Artificial intelligence can be deployed to help investors navigate the post-coronavirus backdrop. Whereas popular yield-enhancing strategies, such as venture capital, often require redemption lockups and may lead to valuation surprises, advanced technology empowers portfolio managers to exploit otherwise established trading patterns in public securities, argues a new white paper by Plotinus Asset Management.
With the US presidential election now appearing to be over we are seeing much of the world’s excess media attention that the election had been vacuuming up in recent weeks, return to the theme that has dominated 2020, Covid-19. From an investor’s perspective this return to the pandemic focus means trying to continue to assess its economic/investment consequences and its various governmental mis/handlings globally.
As the US election makes its last twists and contortions toward its finale, there are clichés a plenty to describe its unique ‘never before, in a time like no other’ status. Partisans and pundits feast on every breath, tweet, or throat clearing from the White House.
We are often asked about the origins of our firm’s name. What connection could a philosopher of antiquity have with artificial intelligence decision-based trading?
Economic nationalism worldwide will favor ongoing strength in US-traded stocks, as global investors shift their attention to the most stable economies, argues a new white paper by Plotinus Asset Management. The US is the most sensible opportunity amid geopolitical uncertainty.
From a US financial perspective, the month of July was a tale of two numbers. The S&P 500TR produced the first month-end positive return of the year at 2.48% and GDP growth figures for the second quarter hit an astounding low of -32.9% annualized. This appears to leave the investor with a deep markets/economy dichotomy.
Plotinus has cause for celebration. In June, our firm entered into its third year of using AI decision-based trading. It has been very encouraging to see the power of our technology prove itself in US equities against both the market benchmark and the competition.
The S&P 500 spent the first half of the month in negative territory, followed by a second half rally, which saw it breach the symbolic 3000 mark and eventually leave it behind. The S&P 500 ended the month -10% down from its all-time, pre-coronavirus high on February 19th and +36% up from its March 23rd low.
The residue of the Covid-19 shock to the economies of the world is extreme uncertainty. The US equities market saw a tremendous recovery in April, but this bounce back has done little to allay underlying investor fears going forward.
It may not have been the usual variety but there was March Madness a plenty as world markets heaved, lurched and vomited in anticipation, fear and finally the arrival of the coronavirus. With sanity departed and fear ruling the day, anything verging on logical reasoning must be gently proposed in case it gets dismissed into a looney bin of truly unmentionables. Such toxicity – by mere association (even at a safe social distance of 2m or more) would pollute and taint even the tamest reasonable thought.