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AI and its coming role in roboinvesting

AI and its coming role in roboinvesting

From the course: AI in Fintech Essential Training

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AI and its coming role in roboinvesting

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- One thing that a basic Robo Advisor needs to be able to do is not only recommend a portfolio to investors up front, but also be able to tell them how to adjust their portfolio over time. I'm in the zero-three, zero-four begin Excel file. Now, this is our recommended portfolio for our hypothetical investor. As the investor ages, that portfolio will change. So, later on when that investor gets to be say 50, perhaps they become more risk averse, as an example, their portfolio should shift based on that. And, that's exactly what we see in this particular basic Robo Advisor. But, not only do investors need change as they age, but they're also gunna change based on what's happening in the overall market. For instance, maybe we've seen a deterioration in US stocks, as an example. So, we want to tilt away from US stocks and towards bonds based on that, or rebalance our portfolio to maintain our asset allocation. Well, the basic…

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