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Talking about the stock market: A brief discussion about the impact of artificial intelligence on the stock market
Recently, I posted two articles on the stock market, and the overall response was good, a little like, and some also sent private messages. These two articles mainly start from Hu Xi's entry into the market, and talk about some views on the Chinese stock market, including hatred and helplessness about the issuance of new shares at high prices, as well as analysis of the current situation of the stock market and exploration of investment opportunities. It is proposed to focus on signals such as changes in the price-to-earnings ratio and dividend tax for new shares issued in the long term. Under the current circumstances, individuals tend to follow the trend, use idle funds to invest for a long time, and seize the low-risk opportunity of "saving capital and taking interest" from the long fall of the stock market. Those who have time, ability, risk tolerance, and like to play can take a small amount of money to surf the options and futures markets.
This article would like to focus on the impact of artificial intelligence on the stock market. Because the study of this issue has just begun, the understanding is not deep enough, and it can only be a superficial discussion, and what is said may not be completely correct. Friends who are interested in this issue and have research are welcome to criticize, correct or exchange views.
Artificial intelligence is a hot topic this year, and it is also a hot topic for stock market speculation. The hype around artificial intelligence can be described as hot, and it has also experienced several ups and downs. Artificial intelligence is a major trend in the development of human society, and it is difficult to control Pandora's box once it is opened. The competition around artificial intelligence in various countries will inevitably intensify, which in turn will promote the continuous development of artificial intelligence. As for whether it will bring disastrous or even devastating consequences to human beings, it is difficult to say, it depends on human self-control, preventive measures and other factors. But artificial intelligence continues to replace humans in some fields is already the trend of the times, and it is difficult to stop.
Today's talk about the impact of artificial intelligence on the stock market also has two sides. One is the hype in the market about AI-related stocks, and the future trend of such stocks. The other is the impact and impact of artificial intelligence on the stock market system and mechanism, as well as the all-round impact on investors' investment strategies, trading methods, and investment results. The focus here is on the second aspect.
The market's hype for AI-related stocks may be similar to the hype of many subject concepts. At present, related companies are mixed, and some companies have research on artificial intelligence in software and hardware, and such companies have development potential. Some companies are involved in the application of artificial intelligence, and may use the power of artificial intelligence to improve efficiency. There are also many companies that just rub the hype of the concept.
The theme of speculation concept is not uncommon in the Chinese stock market, everyone knows it, you must grasp the proportions, don't take it too seriously. In the medium and long term, it will always come out, and it will definitely not be fried without sticking to the edge. Artificial intelligence is a general trend of development, among which there will inevitably be excellent companies to stand out and achieve extraordinary development, and stocks are ten times or a hundred times possible. But such companies may be one in a thousand or one in a thousand, not to say winner-take-all, but also the few remaining companies to become the real winners. After most companies hype, they will inevitably return to the origin of business performance.
Of course, the impact of artificial intelligence on all walks of life is comprehensive and huge. The development and application of artificial intelligence will inevitably help human beings greatly improve production efficiency and create more social wealth. This has been reflected in some fields, such as automated production in the industrial field, automatic response services widely used in banking, telecommunications and other service fields. There are also electronic devices such as speakers that can be human-computer interaction, which can be regarded as the initial stage of artificial intelligence. Even in the securities and stock market, it seems that the shadow of artificial intelligence has also been seen, which has had an impact on the securities market. Programmatic trading and quantitative trading operated by computers can be regarded as the primary application form of artificial intelligence in the stock market. However, the impact and impact of this application on the market, the impact on stock market participants, and the fairness of the future stock trading mechanism have not attracted enough attention.
You may wish to think that manual production and automated production lines in the industrial field are incomparable. In intellectual games such as chess, Chinese chess, and Go, the top masters of human beings have almost no chance of winning. In the stock market, if computer automatic operation is widely used, stock trading has evolved from the previous game between investors to the game between investors and computer systems, and the game between computer systems, what is the probability of investors winning? What's more, in addition to speed and cognition, some computer systems can be networked with the exchange's systems. Computers can automatically acquire certain data, and human investors are clearly vulnerable. Perhaps you've found it harder and harder to make money with stocks in recent years. Even small funds have a hard time surviving in the market. According to reports, more than a hundred funds have been liquidated this year, and quite a few are struggling on the verge of liquidation. Among them, there are not only the influence of factors such as the general environment of the stock market, but also the investment philosophy and trading level of fund managers, and the influence of factors such as the increase in programmatic trading?
