AI improving investing

The latest job sector to be effected by technology is the finance and investing sector. A job that was traditionally done by humans, the field of investing has now been introduced to artificial intelligence. With this introduction, investors may become a thing of the past as clients will now begin getting investing advice from so-called “robo-advisiors”. This, of course, would be groundbreaking but what would this mean for the future of the finance field? Many investors would lose their jobs in the long run as robo-advisors become better and better at giving investing advice through machine learning. This would also lead to clients getting higher quality investing advice for a fraction of the initial price.

Some questions have been raised, however, about the initial effectiveness of robo-advisors. Although investors seem to have straightforward equations that would lead their client to the best possible investing solution, there is actually a lot of emotion that goes into investments. Emotion is obviously something AI is incapable of (for the time being), so this raises questions of will clients actually be getting the best investing advice without the emotional factor playing into the equation. The upside to robo-investors is that investing decisions can be made almost instantaneously. This process is time consuming for humans and robo-advisors could expedite the process. This includes updating a clients portfolio in seconds relative to how the market fluctuates. AI in the investing sector may take some time to perfect, but in the long run, it could change the way way we invest money and will change the entire field of finance forever.

Leave a Reply