How to
How to use AI for fund research
The optimal way of searching with AI (a large language model) is to ask a clear question, giving relevant context and being specific about what you want back.
The optimal way of searching with AI (a large language model) is to ask a clear question, giving relevant context and being specific about what you want back.
Use this simple structure:
I want (goal)
I am (context)
My constraints are (X)
Please give me (type of answer)
Example
I want to buy a low volatile UK fixed income IA strategic bond fund. There are a number of funds from the Authorised Corporate Director Valu-Trac. I am new to investing and therefore I want an active fund manager to tactically adjust the asset allocation for me. I would like to purchase the fund via Interactive Investor . The fund must have a Financial Express risk score of 20 or lower. Please recommend 3 options and explain the differences.
The FCA has also published guidance on using AI responsibly when researching investments (opens in a new tab).
Please use the following link to FE to search for funds in the strategic bond sector (opens in a new tab).
Where this matters most is in fixed income, because the bond market is far larger than the equity market and no team reads all of it unaided. A tactical manager uses these tools to research the high yield end, where the extra interest is real and so is the extra risk of not being repaid, looking for bonds where you are paid more than the level of risk warrants.
Information, not advice. This guide is general information to help you understand your options. It is not personal advice and not a recommendation to buy, sell or hold any investment. If you are unsure what is right for your circumstances, consider taking regulated financial advice. The value of investments and any income received from them can fall as well as rise, and investors may receive back less than they originally invested. Past performance is not a guide to future returns.