'The alpha of today is the (smart) beta of tomorrow'

Improvements in AI are pushing the boundaries

clock • 2 min read

It is just over a year since Google's DeepMind artificial intelligence (AI) did what some thought was impossible and beat the reigning world champion at Go, a classic board game with almost infinite potential outcomes.

Many think this was a watershed moment for AI and machine learning computing, just as IBM's Deep Blue chess defeat of Gary Kasparov was for supercomputers-of-the-day in 1997. Today, quantitative investment strategies, which use advanced computing techniques to autonomously analyse data and execute trading strategies are attracting notable inflows from investors, growing at rates of 12% each year during 2015 and 2016 according to Preqin.  AllianzGI unveils global artificial intelligence fund Quantitative investment strategies can trade relationships that discretionary traders would ...

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