Monday, June 6, 2022

MKTG 6101 Week 5 Ascend Your Start UP: Adopting AI

 MKTG 6101 Week 5 Ascend Your Start UP: Adopting AI

By: Freddy Garcia 6/06/2022



          The post this week discussing how important it is that we embrace AI and try to get involved in a company that uses AI. Dr’ Kelsey implores us to get involved with a startup company that uses quantum computing and AI. I think of the financial services industry and how AI has affected it. AI was used to expand an investment management style called indexing. The concept of indexing started in the 1970’s and it is basically passive investing versus active. Instead of picking individual names indexing just picks the entire category. AI has made it easier for indexing investing and has created indexes in every category. I believe active investing is a better form of investing than passive. AI has also been used recently to create entire portfolios called Robo Investing. So far using a Robo advisor has underperformed active management.

          As I was reading Ascend Your Start UP I thought to myself there can be a different way to use AI in investment management and still be an active investor. Chapter 5 discusses acclimating yourself to your customer. Our investment philosophy that we promise to our clients is trying to find stocks that have the ability to double in two to three years. Using an AI algorithm that tracks over thousand securities allows us to use AI to continue our active investment style to look for stocks that have the ability to do what we are trying to accomplish for our clients. The proprietary system we developed allows us to track more stocks using AI that we would be able to individually research on our own. I feel using this form of AI separates us from other money managers.

          

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