How will Artificial Intelligence change the way you invest?
Policenama Online – Artificial Intelligence refers to machine-led intelligence that seeks to replicate human intelligence without any human intervention. In fact, developed AI algorithms can recognise
patterns and anticipate future events based on past data, are able to create good rules and
make sound decisions, and can communicate with people too. Given all these qualities, AI
finds a special place within the financial sector and its predictive-adaptive nature makes it
an indispensable part of the industry.
Technologies powered by AI largely benefit the cost dynamics of a company and that’s why
every industry, including the financial sector is becoming largely dependent on AI. Today we
are slowly marching ahead into a time where AI will not only assist with fringe
functionalities but will also become integral to the operational framework of a company.
Given this trend you, as an investor, need to know the basics of AI and how it can improve
your investment decisions over time.
Research and invest on the go
Most issuers and financial firms today allow you to invest using voice commands. Gone are
the days when you had to key in queries to research about an option and thereby invest in it
using online forms. Now, thanks to Alexa and other voice assistants, you can start investing
even when you are driving. Say for instance, you are looking for investments that offer you
guaranteed returns. You do not have to wait for days to decide on the best option or waste
your time to carry out a comparative research. Simply ask your voice assistant about
guaranteed-return options and in seconds you will know about trusted issuers for fixed
deposits and the likes. Moments into your search, you can ask your AI-powered device to
handpick the best option for you and begin your investment.
Enjoy a higher degree of accuracy in predictions
Unlike human fund managers, AI promises to assimilate new information more quickly and
accurately. This is because machines do not experience fatigue the way humans do, can
grasp information faster, and can easily relate it to your portfolio within seconds. The result
is that computations and analysis can happen more speedily with AI. Further, AI can analyse
the data with assistance from statistical models. This allows for healthier predictions of
future economic outcomes and risk trends, which gives you a chance to better allocate
funds into the most productive options and increase the stability and growth of your
Get consolidated investment advice free of cost
Depending on a financial advisor or a firm for all your investment decisions is not only time
consuming, but it also requires you to spend a significant amount of money every year as
annual commission. Contrary to this, AI-powered chatbots can guide you through your
investment decisions free of cost. Simply ask them questions based on your portfolio
requirements and in seconds you’ll get answers indicating befitting investment plans. The
best part is that chatbots are accessible 24X7 and this means you can begin investing at your
leisure, be it the middle of the night or when you have some moments to spare before a
Benefit from a more proactive portfolio manager
A human fund manager handling your portfolio will probably not be able to keep pace with
the market and its varied aspects at all times since it can drastically alter at both the macro
as well as the micro level. This is where AI can come to your rescue. With AI technology
behind portfolio management, you can look forward to opportunities to shift your
investments to safer shores when the market takes a downturn or reallocate your funds to
accommodate profitable scenarios. Most importantly, the AI technology employed does not
have an emotional attachment to your portfolio; instead, it considers the practical ups and
downs of the market keeping the holistic benefit of your portfolio in mind. This bodes well
for all your wealth creation activities.
To conclude, AI is set to redefine communication and investment approaches for the entire
financial ecosystem. So, to stay on top of your investment journey choose fund houses and
issuers supporting AI and make the process of investing faster, better, and swifter.