This hedge fund’s trades are driven by artificial intelligence

“Faceless robots may be the next wave for investors to manage your money.

Numerai, a San Francisco-based hedge fund which trades stock powered by artificial intelligence, uses data scientists to predict its market accuracy.

“All of our hedge fund trades are powered by machine learning algorithms developed by people around the world and we reward them in cryptocurrency,” Numerai founder Richard Craib said during an exclusive interview with FOX Business’ Liz Claman.”



Define Overfitting and Underfitting by yourself

“If you are just got started in Machine Learning then you may have heard of these two terms often. And if not then you must.

Both the terms have the suffix ‘fitting’ and the interpretation of this word is same as in real life. Like suppose the dress which is not of fitting size can be expressed in two ways i.e. tight or loose.

In Maths we solve problems by implementing formulas/Algorithms and measures how good it is by accuracy, no. of steps,etc. the same way in Machine Learning we implement models(in fact you will find out later that they are also formulas) and we measures how good it is by accuracy, training time and many other things. And if our model is not doing good then we say it is either Underfitting or Overfitting.”


The Role of the IoT in the Global Industrial and Manufacturing Market

“In this latest piece of IoT research, The Role of the IoT in the Global Industrial and Manufacturing Market, Strategy Analytics analyses:

  • The Opportunities and Benefits IoT offers the Industrial and Manufacturing markets, including automation, predictive maintenance, digital twins and supply chain optimisation.
  • The Challenges and Inhibitors in this market, including legacy system integration, connectivity, privacy and security.
  • The revenue potential for IoT in this sector, forecast out to 2025.
  • How IoT is being used by manufacturing firms, based on Strategy Analytics Enterprise IoT Deployment Survey results.

Matt Wilkins, senior analyst, IoT Research at Strategy Analytics and author of the report noted, “As digital transformation sweeps through all vertical markets, the Industrial market offers many opportunities for IoT. For example, allowing a manufacturing firm to draw upon data from all parts of its activities, feeding into analytics processes from which insights are derived that can positively affect the optimisation and efficiency of the company, or using that information to prevent machine failure before it occurs.””


How will Blockchain assist the banks?

“Reasoning how this will be possible, the company that specializes in providing best-in-class market research and business intelligence across 6 key sectors, said that blockchain will assist in cost reductions in payment processing, reconciliation, treasury operations and compliance.

Juniper Research made this major FinTech tweet on 1st August based on their press release, stating: “#Blockchain deployments to save #Banks more than $27bn annually by 2030, with cost reductions not just in #Payments processing and reconciliation, but in treasury operations and compliance. #Fintech #Banking”

The research findings claim that there will be an 11% reduction in costs per on-chain transaction.

The company further stated: “Indeed, the research argued that in compliance, automation of identity/money-laundering checks, allied to capability of the blockchain to verify the digital identity of an individual, should enable savings of up to 50% of the existing costs base within a few years.”

However, the research also cautioned about the need to parallel-run blockchain-based services with legacy systems. This would ensure that ‘savings would not be realized for several years after initial deployment, with annual cost reductions not reaching $1 billion per annum until 2024’.”


Games Help Trace the Progress of AI

“Considering this, an AI called Libratus made the next breakthrough in artificial intelligence research by beating the best players at Texas Hold ‘Em poker. Developed by researchers at Carnegie Mellon, Libratus showed that AI can compete with humans in situations where it has access to partial information. Libratus used several AI techniques to learn poker and improve its gameplay as it examined the tactics of its human opponents. Real-time video games are the next frontier for AI, and OpenAI isn’t the only organization involved in the field. Facebook has tested teaching AI to play the real-time strategy game StarCraft, and DeepMind has developed an AI that can play the first-person shooter game Quake III. Each game presents its own set of challenges, but the common denominator is that all of them present the AI with environments where they have to make decisions in real time and with incomplete information. Moreover, they give AI an arena where it can test its might against a team of opponents and learn teamwork itself.  For now, no one had developed AI that can beat professional players. But the very fact that AI is competing with humans at such complex games shows how far we’ve come in the field.”