Following on from a year of exponential growth within the financial sector, let us examine the relationship between financial sector development and economic growth.
Evidence suggests that further development of the financial sector will have a positive impact on the wider financial biosphere as the sector starts to integrate with the artificial intelligence revolution.
One of the most noteworthy examples of AI backed systems supporting computing infrastructure within the financial markets has to be the rise of Automated Trading Systems.
Automated Trading Systems (ATS) and High Frequency Trading (HFT) have greatly reduced both investor exposure and the need for human trading which has in turn reduced human error within the sector.
Swanntech international has been a ‘silent giant’ within the financial markets and started developing their own AI backed ATS systems since their inception over a decade ago. Economic theory suggests that there is a clear need for sustainable and efficient systems across the board to further innovate the financial sector and the underlying technologies behind the aforementioned systems. Swanntech international are said to have been one of the few firms to be ahead of their times within this respect as the business innovation division of the organisation started developing such systems since their inception.
Richard White, senior data analyst at Swanntech International states:
“The rise of AI backed infrastructure has changed the way investors on both a retail and institutional level view investment opportunities. One of the contributing factors to this has been the safety provided by AI backed High Frequency Trading using state of the art technologies which have significantly reduced client exposure.’
The primary role of financial sector development in growth is likely to shift away from mobilizing savings, thus augmenting the quantity of investment toward improving the efficiency of investment, and thereby contributing to higher economy wide productivity.
The trend of AI backed technologies used by firms such as Swanntech are becoming increasingly popular within the financial sector which has become increasingly more reliant on secure and precise systems supporting effective portfolio growth.
The safety and reassurance provided by the ‘new era’ technologies organisations such as Swanntech use has caused an influx in retail interest. However, as Richard White from Swanntech International explained to us, organisations like Swanntech are limited in how many applicants they are able to accept as clients and as a result retail investors are dealt with on a ‘first come, first served’ basis. This is ultimately because unlike corporate and institutional investors, each retail investor requires a dedicated portfolio manager and voluminous amount of administrative attention.
As the financial sector continues to embrace AI backed technologies we predict an influx of both investors and investment opportunities as the sector becomes more accessible to retail clients through reputable organisations such as Swanntech.
SWT International IVV2019