Author Zheng Xiaojie Editor Yuan Chang Remember a few months ago, the private equity firm that first announced the use of AI robots in the industry? A few months later, the performance of robot trading came out! Although the company has reshaped and implemented the investment system by "using artificial intelligence technologies such as large models", it also claims to have "an AI-native investment system that is rare in the industry." The product eventually managed to "achieve" a cumulative loss of -20%. How do AI investment robots do this? Did this program for investing in robots "get it wrong"?
Net value reproduction "swoop" According to a third-party platform: as of September 20, 2023, the net value of a product unit called "XX Zhishan Private Equity Fund" was 0.5430.
The product was established on August 17, 2016, and the net value has decreased by 20.09% since its inception. The above products are one of the first products established after the establishment of XX Zhishan, and after seven years of operation, it has not achieved positive returns. According to the information published by the China Foundation Association, the existing scale of the product is less than 5 million yuan (as of the end of the second quarter of 2023). Since the product was established at the low point of the A-share index, the operation of this product is hardly "ideal".
It is worth noting that the net value of "XX Zhishan Private Equity Fund" fell by 14 points in 2023. At the same time, the product's performance has lagged significantly behind the large-cap index (CSI 300), with a net value loss of 40 points in the past three years.
Against this background, XX Zhishan issued an announcement to holders on June 20 this year that it would no longer set up an early warning and closing mechanism (previously, the early warning line of the above-mentioned private placement products was 0.70 yuan, and the closing line was 0.60 yuan). Fortunately, they canceled these two lines in time, otherwise they would have been liquidated long ago based on the current unit net value. The review also found that it was from June 21 this year that the net value of the above products fell below the previously stipulated closing line. In other words, the private equity firm issued an announcement to "dodge" the passive liquidation the next day the day before the net value "fell through" the closing line.
The net value was once "dormant" strangely: from April 26 to June 12, 2023, the net value of "XX Zhishan Private Equity Fund" has always been 0.6020. After that, they "resurrected" and then began to fall with the market. As shown in the figure below, the product equity curve was completely "sideways" for a period of time.
The probability is that the strategy "adjusts" So, why did this stock private placement suddenly stop operating. According to the agency's announcement, they may have changed tactics at the time. At the beginning of June this year, XX Zhishan announced that it intends to arrange 4 researchers and an artificial intelligence-based robot to independently manage 5 different private equity funds.
Previously, public information showed that the investment strategy of this private equity product was described as core varieties + sector allocation + position matching, and said that for weak cycle varieties, the strategy of left-hand trading is more suitable, and for varieties with strong cyclicality, right-hand trading is more suitable. However, after that, the net value of XX Zhishan products was "resurrected" at the end of June, and the closing line was canceled. In early July, the company announced that "robot fund manager" has officially integrated all products of XX Zhishan Management.
Where did this private equity come from? The "tone" of this private equity firm is not small, they said in the announcement that the robot used is a value investment system combined with advanced AI technology, compatible with the three major strategies of deep value, value growth, and subversive innovation. You know, tens of billions of subjective long private placements in China have not yet shown AI fund managers. According to the filing materials of the association, the founder of XX Zhishan, He Mou, served as an assistant to the Youth League Committee of a middle school in the Inner Mongolia Autonomous Region in the early days. After that, he worked as a financial trader in an investment limited company in Jurong City, Jiangsu Province. As of the latest, the management scale of this private equity is only in the range of 0-500 million yuan, and the full-time employees are 13 people. Among the other personnel of this private equity firm, there are former directors of well-known tens of billions of private placements, former analysts in the public Internet field, and people who have worked in Dongguan Securities and Wande Information.
Robots "help" to fall faster? Although XX Zhishan has launched robot fund managers with high profile, it has not saved the old products mentioned above. On the contrary, after they "plugged in" the robot in July, they fell much faster than the index.
As of September 20, the net value of the above products fell by 9.50% in the past three months, and the CSI 300 Index fell by 3.24% in the same period, which shows that the net value of the product fell three times that of the broad-based index in the same period. Are the application conditions of AI robots mature? What exactly do they do? Do they have other side effects? This requires the industry and this "dare to try early" private equity firm to think hard. ⭐ Star Wall Street news, good content do not miss ⭐ this article does not constitute personal investment advice, does not represent the platform view, the market is risky, investment needs to be cautious, please make independent judgment and decision-making.