September 6, 2023: eToro, the trading and investing platform, has partnered with Bridgewise, a generative AI company for stock analysis to launch ‘Fundamental-AI’, a portfolio that offers eToro users exposure to companies set to outperform their industry peers.
Employing its proprietary generative AI technology, Bridgewise will analyse the 1,000 biggest companies on eToro by market cap and rank them based on future performance predictors including quarterly filings, earnings calls and analyst research. As a result of this analysis, each company is assigned a numerical score that reflects the stock’s likelihood to outperform its industry peers. The most promising stocks will be allocated to the portfolio.
Fundamental-AI is a new addition to eToro’s existing offering of AI-themed portfolios and the first to implement fundamental analysis at scale. The portfolio will be composed of 40 stocks across various industries and geographies, and it will be rebalanced on a monthly basis. All assets are offered as CFDs consisting of long and short positions.
“Fundamental analysis serves as the cornerstone of stock evaluation and has traditionally been time-consuming for individual investors. However, AI changes the game as it can quickly handle vast amounts of data from anywhere in the world, in any language,” explained Dani Brinker, Head of Investment Portfolios at eToro. “By providing our users with a portfolio that embraces both short and long positions, we aim to offer an investment approach that provides the flexibility to adapt to changing market conditions and potentially generate returns regardless of whether prices are rising or falling. We are looking forward to leveraging Bridgewise’s insights to shape the monthly allocation.”
Gaby Diamant, CEO and Co-Founder at Bridgewise comments: “Analysing data with AI has the potential to offer more diversified opportunities to traditional stock picking. We are excited to put our proprietary technology to use and give eToro access to machine learning models to help process enormous amounts of market information. Partnering with eToro, we are excited to be at the forefront of helping investors of all levels to benefit from this innovative, game-changing technology.”
Smart Portfolios offer investors exposure to various market themes. Bundling together several assets under a defined methodology, and employing a passive investment approach, they provide long-term investment solutions that offer diversified exposure. Initial investment starts from USD$500 and investors can access tools and charts to track the portfolio’s performance, while eToro’s social feed will keep them up-to-date on developments in the sector. Not available to US users.
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Notes to Editors
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About eToro
eToro is a trading and investment platform that empowers people to grow their knowledge and wealth as part of a global community of investors. eToro was founded in 2007 with the vision of opening up the global markets so that everyone can trade and invest in a simple and transparent way. Today, eToro is a global community of more than 32 million registered users who share their investment strategies; and anyone can follow the approaches of those who have been the most successful. Due to the simplicity of the platform users can easily buy, hold and sell assets, monitor their portfolio in real time, and transact whenever they want.
About Bridgewise
Bridgewise is a technological research company that provides AI-based analysis of all global stocks in all languages. Its AI technology enables trading platforms and leading financial institutions to gain a comprehensive understanding of the markets, enhance their own customers’ confidence in trading and help them make informed investment decisions. The company offers instant fundamental analyses of all global stocks in any language, presented in an easy-to-read format, including an actionable recommendation. These analyses are derived from millions of real-time and historical data points. Bridgewise’s AI-based technology was primarily developed to bridge the knowledge gap in the investment world, with the aim of empowering all types of investors, from sophisticated analysts to individual investors, to become “super-investors.”
Disclaimers:
eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
Copy Trading does not amount to investment advice. eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
eToro (Europe) Ltd is regulated in Cyprus by the Cyprus Securities and Exchange Commission, under Licence No. 109/10. eToro (UK) Ltd authorised and regulated by the Financial Conduct Authority in the UK under the Licence FRN 583263. eToro AUS Capital Limited by the Australian Securities and Investments Commission in Australia License 491139. eToro (Seychelles) Ltd licensed by the Financial Services Authority in the Seychelles to provide broker-dealer services under the Securities Act 2007 Licence #SD076.
AU disclaimer: eToro AUS Capital Limited ACN 612 791 803 AFSL 491139. Smart Portfolios are not exchange-traded funds or hedge funds and are not tailored to your specific objectives, financial situations and needs. Your capital is at risk. See PDS and TMD.
This communication is for information and education purposes only and should not be taken as investment advice, a personal recommendation, or an offer of, or solicitation to buy or sell, any financial instruments. This material has been prepared without taking into account any particular recipient’s investment objectives or financial situation, and has not been prepared in accordance with the legal and regulatory requirements to promote independent research. Any references to past or future performance of a financial instrument, index or a packaged investment product are not, and should not be taken as, a reliable indicator of future results. eToro makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication.