MUMBAI: Star Union Dai-ichi Life Insurance Co. Ltd. (SUD Life) and QuantumStreet AI, a global leader in the field of AI-powered investment solutions, have joined hands to incorporate cutting edge generative AI powered by IBM Watsonx into the investment offerings of SUD Life.
Now, Artificial Intelligence will help fund managers outperform the market.
The announcement was made at IBM Think Mumbai 2024, where QuantumStreet AI also formally launched their India service offerings.
As part of the collaboration, SUD Life and QuantumStreet AI will design an investment product aimed at providing superior performance in the large market capitalization (large cap) space.
According to a release by Star Union Dai-ichi, it is becoming increasingly harder to generate outperformance in Indian large cap portfolios, as in other developed markets.
To address this scenario, Star Union and QuantumStreet AI plan to leverage the advanced capabilities of the IBM Watsonx platform for generating insights that will form the core of the investment product and differentiate the offering.
"In today's data-driven world, it is nearly impossible for individuals to process the vast amounts of information available, and AI has become an indispensable tool for fund managers, helping derive meaningful insights from growing data volumes. It is no longer a ‘nice-to-have’ but a ‘must-have,’" says Arindam Ghosh, Chief Technology Officer and Prashant Sharma, Chief Investment Officer of Star Union Dai-ichi Life Insurance.
Sandip Patel, managing director, IBM India & South Asia, says, “As India’s capital markets undergo a pivotal transformation, the role of AI in enhancing investment solutions has never been more important. With powerful AI-driven insights that are governed with the highest levels of trust and transparency, this will usher in a new era of responsible investment practices."
As part of the future plans of the collaboration, QuantumStreet AI and Dai-ichi Life will also explore joint product development in Japan. In addition to India’s life insurance industry, QuantumStreet AI will offer its services to the asset management and wealth management sectors where generative AI can be leveraged for research, as alpha generation platform, and risk management.