Artificial Stupidity: The New AI and the Future of Fintech

Financial AI seems so close, yet so far. We have automated trading algorithms, machine-learning models of credit risk, electronic exchanges, robo advisors, and cryptocurrencies, but machines still haven’t replaced portfolio managers, financial advisors, and bankers. So what’s missing? Not artificial intelligence. What's missing is that we have yet to develop an algorithmic understanding of human behavior as it is, rather than as it should be. In other words, we need a theory of artificial stupidity, and in this talk, Andrew Lo will motivate the need for this theory with several examples, and propose some first steps in constructing it.

Speaker: Andrew Lo, MIT