This is a high conviction global equity strategy that invests in companies we expect to outperform the market, which are selected through supervised machine learning.
The systematic equity team applies machine learning techniques to investing - training the machine which uses vast amounts of historic data to identify those companies with the characteristics that typically lead to outperformance.
The term ‘artificial intelligence’ refers to the broad study of developing algorithms to imitate human cognitive functions (such as pattern recognition).
Machine learning is a subset of artificial intelligence that does not rely on a pre-defined set of rules developed by humans in order to make decisions or predictions. Rather, machine learning techniques ‘learn’ these rules from historic data and apply these learned rules to the real world to assist decision-making.