InvestorQ : Is it true that the Tata MF has launched a fund that works on artificial intelligence? How exactly will that work?
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Is it true that the Tata MF has launched a fund that works on artificial intelligence? How exactly will that work?

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9 months ago
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Artificial intelligence is the use of technology that is not only efficient but also self-learning and that permits the platform to take better decisions. Tata Mutual Fund has pioneered the use of artificial intelligence and machine learning in its mutual fund business. Here is how.

· Tata Mutual Fund has adopted a structured and data driven approach for portfolio construction and management. The stock selection approach focuses on generating superior long term returns and reducing portfolio risks.

· These are achieved through the AI algorithms aimed at providing stability and performance consistency over time.

· Investors often focus on individual stocks to identify multi-baggers rather than take a portfolio view. Building a winning portfolio calls for the optimal combination of asset classes, assets and strategies. Tata Quant Fund selects optimal portfolio combination of Alpha, Value and Quality stocks by using quant models.

Tata Quant Fund will be using the power of Artificial Intelligence (AI) and Machine Learning (ML) as under:

a) To evaluate the factor Strategy (Alpha, Value & Quality etc.) that will work best under the current circumstances

b) Evaluate whether the macro conditions and strategy scenarios favour factor strategy investment

c) Based on the evaluation, the Model makes the Buy or Hedge decision

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