Will ChatGPT Impact Finance?

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Artificial intelligence (AI) isn’t new, but it is evolving. The latest ChatGPT, or Chat-generated pre-trained transformer, is the newest AI to hit the headlines. Its developers claim it has numerous applications in everyday life.

One such application is finance. Specifically, it could possibly be used for portfolio-allocation suggestions. But what are the strengths and limitations of using ChatGPT with your investments? Will ChatGPT replace financial advisors?

How ChatGPT Works

ChatGPT is a pre-trained generative chat that makes use of natural language processing (NLP). In other words, you ask it a question, and it answers in human-like speech instead of the old robotic way.