are exploring getting back into the “vault” business of storing gold reserves, the Financial Times reports.

Here’s a snapshot of the markets ahead of the opening bell in New York this morning:

  • S&P 500 futures were flat this morning. The last session closed up 0.46% to hit a new record of 6,909.79. 
  • STOXX Europe 600 was up 0.39% in early trading. 
  • The U.K.’s FTSE 100 was down 0.12% in early trading. 
  • Japan’s Nikkei 225 was down 0.14%. 
  • China’s CSI 300 was up 0.29%. 
  • The South Korea KOSPI was down 0.21%. 
  • India’s NIFTY 50 was down 0.14%. 
  • Bitcoin was at $87K.
Join us at the Fortune Workplace Innovation Summit May 19–20, 2026, in Atlanta. The next era of workplace innovation is here—and the old playbook is being rewritten. At this exclusive, high-energy event, the world’s most innovative leaders will convene to explore how AI, humanity, and strategy converge to redefine, again, the future of work. Register now.



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