AI on AI: ChatGPT Answers Our Investing Questions | Morningstar
ChatGPT, the natural language program developed by OpenAI, has been making waves in the field of artificial intelligence (AI) of late. As an AI language model, its potential to transform the world and enrich investors is high. In this article, we look at how ChatGPT can answer our investing questions and help augment what we already do.
While ChatGPT may not yet have the power to replace active investment management, tailored financial advice, or journalists, we keep an open mind. We had a play with the search engine as part of our thematic investing week. ChatGPT's summarizing skills and ability to list things succinctly without choosing a favorite came to the fore.
Diversify, Keep Your Costs Low, Invest for the Long Term, Stay Disciplined and Consider Your Risk Tolerance
We started by asking ChatGPT, "what is a good basic investment strategy?" and its answer was indeed very Morningstar. It stated that the strategy should be diversified, and investors should keep costs low and invest for the long term while staying disciplined and considering their risk tolerance.
As we ventured into AI, we asked ChatGPT what companies are leading the AI industry. ChatGPT named several major players, including Google, Amazon, Microsoft, IBM, Facebook, and Baidu, which have made significant investments in AI research and development. We then asked about the most promising areas within AI. ChatGPT listed NLP, Computer Vision, Deep Learning, Reinforcement Learning, and General Adversarial Networks as the areas worth considering.
On the risks associated with investing in AI, ChatGPT warned that AI is a rapidly changing field, and companies that are leaders today may not be leaders tomorrow. Investing in an AI ETF means investing in a constantly evolving industry. It is important to do proper research and seek advice from a financial advisor before making any investment decisions.
Overall, ChatGPT can provide useful insights into thematic investing in AI. However, it is important to remember that ChatGPT is not authorized to provide financial advice or recommendations on specific investment opportunities. Investors must do their own research and consider all their options before making any investment decisions.
