Unlocking Crypto Possibilities: AI Tools for Advisors

• Emerging Role of AI in Crypto Trading
• How AI Tools Empower Financial Advisors Today
• Customized AI Assistants
• AI-Generated Learning Courses
• AI-Powered Internet Searches
• AI Disruption in Digital Assets
• Expert Advice on Generative AI
• Further Reading

Emerging Role of AI in Crypto Trading

Anticipation builds as Artificial Intelligence (AI) gears up to transform every industry, including the world of cryptocurrency trading. These two burgeoning fields both demand substantial learning and regulatory sophistication. However, the current state of technology leaves much to be desired in terms of tools that seamlessly integrate into a financial planner's operations.

Putting crypto trading aside, a wealth of practical AI applications exist that advisors can capitalize on. Professionals such as Brian Boughner from Fiduciary Alliance and Lynda Koster from Growthential provide guidance to advisors on how to jumpstart their journey into AI.

How AI Tools Empower Financial Advisors Today

About a year ago, the world was just beginning to explore the phenomenon that is ChatGPT and the capabilities of AI. Since then, AI has grown at an unprecedented pace, making distinguishing reality from hype a challenging task amidst the buzz surrounding the technology.

AI is still in its first act of discovery and development. The second act will encompass AI addressing real-world problems. Despite being only in the initial stage, AI has already proven beneficial in fields such as financial advisement, particularly in content creation and productivity.

Customized AI Assistants

ChatGPT, known for its 4.0 service that allows users to create customized AI assistants, is a popular tool among many. It provides the ability to train your assistant based on your data, style, preferences, etc., ensuring outputs tailored to your needs. However, it is crucial to remember that ChatGPT is not secure and should not be used to store sensitive information.

AI-Generated Learning Courses

With the role of financial advisors often involving educating clients on financial matters, AI tools can be used to effectively create introductory courses around relevant topics such as investing, insurance, and retirement. One such tool is Chat2course.com, which offers impressive customization, allowing users to specify the length and tone of the content.

AI-Powered Internet Searches

The era of traditional internet searching has evolved into AI-assisted searches. Tools like Perplexity.ai and Microsoft's Bing Copilot search engine provide specific answers to your queries. Both tools also list the sources used to compile the answers.

AI Disruption in Digital Assets

Knowledge-based industries, including digital assets, are witnessing the emergence of AI trading tools, crypto-focused robo advisors, and ChatGPT powered AI crypto analytics. As these tools are still under development, the priority for an advisor should be to learn about these technologies. Embracing this revolution can lead to greater efficiency, especially in data-driven and repetitive tasks, keeping you ahead in the evolving world of AI.

Expert Advice on Generative AI

Adopting generative AI in your practice begins with educating yourself and your team about its strengths and limitations. Numerous courses available today cover the basics. However, remember not to include any personal or sensitive information when experimenting with mainstream tools.

After gaining a solid understanding of generative AI, it is crucial to fact-check the generated content thoroughly. Mainstream AI tools, while advanced, can still be prone to producing inaccurate or biased information. To mitigate this, cross-reference AI-generated information with your own expertise and additional credible sources.

Integrating generative AI into a financial advisory practice requires a blend of understanding the tools and business insight. It's important to establish a strategy and governance model that aligns with your business goals and operates within the bounds of relevant regulations and ethical guidelines. Regular monitoring and evaluation of AI tools can ensure they fulfill your objectives and maintain compliance. With this approach, AI can be incorporated into your services ethically and effectively, enhancing value for your clients while upholding professional standards.

Further Reading

The United States Commodity Futures Trading Commission has issued warnings about using AI trading bots to predict the next winning cryptocurrency. AI and bitcoin are seemingly intertwined, aiding each other's adoption. The Securities and Futures Commission of Hong Kong has received its first bitcoin ETF application from Chinese asset management firm Harvest Fund Management.

Edited by Jonathan Stoker