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Jeff Kagan: How AI is going to transform your investing experience

Jeff Kagan: How AI is transforming your investing experience

Investor relations is one of the spaces that artificial intelligence is rapidly transforming and improving. In fact, AI is doing the same thing for every industry and every company, for the world around us and all the products and services will change and be improved going forward. So, let us take a look at some of the benefits and advantages that AI brings to the investor.

The investor-services sector encompasses a wide variety of companies and products. Now that AI has entered this space, there are many new ideas and technologies that help investors make the right choices and at the right timing.

For example, RedChip Companies, a small-cap investment advisor, recently introduced RedChat, a chatbot which uses AI to help their customers or investors make the best investment choices in the midcap and small-cap arena.

RedChip CEO Dave Gentry tells me AI is the future of the investor space, and he wants his company to be a leader in this newly updated space. RedChip is an Inc. 5000 company, focusing on the microcap and small-cap market over the past 33 years. They are an experienced player in the investment space.

Also, Allio Capital has its new AI powered macro called ALTITUDE AI, which integrates predictive models and macroeconomic data to guide portfolio construction, manage risk and deliver a tailored investing experience. Allio uses AI to keep investor strategies aligned as markets evolve over time.

Allio says markets are noisy, and powerful forces drive them to change. Forces like inflation, interest rates and global trends. They call this macro investing. They focus on what moves entire markets, not just individual stocks. Allio helps you build a resilient portfolio that adapts as the world changes.

Investor companies are using AI to transform and to lead

A year or two ago, AI was not being discussed. Today, things are very different. Today companies who use AI are considered leaders. Going forward, every company will have to be a player in the AI space, or they will be considered yesterday’s players, not tomorrow’s winners.

Today’s competitive advantage will soon become just a cost of doing business. Companies who use AI will be considered on the growing side of the growth wave. Companies who do not will be considered on the falling side of the growth wave.

Among the larger investment houses and their AI initiatives:

  • BlackRock with its Aladdin AI
  • JPMorgan Chase & Co. with its COIN and Morpheus platforms
  • Morgan Stanley, which uses the AI powered Debrief program
  • Vanguard Group, which has introduced a robo advisor
  • Goldman Sachs Group, which is testing new AI tools

Yes, AI is quickly transforming the entire investment landscape. This technology, married with different ideas and thinking from different business leaders, offers new angles for analysis, decision-making, timing for execution and so much more.

AI enables access to ultra sophisticated tools for a broad range of investors. Tools like stock picking, industry forecasting and much more.

AI is transforming the investment landscape

Plus, what we think about AI today will change and expand going forward. That means we cannot assume we know what we need to know because everything will always change and expand going forward. We should never stop learning about AI during its journey of growth and change moving forward.

As amazing as it is today, we are still only in the very early innings of this new game. The AI industry will get smarter and faster and provide better results as each week passes. And that will continue as we move forward.

We are entering a new way of thinking and acting. Just how the iPhone and Android smartphones transformed our wireless experience nearly 20 years ago, AI will do the same kind of thing moving forward.

It is important to recognize how AI will change everything virtually overnight. That is a big challenge for all of us, the companies providing new services and the customers understanding of this transformation.

Marketing, advertising, PR, social media and so much more will also change moving forward. The way we think about everything will change, and quickly. The way we make decisions, gather information and act will all change.

Today, companies that start this new journey before their competitors could very well achieve a leadership position in their space going forward. That should be the goal today of every CEO in every company during this amazing period of AI transformation.

More from Jeff Kagan: How long until AI eliminates your job?

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