(background): There is no clear evidence that indicates actively managed funds outperform passively managed funds. When you take cost into account, actively managed funds underperform passively managed funds. Thus, many academicians, for example Sharpe, Fama and others, recommend investing in index funds. However, there are many funds with sizable portfolios that actively try to outperform their benchmarks.
In addition, the role of artificial intelligence in the investment management scene is increasing. Artificial Intelligence is the new frontier in the field of active fund management. For example, there is an AI-driven ETF (AIEQ). There are also AI-powered hedge funds.
Homework: 3-Pages (double-spaced)
How do you define active fund management as well as passive fund management?
What are the pros and cons of the two fund management strategies? Which fund type would you recommend to an investor who is starting to invest in the stock market, and why?
In addition,
How do you define machine learning as well as artificial intelligence? What is their role in the filed of investment management ?
What is the current role of of artificial intelligence in actively managed funds (ETFs and Hedge funds)?
Do you think artificial intelligence can help managers of actively-managed funds generate positive and significant alpha?
– Thank you!
Last Completed Projects
| topic title | academic level | Writer | delivered |
|---|