BlackRock leverages artificial intelligence to analyze signals that could impact stock prices. For instance, posts by the K-pop group Enhypen about a Prada fashion show in Milan might lead to increased activity on the brand’s website, and BlackRock’s AI would detect this “signal” and incorporate it into its stock evaluation.

BlackRock’s systematic investing platform utilizes over 1,000 signals from 300 sources, including social media, blogs, and internet searches. Key factors include a rise in social media discussions about a company, followed by increased activity on its website, which can correlate with stock price growth.

Major players like JPMorgan and ChinaAMC are also actively adopting AI. JPMorgan has developed the SpectrumGPT tool to accelerate analysts’ access to research, while ChinaAMC is launching an AI chatbot to improve staff efficiency.

Hong Kong regulators are calling for the responsible use of AI, highlighting potential risks such as data leaks and model biases. The Securities and Futures Commission advises companies to mitigate risks and regularly evaluate system performance.

“Those who don’t adopt AI risk falling behind,” said Herbert Lee of Bain & Company. According to him, technologies are on the verge of mass adoption, and companies are racing to integrate them to stay ahead of competitors.