eToro has partnered with technological research company Bridgewise to launch the 'Fundamental-AI' portfolio, offering users exposure to outperforming companies. Employing its proprietary generative AI technology, Bridgewise will analyse the 1,000 biggest companies on eToro by market cap and rank them based on future performance predictors including quarterly filings, earnings calls, and analyst research.

As a result of this analysis, each company is assigned a numerical score that reflects the stock’s likelihood to outperform its industry peers. The most promising stocks will be allocated to the portfolio. Revolutionising stock analysis with AI Fundamental-AI is a new addition to eToro’s existing offering of AI-themed portfolios and the first to implement fundamental analysis at scale.

The portfolio will be composed of 40 stocks across various industries and geographies, and it will be rebalanced on a monthly basis. All assets are offered as CFDs consisting of long and short positions. eToro’s officials said that fundamental analysis serves as the cornerstone of stock evaluation and has traditionally been time-consuming for individual investors.

However, AI changes the game as it can quickly handle vast amounts of data from anywhere in the world, in any language. By providing their users with a portfolio that embraces both short and long positions, they aim to offer an investment approach that provides the flexibility to adapt to changing market conditions and potentially generate returns regardless of whether prices are rising or falling. We are looking forward to leveraging Bridgewise’s insights to shape the monthly allocation.

Representatives from Bridgewise said that analysing data with AI has the potential to offer more diversified opportunities to traditional stock picking. They are excited to put their proprietary technology to use and give eToro access to machine learning models to help process enormous amounts of market information. Partnering with eToro, they are excited to be at the forefront of helping investors of all levels to benefit from this innovative, game-changing technology.

Smart Portfolios provide investors with access to diverse market themes by combining multiple assets using a defined methodology and passive investment strategy. These portfolios offer long-term investment solutions, allowing for broad exposure. The minimum initial investment is USD 500, and investors can use tools and charts to monitor portfolio performance, while staying informed about sector developments through eToro's social feed.

Please note that this service is not accessible to users in the United States. What does Bridgewise do? Bridgewise is a technological research company that provides AI-based analysis of all global stocks in all languages. Its AI technology enables trading platforms and leading financial institutions to gain a comprehensive understanding of the markets, enhance their own customers’ confidence in trading, and help them make informed investment decisions.

The company offers instant fundamental analyses of all global stocks in any language, presented in an easy-to-read format, including an actionable recommendation. These analyses are derived from millions of real-time and historical data points. Bridgewise’s AI-based technology was primarily developed to bridge the knowledge gap in the investment world, with the aim of enabling all types of investors, from sophisticated analysts to individual investors, to become ‘super-investors.’ .