Development of Investment Advisory Solution Using Generative AI

ITOCHU Techno-Solutions Corporation (headquartered in Minato-ku, Tokyo; Ichiro Tsuge, President and CEO; hereinafter “CTC”) has developed an AI Investment Advisory Solution that provides investment portfolio recommendations by utilizing a product from Aitomatic, Inc. (headquartered in San Francisco, California, USA; Christopher Cuong T. Nguyen, CEO; hereinafter “AITOMATIC”), a provider of generative AI for specific sectors such as the financial and manufacturing industries. The solution is designed to interactively help those with consultations on and questions about investments. We aim to start offering the solution by the end of this fiscal year.

Companies are working on adoption of generative AI to tackle issues with solutions such as improving operational efficiency, reducing manpower and increasing customer satisfaction.
However, in order to effectively utilize generative AI to be suited for user businesses, it is necessary to prepare, continuously improve and tune training data with expertise knowledge for specific industries and domains, in addition to general knowledge.

Our AI Investment Advisory Solution leverages AITOMATIC’s purpose-built generative AI and is a chat-based service that interactively responds to questions and consultations of prospective investors about investment portfolios, including investment risks and benefits by taking into account their goals and constraints.

The service generates appropriate answers based on contexts, backgrounds and situations of dialogues with combinations of functions including API integration with external services for investment portfolios, citation of financial information such as stock prices and financial results, learning of industry trends from industry reports and learning of internal rules of user companies.

AITOMATIC's generative AI solution which CTC has utilized for the development uses combinations of multiple relatively small-scale language models called Small Specialist Models (SSM) and can automatically determine SSMs to be used based on contexts, backgrounds and situations of dialogues. The main feature of AITOMATIC's solution is that each SSM requires only a short period of time to be trained for a specific domain, making it easier for users to tune and maintain these models.

CTC has a solid track record of building large-scale systems that integrate and analyze customer attribute and behavioral data to forecast demand for financial products and will develop the solution based on our expertise in data analysis and data utilization.

Going forward, CTC aims to provide services for stock and bond portfolios in addition to the AI Investment Advisory Solution, thereby contributing to improvement of business efficiency and promotion of DX in the financial industry.