Artificial Intelligence: What Does the Future Hold for Investment Research?

Ken Sena, CEO/Co-founder of Aiera, a text processing and generative AI company for institutional investors and Eric Chang CEO/Co-founder of Claira, a computational linguistics AI company focused on analyzing financial legal documents to help portfolio managers, risk managers joined us to discuss use-cases and risks of AI in equity research and fixed income. Investment research involves processing large volumes of text, audio and video data. AI tools can help analyst teams build a bigger research franchise by expanding their coverage universe, producing quality and creative research insights. AI could also help upgrade investment processes as machines can process more information than humans. Increased time can be spent by analysts on interpretation and not collation of data. AI is fallible and is prone to hallucinations, therefore models need to be transparent and explainable.