Tata Mutual Fund has launched Tata Quant Fund, which is backed by artificial intelligence (AI) and machine learning (ML). The fund house will use multiple rule engines and predictive models to create investment portfolios.
The fund would invest in equity instruments, which form part of S&P BSE 200 and equity derivative segment.
In a press release, the fund house said, “The predictive engines use more than past 20 years of market and macro-economic data to analyse hidden relationships and patterns. These correlations along with prevailing market and macro-economic data are then used by the engines for making monthly predictions. Thus, the investment decision making process of the fund is fully machine driven and free of human judgement.”
Prathit Bhobe, MD & CEO of Tata MF said, "In the current world, computers are powerful enough to solve problems, a lot of data is available and we strive to use this data in combination with algorithms to its best."
