AI sounds out the stock market for interesting papers
The index provider STOXX wants to create a new index, in which artificial intelligence searches for hidden trading ideas and investment topics.
2 Dec 2017 Claudia WitteShare
Zurich-based STOXX AG is an affiliate of Deutsche Börse AG . According to its CEO Matteo Andreetto , the index issuer plans to launch, in the first quarter of next year, an index that will be compiled by an AI system. A 20-member team of data scientists is currently working on a computer-aided method to generate new investment ideas from the information from STOXX. The company wants to use this approach to find new investment topics that the human analysts overlook.
According to Andreetto, the involvement (announced last September ) in Trifacta , an American data-processing specialist based in San Francisco, should also be seen in this context. Andreetto also stated that STOXX is currently also exploring the potential for an index that tracks cryptocurrencies. The hype about AI-based investment systems, however, has already been sharply criticized : The "AI arms race" ( Jordi Visser ) can at most give alpha innovators an initial head start.
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