Understanding the Latest Developments in Data Analytics, Technology, and Automation
More Data & Technology Content
Financial Analysts Journal
Fundamental Analysis via Machine Learning
Can machine learning be used to improve fundamental analysis? This study analyzes corporate earnings forecasting and finds that machine learning models produce more accurate and informative forecasts than conventional models do.
Research Report
Unstructured Data and AI: Fine-Tuning LLMs to Enhance the Investment Process
Access to powerful LLMs like ChatGPT is reshaping roles in the investment profession. This report discusses how to ethically build investment models in the open-source community. It defines alternative data and presents an ESG investing case study.
Financial Analysts Journal
Predicting Corporate Bond Illiquidity via Machine Learning
Testing the predictive performance of machine-learning methods in estimating the illiquidity of US corporate bonds, this study finds that such techniques outperform most non-machine-learning-based models.
Featured Content
Podcast
Feifei Li: AI in Investment Research
Fei-Fei Li, former Chief Investment Officer at Research Affiliates and current CIO at Kavout Algo Financial, shares insights from her extensive background in finance. She discusses her tenure at Research Affiliates, where she led research and strategy design for the firm's systematic active strategies and smart beta indices.
Podcast
Chris Geczy: Unpacking the Role of AI in Finance
On this episode of Enterprising Investor, Mike Wallberg, CFA, interviews Chris Geczy from UPenn's Wharton School about the application of AI in the investment industry. Professor Geczy discusses the evolution of AI in finance and its historical context dating back to the 1960s. Join the conversation to explore the intersection of AI and investment strategies.
Research Foundation
Handbook of Artificial Intelligence and Big Data Applications in Investments
Artificial intelligence (AI) and big data have their thumbprints all over the modern asset management firm. Like detectives investigating a crime, the practitioner contributors to this book put the latest data science techniques under the microscope. And like any good detective story, much of what is unveiled is at the same time surprising and hiding in plain sight.
Policy in Action
Enterprising Investor
Are Your Data Governance and Management Practices Keeping Pace with the AI Boom?
No matter how sophisticated and expensive a firm's AI tools are, it should not forget that the principle “garbage in, garbage out” (GIGO) applies to the entire investment management process.
Research Report
CFA Institute and CFA Society Spain Briefing Paper on Fintech in the EU
This report gauges the opinions of CFA Institute members in the EU on the evolution of financial technologies, including the benefits and challenges for the investment industry. It is based on an informal survey of local societies in the EU.
Comment Letter
Rendering SEC (Securities and Exchange Commission) Correspondence with Issuers in Machine-Readable Format
In a joint letter to the SEC, CFA Institute and the Council of Institutional Investors (CII) ask the SEC to assist investors—as well as other stakeholders—by making SEC correspondence to, and from, public companies available in structured, machine-readable format.
Be Informed
Video
Conversations with Frank Fabozzi, CFA, Featuring Marcos López de Prado and Joseph Simonian
This episode features a discussion with Marcos López de Prado, Global Head of Quantitative Research and Development at the Abu Dhabi Investment Authority (ADIA), and Joseph Simonian, Senior Investment Strategist at Scientific Beta.
Video
Conversations with Frank Fabozzi, CFA, Featuring Robert C. Merton
This episode features Robert C. Merton, School of Management Distinguished Professor of Finance at MIT Sloan School of Management and 1997 recipient of the Nobel Prize in Economic Sciences. He is the CFA Institute Research Foundation 2023 Vertin Award winner. Merton shares his vision for how his work will shape future generations of economists and practitioners.
Driving Digital Transformation: CFA Institute Research Center Explores Machine Learning and AI Advancements in Investing
CFA Institute Research and Policy Center is addressing how machine learning and advancements in natural language processing, understanding, and generation will accelerate the digital transformation of the investment industry.
The theme Understanding the Latest Developments in Data Analytics, Technology, and Automation tracks the evolving opportunity set for investment firms and professionals stemming from artificial intelligence (AI), big data, and new analytical tools and technologies.
Our research recognizes that the future of the investment industry is one where smart machines and systems, data analysis, and inference will play a more central role in how the world of finance evolves.