Unlock the power of AI for Investment Management
Author
Christian Runge
Senior Director of Engineering, Artificial Intelligence
SimCorp
How SimCorp uses AI to transform portfolio decisions and operational efficiency
Just two years ago, ChatGPT burst onto the world stage, sparking a revolution in AI accessibility. The emergence of large language models and generative AI has unlocked unprecedented opportunities, transforming our vision of the future. AI has been an integral part of SimCorp’s innovation strategy since 2016. We’ve moved from exploring use cases and experimenting with machine learning models to building solutions for intelligent document processing, optimizing portfolio rebalancing, and improving service delivery tools that deliver tangible results for our clients.
In these eight years we’ve identified three areas where AI can significantly impact investment management:
Alpha generation
Enhancing research and insights through alternative data analysis and reducing time to market with automated complex scenario analyses and improvements in algorithmic trading.
Operational efficiency
Automating routine operations and data ingestion from unstructured data sources, enabling predictive analytics and generating on-demand reporting.
Distribution and product enhancement
Leveraging large language models and chat bots for tailored client interaction, and automation of client onboarding and outreach via social media and other channels.
How we’re leading with responsible AI
We have a very clear philosophy for AI: every solution must deliver value to our clients, and it must do so in a responsible way. We evaluate business impact first, then build solutions using our proven quality assurance processes, enhanced with AI-specific measures. Data security is our biggest priority. Our cloud is powered by Microsoft who shares our priority for data security. We never share client data with other clients. We never move client data out of agreed data centers. And we don't train models on your data without your explicit consent.
Building momentum in AI development
Recent advancements in AI have accelerated our progress across several dimensions, transforming the way we operate and deliver value to our clients. By integrating cutting-edge AI technologies into our workflows, we are able to enhance efficiency and drive innovation. Here are some key areas where AI is making a significant impact
- A secure and scalable platform
Leveraging the power of Microsoft Azure, we provide a robust foundation for secure, scalable AI solutions that seamlessly integrate with our cloud offerings. - Enhanced productivity across teams
By empowering teams with advanced AI tools such as M365 Copilot, GitHub Copilot, and our custom Services AI solution, we enable efficient and effective work, accelerating high-quality development and support. - Focus on AI expertise
We prioritize continuous learning and development, providing our engineers with tailored learning paths and access to cutting-edge AI resources and training. - Innovation through strategic partnerships
Collaborative efforts with Microsoft and other industry leaders allow us to harness the latest AI advancements and translate them into innovative, industry-leading solutions.
SimCorp’s AI roadmap is shaping the future
SimCorp’s integrated multi-asset solutions boost operational efficiency and enable smarter investment decisions. Strategic integration of AI is revolutionizing our products, services, and customer experience, unlocking new capabilities for our clients.
Next up on our AI roadmap:
Accelerating investment decisions with AI-powered insights
Empowering portfolio managers to make swift, investment decisions through natural language queries that deliver dynamic, relevant information.
Streamlining risk assessment and optimization
Enhancing efficiency in historical, market, and transitive stress testing and optimization processes.
Optimizing analytics strategy development
Improving analytics strategy construction and optimization workflow.
Unleashing data-driven insights
Enabling operations managers and data scientists to explore and analyse data in SimCorp One through intuitive natural language queries.
Revolutionizing knowledge access
Implementing intuitive natural language queries to streamline user manual navigation.
Automating data extraction for comprehensive valuation
Expanding intelligent document processing capabilities to include quarterly reports, partner capital account statements, and fund-level constituents for complete quarterly valuation extraction.
Partner with us on an AI journey
AI is transforming investment management, and SimCorp is at the forefront, delivering innovative solutions that create value for our clients. If you are ready to explore how AI can elevate your investment strategies and operational efficiency then let’s collaborate to turn possibilities into results.
For more information about our AI initiatives, contact me at [email protected]