AI Investment

· 2 min read
AI Investment is for sale!

For most retail investors, there's a chance you already have exposure to AI, as many large U.S. public companies are either using AI or are actively looking to invest in the technology. But for those looking for broader exposure, exchange-traded funds (ETFs) offer an efficient and easy way to invest in AI stocks.

The operating environment for investment management firms continues to evolve, with technological innovations and shifting investor preferences at the heart of this change. While traditional sources of differentiation in investment management are becoming increasingly commoditized, Artificial Intelligence (AI) is providing new opportunities which extend beyond cost reduction and efficient operations.

Artificial Intelligence or AI is the program that has been developed and written to be good in analyzing, thinks, planning, and making decisions by processing its big database. Moreover, AI can apply its processed result according to each situation such as Chatbot that can respond to customers about products and services.

AI may not a far issue from us because AI can replace many repetitive jobs whether driving, accounting, finance, investment, and leasing. Also, AI is already in a complicated job such as the Financial Technology industry, also known as Fintech, whether loan, insurance, debt collecting, and investment. So, you need to develop your skills and adaptability in order to utilize the fully-function of the AI.

AI and Investment

We may familiar with AI in the manufacturing industries, but AI is already in many other businesses especially investing advisors. For example, Robo Advisor who is the Fintech technology advisor to general investors for online investment. This Robo Advisor helps suggesting about wealth management, investment management, financial advisor, and financial planning. It is easier for investors to invest and reduce management costs.

AI has been introduced to investment because of human weakness, “Personal feeling” which is emotional over logical thinking that affects and clouds their judgment and analysis. Moreover, most humans do not like spending time on repetitive jobs and have many responsibilities. Sometimes they are distracted by those and make an investment mistake. (Do nothing is also counted as a mistake.)

Now, many asset management companies also use AI technology for Algorithmic Trading and to support general investors. This AI development from many asset companies focuses on human investment compensation and covers all aspects such as the impact of market conditions analysis, selecting an asset, weighing investment ratio, making decisions and managing appropriate working capital based on an investor risk analysis result which makes AI investment judge as a system and works effectively without personal feeling.