Artificial Intelligence and Data Analytics in Portfolio Management

Overview:
Technology now defines efficiency. India is catching global leaders in applying data science to wealth management.

Key Points:

• Global survey 2025 (McKinsey): 68 percent of investment firms use machine learning for portfolio construction.
• In India, 41 percent of Portfolio Management Service firms already deploy AI screeners; adoption rising 25 percent per year.
• Algorithms improve forecast accuracy ≈ 20 percent vs manual models.
• United States quant funds delivered 9.8 percent annualised 2020–25; India’s early quant funds achieved ≈ 11.2 percent CAGR on smaller bases.
• AI helps detect sentiment shifts using natural-language feeds from earnings calls and social media.
• Future: Integration of AI with robo-advisory and custom Portfolio Management dashboards for real-time risk alerts.

Truvest Capital Insight:
Artificial Intelligence is not replacing managers—it is professionalising judgement.

Disclaimer: Educational content only. Not investment advice.