Economies of scale among HFs after AI?

How do you guys think about incorporating AI into your workflows over the next 3-4 years? Thus far I basically only use chatgpt for transcripts and basic data retrieval which is pretty low alpha. But longer term I do wonder how it changes the nature of the job.

Separately, for fundamental equities L/S, do you think this widens the moat for the big 3/4 pod shops (larger budget for tech = differentiated AI products) or do you think 3rd party resources (daloopa but 10x better) levels the playing field?

2 Comments
 

IMO No fund (even the top MM) has the capital / level of investment / talent needed develop differentiated AI. AI will change society/business in such a way that hedge funds / investing in general becomes less relevant, but this will come from outside of Finance.

 

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