Aisot optimizes equity portfolio with AI techniques

Zurich – Aisot Technologies manages its AI Squared (AI2) portfolio with machine learning and large language models. It contains the shares of the largest artificial intelligence (AI) companies in the USA and adjusts the weighting on a monthly basis. The summary of the first three and a half years is positive.

Aisot Technologies uses the possibilities of artificial intelligence for asset management. Its AI2 portfolio contains shares in the ten largest AI companies in the USA, i.e. Alphabet, Apple, Microsoft, Nvidia, Oracle, Meta, Tesla, IBM, Amazon and Broadcom. Machine learning and large language models continuously analyze sentiment and adjust the asset allocation and weighting of these assets on a monthly basis.

In addition, up to 20 percent is held in cash to cushion market volatility. "This regular rebalancing enables timely adjustments based on the latest data and market trends, thereby increasing the overall effectiveness of the strategy," said the spin-off from the Swiss Federal Institute of Technology in Zurich in a press release.

This approach not only aims for high growth, but also "provides a robust framework for risk management". This is because the integration of the latest AI advances in combination with traditional investment principles takes into account the complexity of modern financial markets.

From 1 January 2021 to 12 June 2024, the portfolio achieved an annualized return of 42.67% with an annualized volatility of 22.81%. By comparison, the NASDAQ 100 achieved an annualized return of 12.25 percent with almost identical volatility of 22.72 percent over the same period. ce/mm

View full article