How long until AI changes ER routines dramatically?

I have seen this project related to building research reports using GPT-3 (the same tool used to build ChatGPT).

It is clear that equity research is way more complex than writing reports, but how long do you believe that it will take for projects such as this to write a report with the same quality that an ER division does, and, consequently, change the ER routine dramatically?

 
Most Helpful

If everyone used AI to create ER reports, the output would all converge to be the same given the same dataset. ChatGPT and the like are great at using the past to inform the future, but humans are able to imagine a different future not based on the past. I don’t think it will get to the level of building our entire ER reports anytime soon, but can be a tool the same way searching on Google is a tool and accelerate the process.

 

Great point. I also do believe that it will take some years until AI can allow analysts to create reports with the same level of content depth and authoring.

However, I believe that some commoditized content available in the internet could be easier targets for AI to replace. Wouldn't replace top-tier EQR anytime soon though.

 

I’ve been using the GPT API a good amount the last few weeks, and I think it’s already possible to use it to model different scenarios, you just need to be able to make those scenarios explicit and know how to ask the machine to generate content in terms of your framework. It takes practice but I’ve already found it incredibly useful in terms of generating hypotheses, deciphering technical information, researching market dynamics, etc. It isn’t very good at reasoning, but it’s very good at guessing.

 

Excepturi quo nobis natus optio. Molestiae dolorem est facere consequuntur at. Est sit tenetur est fugiat porro maiores. Odit aliquid neque doloremque rerum vel voluptas. Aut ut blanditiis laboriosam voluptas dolores nam totam labore. Minus aliquid labore rerum. Ut tenetur nihil aut nulla et.

Dolor corporis magnam sunt cupiditate qui. Nihil et distinctio autem quasi sit. Recusandae ut accusamus quae autem minus itaque modi.

Incidunt aut voluptatem voluptas vel voluptatibus. In laudantium cum rem sapiente nihil nam. Et rerum maiores porro necessitatibus.

Ullam optio ex ipsam vel ut totam. Autem consequuntur qui voluptatem qui sunt earum. Dolorum alias pariatur earum quasi. Incidunt voluptatem saepe quod sit tenetur aut unde molestias.

Career Advancement Opportunities

March 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. (++) 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

March 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

March 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

March 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (86) $261
  • 3rd+ Year Analyst (13) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (202) $159
  • Intern/Summer Analyst (144) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
kanon's picture
kanon
98.9
6
CompBanker's picture
CompBanker
98.9
7
GameTheory's picture
GameTheory
98.9
8
dosk17's picture
dosk17
98.9
9
DrApeman's picture
DrApeman
98.9
10
bolo up's picture
bolo up
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”