Q.ai Launches Beta Version Of Its AI-Powered, Robo Investing App

The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

Advancements in technology have been a game-changer for many industries. And according to financial robo advisor Q.ai, technologies such as AI and machine learning are dramatically shifting the way major Wall Street institutional funds and hedge funds invest today.

Founded in 2017, Q.ai, a Forbes company, has designed a digital robo investment app that utilizes artificial intelligence and Big Data to bring advanced forms of investing to the individual investor.

On January 26, 2021, Q.ai announced the beta launch of its investment app which is currently accepting users on its Early Access Waitlist. Users also gain access to a private discord community where they can interact with the Q.ai Invest Team, access unique  AMAs, and keep up to date and track the performance of its four main investment portfolios — Diversify & Thrive, The Value Vault, New Tech Economy, and The Tactician.

Main Features

Q.ai calls its AI-Powered Robo Hedge Fund app, “a hedge fund in your pocket.” The company’s trademarked slogan is the concept behind its platform — bringing the AI and machine learning used by wall street hedge funds to the everyday investor.

“If you were to ask me what some of the core issues the individual investor faces today, well we’re drowning in too much content,” said Stephen Mathai-Davis, CEO & co-founder of Q.ai at the recent Benzinga Global Fintech Awards. “The fundamental problem continues which is what should I actually be buying and how do I build a diversified portfolio of stocks and ETFs?” 

From there, the company states that Q.ai Invest will automatically manage and rebalance its user’s portfolios to ensure maximized investment returns. 

Unlike traditional investment management, which is dependent on fee-based models, Q.ai Invest has adopted a subscription-based model for its robo app. The company refers to this model as the “Netflix-ication model to investment management” because users subscribe to investing strategies for a flat fee. 

“I think that all investment management models are going towards a subscription model,” said Mathai-Davis.

Investment Strategies

In further understanding the company’s personalized approach to investing, Q.ai groups its users into four different categories based on their investing style: Diversify & Thrive, The Value Vault, New Tech Economy, and The Tactician.

Diversify & Thrive

Kicking off the list is the company’s AI deep learning global macro strategy. Through this strategy, investors can gain exposure to stocks, bonds, emerging markets, forex, oil, gold, and VIX. Investors can start trading global market trends including long/short stocks and bonds. The market focus for this strategy is on ETFs. The company suggests that the risk level for Diversify & Thrive is conservative.

According to backtesting from the company (no real assets were used; this is considered hypothetical performance by the SEC), the 2020 Model performance number for this strategy was +31.8%.

Value Vault

Value Vault is value investing with an AI twist. This second strategy utilizes the company’s deep learning technology to find the best value trades focused on alternative value metrics like economic value, free cash flow yield, and EBIT/EV yields. The market focus for this strategy is on U.S. large-cap stocks. The company suggests that the risk level for Value Vault is moderate.

According to backtesting from the company (no real assets were used; this is considered hypothetical performance by the SEC), the 2020 Model performance number for this strategy was +35.4%.

New Tech Economy

As made evident by its name, the New Tech Economy strategy looks at the leading and cutting-edge tech and consumer tech companies. This hybrid strategy focuses on maximizing your risk-adjusted returns. The market focus for this strategy is on tech and consumer tech ETFs and stocks. The company suggests that the risk level for New Tech Economy is aggressive.

According to backtesting from the company (no real assets were used; this is considered hypothetical performance by the SEC), the 2020 Model performance number for this strategy was +130.4%.

The Tactician

A tactician is someone who follows a carefully thought-out strategy to achieve a specific goal. This tends to be geared towards a specific, short-term goal, as opposed to long-term planning.

Going off this ideology, The Tactician strategy focuses on value, growth, momentum, and low volatility ETFs. Trading the leading factor ETFs with AI and not worrying about the next major market rotation. The market focus for this strategy is on U.S. large-cap factor ETFs. The company suggests that the risk level for The Tactician is moderate.

According to backtesting from the company (no real assets were used; this is considered hypothetical performance by the SEC), the 2020 Model performance number for this strategy was +17.52%

Disclaimer 
Q.ai is the trade name of Quantalytics Holdings, LLC (“Quantalytics”). Quantalytics offers automated financial advice through Quantalytics Investment Advisors, LLC ("QIA”), a SEC registered investment advisor. The information presented is for educational purposes only. Performance of the adviser represents model hypothetical model performance. All investments involve risks unless otherwise stated are not guaranteed.

Photo courtesy of Q.ai

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.