JPMorgan Chase is reportedly working on a software service like ChatGPT, leveraging disruptive artificial intelligence (AI) to assist customers in selecting investments. According to a recent filing from the New York-based bank, JPMorgan applied to trademark a product called IndexGPT, which will utilize cloud computing software and AI to analyze and recommend tailored securities to customers.
Banks like Goldman Sachs and Morgan Stanley have already started testing it for internal purposes, including assisting engineers in coding and helping financial advisors at Morgan Stanley answer queries. However, JPMorgan is the first established financial institution aiming to offer a GPT-like product directly to its customers, as per recent trademark filings. The trademark approval process usually takes about a year, and JPMorgan must launch IndexGPT within approximately three years to secure the trademark.
JPMorgan intends to use AI powered by “Generative Pre-trained Transformer (GPT) models,” the same type of AI that gained popularity with ChatGPT. While financial advisors have long feared being displaced by technology, these concerns have not materialized significantly. Wealth management firms, including Morgan Stanley and Bank of America’s Merrill, have introduced robo-advisor services, but human advisors continue to attract substantial assets. At JPMorgan’s recent investor conference, executives highlighted their progress in implementing AI across the company’s operations. JPMorgan currently employs 1,500 data scientists and machine-learning engineers and is testing various use cases for GPT technology. When approached for comment, JPMorgan declined to provide a statement.
What do you think about the new AI from JP Morgan? And will it affect the demand for Robo-advisors and people who lead wealth management services?
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I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.