Would you let an Artificial Intelligence (AI) design your investment plan? The use of AI becomes more and more relevant even in everyday life. In recent months, users have come to use tools such as ChatGTP to obtain everything from romantic letters or a menu for lunch to recommendations on how to design an investment strategy.
Given this scenario, analysts from the financial consultancy Finder.com carried out an exercise through ChatGTP, in which they asked the AI to create an investment fund using the investment principles of some funds that already existed in the market, in eight weeks the portfolio of 38 stocks designed by ChatGTP had risen 4.9%, outperforming the most popular UK funds.
So, is it a good idea to use AI to make investment decisions? Despite the fact that some exercises carried out under investigation have given favorable results. Experts consider that AI is still at an early stage in terms of designing strategies for retail investors or independent.
“AI is very advanced, but it is still not reliable, we are at a very early stage to allow a computer to manage and make all investment decisions, perhaps in the distant future it will have a greater role, but it is still to be seen”, commented Andrés Maza Casas, director of investments of GBM.
Gerardo Aparicio, director of Financial Culture and head of the Escuela Bolsa Mexicana, explained that the use of AI in investments should be taken with greater care, since despite the fact that it can grant different strategies, it still fails to take factors into account. key within investments, such as the user’s financial status before and after the investment or emotions such as risk aversion.
“Following the recommendations of an AI can work at first, but indiscriminately, it will become something that does not suit you, the investment should not cause you stress, but AI is something that still does not have that human criteria and above all the understanding of emotions,” he argued.
Tools that help you invest
The experts explained that when investing, it is not only about placing money and obtaining the highest return, but also about the human reactions generated by this action, which is why there are different financial instruments that allow investors to have more or less exposure, as well as financial goals.
The Economist asked the recent Google AI, Bardo, if he recommends following his investment strategies, to which he replied: “I am glad to know that you are interested in investing. It is important to remember that you should always do your own research. Your individual circumstances and goals may differ from those of the general population. As such, you should always consult with a financial advisor to determine which investments are right for you.”
Currently, there are technological tools specially designed to support investors, such as financial advice. Gerardo Aparicio, explained that today financial advice is much closer to users, who can even get an answer to know where to invest or learn more about what happens with the tax return, he recommended searching each financial institution. What are the guidelines to obtain this service and even opt for the institution in which you have a feeling of support in terms of education and advice.
Both experts assured that something important to invest is to seek information on the subject to create their own criteria on investments.
