21–30 of 111 posts
Most real electronic trading firms are putting those algorithms in hardware.
Source: Have worked in HFT the past 10 years.
The clickbait headline is amusing, but "Wall Street" has been doing this > 10 years. I'm genuinely not sure if they're trying to "beat wall street" or simply be yet another quantitative hedge fund that happens to use machine learning and neural networks to power their strategies. Most real electronic trading firms are putting those algorithms in hardware. Source: Have worked in HFT the past 10 years.
In my opinion, the whole idea of investing to try and maximize profits is myopic. The real reason to invest should be to gain a measure of control over the corporation being invested in. This suggests that the board should play a more active role in the governance of corporations.
People who just want to make a buck off a corporation should be limited to providing debt financing.
SALIENCY bias. People remember memorable things. The guy who made $100 million by investing in a Romanian immigrant will invest in you if you're a Romanian immigrant, but not if you're one country over even if their education and politics are the same. Computers don't care.
AVAILABILITY bias. People analyze data that is available. If you have worldwide sales figures your market seems huge. If you no data investors will be strongly prejudiced against it.
CONFIRMATION bias. Investors who have a bubble mentality will see the positive and reinforce their theory, however non-rooted in facts (for example the theory that silicon valley teams will succeed and, for example, foreign teams will fail)
There are a bunch more, too.
http://rationalwiki.org/wiki/List_of_cognitive_biases
https://en.wikipedia.org/wiki/List_of_cognitive_biases
An AI would not suffer from any of these. However, due to the skills required to evaluate a pitch, the AI would have to be much, much smarter than any expert system today. Today you can't even tell a robot how to boil a pot of water (no matter how explicit your verbal description is) or anything else, and have it even come close to succeeding.
We're far away from robots (AI) evaluating pitches and business plans. But how cool would that be!
The clickbait headline is amusing, but "Wall Street" has been doing this > 10 years. I'm genuinely not sure if they're trying to "beat wall street" or simply be yet another quantitative hedge fund that happens to use machine learning and neural networks to power their strategies. Most real electronic trading firms are putting those algorithms in hardware. Source: Have worked in HFT the past 10 years.
I just checked out glassdoor, and it seems like they don't know what their product should be since top execs don't want to agree on anything. > We have too many executives for a company this size - most don't add much value except for fighting with each other and politicizing issues. The CEO lives in HongKong and remotely manages this crew of distrusting, non-supportive and close-minded execs. The HR function is prac…
Huh, hasn't wallstreet being doing this, and even putting these things into FPGA's for nearly a decade now? Hell I wouldn't be surprised if they're printing ASICs with their algos.
But yes, hedge funds and prop shops have been doing this for over a decade.