Investing legend Seth Klarman talks about how his hedge fund is using AI: ‘Essentially a capable assistant’

• Seth Clarman says artificial intelligence is used in his company as a tool to save time, not to pick up arrows.

• He said that artificial intelligence helped analyze corporate files, for example.

• Companies such as Morgan Stanley and Bank of America have begun integrating artificial intelligence to enhance productivity.

Seth Clarman, CEO of Baupost, said that it does not represent after the legend of investment and CEO of Baupost Group invested that artificial intelligence may one day raise the entire industries, but among the elite of the hedge fund, it does not represent a threat, as the BauPost Group legend invested.

In an episode of the value of investment at Columbia College of Business with Podcasts this month, the Titan hedge Fund said that it and its colleagues are mostly used as emerging technology as a chronological leader, as they have appointed tasks that employees may perform from the lower level in the past.

“We have started to use it as an essentially capable assistant, a summer trainee,” Clarman said. “Not a person knows the arrows that must be purchased, but a way to scrap data faster.”

Clarman was martyred with two specific examples of how to use his colleagues.

It was one of the ways to analyze the corporate files.

“He asked the artificial intelligence to take a look at 10 years of annual reports of a company and compare what has changed in the annual report from year to year – the way they communicate, which may reveal something about the change in work, or what the lawyer was concerned about, or whatever it might be,” Clarman said.

Another was to determine the company’s slogans that one of his employees had not seen would help them know the industry scene better.

“He would have turned on it to a trainee, but Amnesty International did so within five minutes and saved the work for three days,” Clarman said.

Clarman also said that he uses artificial intelligence himself, although he did not particularly admire. Before appointing to speak at an event with a well -known executive director, he asked Chatbot to create some questions to ask the person.

“It was no longer useless,” he said. “I would like to ask things they haven’t thought about before.”

BAUPOST is not the only company that uses artificial intelligence to increase efficiency. Morgan Stanley and Bank of America began training employees to use technology to enhance productivity. In a recent study, Thoughtlinks has found that by 2030, 44 % of the bank’s tasks, including 32 % of sales and trading, can be “artificial intelligence.

Despite the use of technology, Clarman said he was concerned that artificial intelligence may harm people’s ability to be creative. A recent study supported the Massachusetts Institute of Technology, and found that the use of memory caused by memory and brain activity.

“I think that if we use artificial intelligence in a wrong way, we will solve the problem without applying our brains,” Clarman said. “It will be like reading the end of the novel and then you don’t really need to know how everything happened? So I would like to do this in order. I think the correct arrangement is,” that’s what I think, “then I can improve my thinking.”

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