A few years ago, a securities company invited me to participate in a quantitative trading seminar. Because of my busy work, I couldn't spare time, and I didn't contact and pay attention to quantitative trading after that. Now that I think about it, I really missed the opportunity. Individual investors are in a bad environment, the general trend, and are in a clearly inferior position, can it not be difficult to make money in the stock market? From the trading level, individual investors are obviously at a disadvantage, it is difficult to make money from trading now, and in the future, with the increase of quantitative trading, programmatic trading, and even the addition of artificial intelligence, individual investors are bound to have fewer and fewer opportunities to make money from trading, and it is more and more difficult to make money.
It is becoming more and more difficult to make money in the stock market, and you still want to preserve and increase your wealth, what should I do? Buying stocks? Trading information, trading methods, etc. are in a disadvantageous position, it is not easy to make money, and a lot of energy needs to be invested. Buying funds? Give the money to the fund company, don't worry! There are so many funds whose net worth has been cut or even liquidated. Although China's stock market has been circling around 3,000 points for a long time, it has not risen or fallen so much. Do you still dare to buy private equity funds?
What to do? Thinking about it, it seems that in addition to sticking to value investment and long-term investment, I really haven't seen other low-risk strategies. Doing some "saving capital and interest" business, choosing good stocks, holding them for a long time, and taking out dividends for consumption, may be an option. As long as there are no major changes in the company, it can save time and trouble without too much attention and operation. A little off topic, or back to this article to talk about the impact of artificial intelligence on the stock market.
I watched the American science fiction movie "Transcendental Hacker" a few days ago, in which the intelligent system was connected to the Wall Street securities trading system and quickly made a lot of money. Use the money earned from the stock market to buy all the property rights in an area and build your own kingdom. You don't need to ask, you can also think that it earns money from other market participants. Although this is a science fiction movie, it also warns about artificial intelligence entering the stock market from one side. If one day, successful artificial intelligence enters the stock market, it is bound to be winner-take-all, and other participants' funds will continue to flow into its pockets. The impact on the securities market can be imagined.
Here, I will give some opinions and suggestions to the regulatory authorities. It is necessary to prepare for the inclusion of artificial intelligence in the stock market, and study and formulate various countermeasures as soon as possible to maintain the fairness and justice of the securities market. It's time to act, maybe it's a little too late.
Programmatic trading, quantitative trading, and other artificial intelligence that is somewhat similar to the primary stage have been in the stock market for a long time. Moreover, they occupy a dominant position in the market and seriously erode the fairness and impartiality of the securities market.
In the case that most individual investors can only see five levels of transaction data, someone who pays money can see more transaction data, which is equivalent to paying money in a casino to see more hole cards. Who undermined the principles of openness, fairness and impartiality by selling securities trading data that should have been fairly presented to all market participants? Programmatic trading is mostly networked with securities trading systems, which not only can get more data, but also get data faster and earlier, and seize the opportunity to trade. Also in an American movie, telecommunications companies competed fiercely to obtain a time difference of milliseconds for securities trading data.
Recall that in the nineties of the last century, communication networks were not developed, and most investors could not see real-time stock quotes, and needed to read the previous day's trading data from newspapers and other channels, and place orders by phone or at securities companies. Later, there were BB machines to send stock data, and there were mobile phones, networks and other stock trading channels. At that time, the counterparties were all real people, and it was a game between people. Now quantitative trading and programmatic trading are automatically completed by computers, which has become a game between people and computer systems. Whether stocks have been difficult to do in recent years is also related to this.
How to deal with the impact and impact of a large number of computer programmed trading and artificial intelligence entering the stock market in the future, and how to deal with the challenge of artificial intelligence entering the stock market? It's worth digging into!
About the author
Liu Meisheng, Zi Shinong, Chaoran Shanren, ancestral home in Qingzhou, Shandong, retired employee of ICBC. He studied at Nankai University and Shandong University and graduated with a master's degree. He likes poetry, photography, Go, etc., and is now a member of the Jinan Writers Association. Its WeChat public account "Shicaoyuan" is known for "beautiful photography and pleasing poetry." How beautiful life is, share it with you. "Devoted to the dissemination of poetry culture, etc. His book "From the Study of Poetry Grammar to the Practice of Writing" systematically introduces poetry knowledge and the grammatical norms of more than 40 word plates, includes a large number of famous poems by famous artists, and also includes more than 100 personal poetry works, and a large number of photographic calligraphy and painting works are attached at the end of the book. Published by Shandong University Press, the book is a good textbook of poetry and a rich collection of poetry.
Adhering to the original intention of "planting poetry flowers and plants, sharing the beauty of life", Shicaoyuan fulfills the commitment of "photography is beautiful, poetry is pleasant, life is beautiful, and share with Jun", is committed to spreading poetry culture, and strives to create a fine poetry public account.