AI Helps Generate Alpha

Nearly all asset managers using artificial intelligence-based technology in their pre-investment phase said it helped them to generate alpha. A survey from Deloitte Center for Financial Services found that 85% of respondents said using AI-based solutions in the pre-investment stage helped them generate returns. For example, using natural language processing and generation saves time on data collection and allows analysts to focus on interpreting the data. In addition three quarters, 71%, of respondents said they would increase their budget for alpha-generating technologies such as artificial intelligence over the next 12–18 months. Financial services have reached an inflection point, driven by technology, talent, regulation and purpose.