Artificial Intelligence Applications In Investing

Key takeaways

• Companies are bringing the power of artificial intelligence to investing with products like Q.ai, which uses AI to research securities, select them for Investment Kits and weigh them based on their riskiness
• AI uses natural language processing (NLP) to comb through millions of articles and identify changes in public sentiment using more data than humans
• Artificial intelligence is still growing and developing, so only time will tell what it will be capable of in terms of investment advice as it advances

Artificial intelligence (AI) is being used for everything from analyzing images for insurance claims to generating legal documents. But how is this emerging technology being applied in the world of investing?

You used to be limited to a costly financial advisor for getting sound financial advice. If you didn’t have the money, you might have used an inexperienced robo-advisor. Artificial intelligence has changed that, and one prime example is Q.ai. We’ll share how it works and what AI can do for your portfolio.

If you’re interested in learning more or starting your AI-powered investment journey immediately, download Q.ai today.

Using AI to research securities and interpret data

To give you a better idea of AI’s applications in investing, we’ll use our product’s details to help explain.

Q.ai provides users with automated financial advice by using powerful deep-learning technology to make trades on your behalf. Our team has developed several award-winning investment strategies called Investment Kits. Though the idea for the Kit always comes from humans, AI is responsible for managing the holdings within the Kit.

Our Kits are divided into four categories:

• Foundation Kits: based on broad categories like Emerging Tech or Global Trends, these Kits cater to everyone from the risk-averse to more aggressive investors
• Limited Edition Kits: Kits focused on short-term trends like a meme stock buying wave
• Specialty Kits: Kits focused on niche themes like gold, silver or other metals
• Community Kits: Kits we’ve designed using crowdsourced feedback from channels like Forbes

You can choose how much money to allocate to each Kit, but you can also leave it up to AI. Either way, AI handles all of the holdings within each Kit. Thanks to AI’s ability to conduct quick and thorough investment research, taking into account disparate data sources, it can analyze stocks and ETFs more comprehensively.

The foundation of our AI algorithms is AI-powered models, which rank and score thousands of stocks globally. These were developed in the 2010s by Q.ai’s late founder, Stephen Mathai-Davis.

Our technology learns the history of every security in a Kit and identifies factors that influence the price. It weighs investments so we can allocate our users’ money in a way that corresponds with their risk tolerance.

Using AI to assess risk

AI’s ability to conduct thorough investment analysis gives it better forecasting and predicting skills. This is particularly useful in risk management since our AI selects securities for our Kits and can assess their investment risk.

Our AI will balance investments across Kits to manage risk and optimize returns. This gives users the option of a uniquely hands-off investing strategy since they must only invest the minimum amount for a Kit before AI takes over.

Better yet, our product uses something called Portfolio Protection, which takes into account factors like interest rate risk, oil price risk, volatility risk and more. Our AI uses predictions from multiple neural networks to forecast changes in these factors.

Using AI to check human impulses

People are suggestible, and the news cycle can be particularly persuasive if you’re a new investor. If you’re not confident in your investments, seeing a headline that says a company in your portfolio is in danger might convince you to sell your shares. However, this could be a mistake.

One of the most valuable applications of artificial intelligence in investing is resisting those impulses. Thanks to AI’s natural language processing (NLP) capabilities, it’s possible to quickly comb through millions of articles and other content sources to identify changes in public sentiment or interest.

Sorting through thousands of articles is too daunting for a regular person, especially one trying to make decisions in a fast-paced field like investing. Artificial intelligence has made it possible to make decisions based on more data in less time.

Future applications of AI in investing

CNET faced scrutiny in the last few months for publishing articles using an AI assist from ChatGPT. The articles dealt with financial topics like certificates of deposit, and they were basic explainers for relatively accessible concepts. Unfortunately, these articles contained factual errors, suggesting AI still has a ways to go.

Once technology like ChatGPT has had more time to develop, it could see more advanced articles explaining investing topics and strategies. Though plenty of articles already cover similar themes, AI’s unique access to so much data may make its insights even more helpful.

If you’re interested in bringing the power of AI into your portfolio, consider downloading Q.ai today.

The bottom line

Artificial intelligence has broken into the investing world, bringing financial knowledge that was once limited to the wealthy to average investors worldwide. It can analyze a stock’s economic history, assess what factors influence its performance and organize securities into groups, as our AI does for our Investment Kits.

Importantly, it can also evaluate an investment’s riskiness and help keep investors from acting impulsively. Ultimately, this technology could help even more people build wealth and reach financial independence.

Download Q.ai today for access to AI-powered investment strategies.