Artificial Intelligence (AI) is a comprehensive simulation of human intelligence in machines with extensive application in different verticals. Its integration with stock trading platforms, in the form of Robo-advisors, is already trending.
AI & other data-science technologies have simplified the stock trading workflow by enabling easy & real-time identification of complex trading patterns across varied markets. Besides, they have also reduced communication complexity and enhanced business processes & customer care interactions. Hence, the coming years are likely to be highly optimistic for AI in the stock trading industry.
|Study Period||Historical Data: 2017-20|
|Base Year: 2021|
|Forecast Period: 2022-27|
|Key Companies Profiled||Trading Technologies International Inc., Kavout, Auquan, GreenKey Technologies LLC, IBM Corporation, TrendSpider LLC, BlackBoxStocks, Inc., Imperative Execution Inc., Techtrader, Trade Ideas LLC, Imperative Execution Inc., and Looking Glass Investments LLC|
|Unit Denominations||USD Million/Billion|
The North America Artificial Intelligence (AI) in Stock Trading Market is projected to grow at a considerable CAGR during the forecast period, i.e., 2022-27, says MarkNtel Advisors in their research report. The market growth attributes principally to the capability of AI to gather & classify unbiased information, recognize stock patterns, and effectively perform stock analysis. Due to the increasing innovations in AI & machine learning, payment processors, banks, or other financial organizations are now able to detect fraud & make informed decisions accordingly.
Incorporating AI-based Chatbots into online trading platforms provides users with various services like frequently asked questions, faster access to real-time market estimates, account reports, notifications about active traders, etc. These Chatbots help users monitor loads of trading data pointers and execute transactions at preferred prices. They also enable human analysts to study the market with high accuracy and assist trading companies in efficiently alleviating risks to offer higher returns.
Besides, the surging requirements for customized trading solutions from credit unions, government banks, etc., coupled with the burgeoning integration of trading platforms on smartphones, are other crucial factors expected to drive the demand for AI in stock trading over the forecast years, further states the research report, “North America Artificial Intelligence (AI) in Stock Trading Market Analysis, 2022.”
Impact of Covid-19 on the North America Artificial Intelligence (AI) in Stock Trading Market
The outbreak of Covid-19 in 2020 severely affected most industries in North America, where the Artificial Intelligence (AI) in Stock Trading Market was no exception. Of all countries, the US observed significant volatility and higher stock market crashes due to the rapid virus spread, low income, and reduced resources, owing to the economic downturn.
Social distancing, movement restrictions, & lockdowns adversely affected the productivity of companies, which resulted in a substantial decrease in their revenue generation, higher operating costs, & lower cash flow challenges, thereby hindering AI investments in the stock market.
However, some data also cites that the adoption of AI in stock trading amongst banks & financial institutions might have surged since most banks believe that the pandemic has made AI & other data-science technologies crucial for the future. AI has provided an incredible approach to financial institutions through its implementation in stock trading to forecast stock prices. Extensive research has made it possible to apply AI & Machine Learning for predicting stock market volatilities & returns.
Moreover, the World Trade Organization is now prophesying global merchandise trade volume to grow 10.8% in 2021, up from the 8.0% forecasted in March, and followed by a 4.7% rise in 2022. Hence, it is likely to positively influence the North American stock market and drive the demand for Artificial Intelligence (AI) in Stock Trading in the coming years.