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AppliedTechStuff t1_jefps5s wrote

AI will NOT make investing more profitable. Ultimately, it will make "alpha" nearly impossible to find.

Remember how you used to be able to pick stocks and outperform the market? Once everyone adopts the same strategies, alpha disappears.

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GodAndGaming123 OP t1_jefspt5 wrote

That's what I'm worried about. It will remove all opportunity

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peadith t1_jeghif1 wrote

Seems like it could be capable of forcing legitimate investment.

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GodAndGaming123 OP t1_jegkcd0 wrote

You mean like taking actual ownership of the company that grows in value alongside its performance?

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peadith t1_jegmi5j wrote

Yeah, that kind of stuff. Maybe you even believe in what the company is doing and are in it for the long ride instead of yanking your money in and out trying to game the whole thing.

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acutelychronicpanic t1_jegav3n wrote

It'll make investing really easy and it will make gains more predictable. If there is no arbitrage opportunity because the market is so efficient, then all investments would be roughly equal and the only differences in return would reflect irreducible risk relative to the market.

All investing will be more profitable at the expense of the margins of high performing investors.

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FuturologyBot t1_jefqipg wrote

The following submission statement was provided by /u/GodAndGaming123:


AI has been going crazy and pushing basically every industry in existence. It's like all I see on Twitter. The stock market is a personal interest of mine and most openly available AI solutions actively block off the ability for financial advice. What do you think the future looks like with AI ramping up? Will the markets have any room for human interaction?


Please reply to OP's comment here: https://old.reddit.com/r/Futurology/comments/127smx0/ai_investing_future_how_artificial_intelligence/jeflhmc/

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GodAndGaming123 OP t1_jeflhmc wrote

AI has been going crazy and pushing basically every industry in existence. It's like all I see on Twitter. The stock market is a personal interest of mine and most openly available AI solutions actively block off the ability for financial advice. What do you think the future looks like with AI ramping up? Will the markets have any room for human interaction?

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HP_10bII t1_jefppw2 wrote

Even bloomberg is switching from monetising terminal to monetising API calls... The future is already here...

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