Pictet Asset Management (Pictet AM) has launched a new index fund that will use artificial intelligence to select stocks.
The Pictet-Quest AI Driven Global Equities fund will aim for a 1.5% return before fees – above MSCI World – per year, and investment group Pictet AM Quest (Quantitative Equity Strategies) has developed its own stock selection model to predict the fund’s returns. .
However, the strategy does not include a smart or exotic beta. Instead, it uses proven data sets to analyze stock markets. It also uses an in-house developed tool to predict stock alpha and optimize portfolios.