5 Ways AI is Shaping the Future of Investment Research
This article was written by Louis Bellamacina and Elizabeth Attah, Product Managers for Company Research & Analysis at Bloomberg.
Financial analysts need access to high-quality data and information on emerging trends to deliver timely, insightful research and maintain their competitive edge. Artificial intelligence (AI) has already transformed how analysts gather and analyze information and will continue to reshape the future of investment research as new and innovative uses of AI emerge. When faced with a seemingly infinite number of sources to mine for investment intelligence, automation is essential to delivering credible and defensible investment research.
Bloomberg is at the forefront of this effort to transform how analysts conduct their research. Here are five ways Document Search DS <GO> harnesses the power of machine learning to make it even easier for analysts to find exactly the information they need.
1. AI Synonyms
Did management mention the “R” word Recession in their last earnings call? Here’s how to find out.
To streamline the research process, Bloomberg clients tell us that they want to search with context without having to think about all the ways in which their search could be described. For example, a recession might be characterized as a downturn, slowdown, contraction, deterioration, etc. Without this broader context, you could miss out on important findings. Bloomberg AI uses the latest machine learning approaches to build intelligent synonym baskets that include the specific nuances of financial jargon.
2. Topic Classification
How often do you wish for an accurate digest of the top themes mentioned in relation to a company?
Bloomberg’s AI models incorporate a multitude of words and phrases that define a particular topic. When you open a company document on the terminal, you will see a summarization of the topics grouped by mentions alongside the document. Bloomberg’s AI provides a contextual search of these topics. In the trends overview page within DS<GO>, you can uncover interesting patterns in historical topic mentions.
Using this approach, investment analysts can identify key issues quickly. They also spend less time searching for investment intelligence and more time analyzing it.
3. Search Ranking
Do you need help locating the most relevant documents?
Bloomberg provides everything you could possibly want to read about the companies you cover. However, with access to over 200 million financial documents via Bloomberg, how do you identify the documents relevant to your research? Bloomberg’s AI relevancy models identify critical documents, prioritizing them to the top of your search requests. For example, when a company releases its quarterly or annual earnings, in addition to the company’s reports, multiple press releases and market commentary will flood your feed.
Bloomberg’s AI relevancy models detect the most important and insightful documents, surfacing them to the top. We also include your firm’s notes to ensure the house view is not lost in the market frenzy.
4. Search that Understands You
Were you just looking for a specific filing?
Bloomberg has multiple natural language processing (NLP) models to understand natural language queries better and answer your search queries with superior results. For example, when you type “10k”, do you mean “Form 10-K”? Should Bloomberg interpret a search for “apple research” as research on “APPL US Equity”? Should a search for “China” instead involve a search for “Chinese companies” or any mentions of China?
Bloomberg will continue to invest in the latest NLP detection to ensure you receive the most accurate search results and access to the forms, topics, research, and company data you need to develop insightful analysis.
5. Spell Check and Language Translation
Did your search include typos? Need to translate foreign regulatory filings into another language?
While conducting research, it’s easy to make mistakes when entering queries. Did you mean “supply chain” when you searched for “suppy chain”? Bloomberg’s technology can identify typos and quickly deliver results using the correct term.
While searching for investment opportunities in overseas markets, translating regulatory filings into your first language is critical. Whether you want to translate a filing from Chinese to German or English, Bloomberg can deliver the translated document.
And while listening to an earnings call, would seeing a live text feed allow you to multi-task and monitor additional documents and communications in real-time? Bloomberg’s AI are focused on solving these problems, so you will never miss out on a key topic in the moment.
Bloomberg’s AI is Shaping the Future of Investment
With access to the latest AI technology and language models, Bloomberg streamlines and improves the investment research process. This includes using AI synonyms, assigning relevant topics to documents, ranking search results according to their relevancy, ensuring the accuracy of search queries, facilitating document translations, and providing the means to analyze earnings calls in real-time.
An analyst’s research is only as good as the tools at their disposal. Embedding AI to automate, streamline, and improve an analyst’s effectiveness and efficiency is critical to thriving in today’s financial markets.
Learn more and get started by running the function DS <GO> or request a demo.