New AI stock trading platform RISE pledges to bring the big profits of Wall Street to the everyday consumer through the power of artificial intelligence
RISE is a new AI stock trading platform that’s helping the public invest like the professionals.
Formed in 2012, the Munich company claims to be democratising stock trading by bringing the artificial intelligence technology, which is traditionally reserved for an elite few within the finance industry, to the masses and allowing users to invest as little as £1 at a time.
So far, RISE has attracted 100,000 users through their app with 10,000 users in the UK.
Stefan Tittel, CEO of RISE Wealth Technologies, explains how the company’s AI can outperform the market and give people a helping hand in their investments.
What is RISE?
We knew that a lot of people could be profiting from the benefits of artificial intelligence so the idea was to give professional investors and everyday consumers the opportunity to harness the power of proven, scientifically-orientated software.
Our technology, which includes both a trading app and a dividend-paying security token, enables anyone to invest as little as £1 to grow personal savings by harnessing world-class AI and machine learning trading algorithms.
What advantages does AI stock trading have over humans?
AI-powered automated trading can detect market anomalies, inefficiencies and price movement patterns more effectively than a human, meaning it is well suited to volatile markets such as trading commodities and cryptocurrencies.
Artificial Intelligence algorithms are able to avoid high-risk margins and the inefficiencies of human error, which is another major advantage.
Essentially, this type of trading scraps the human “gut instinct” and replaces it with facts and data-based intelligence, meaning the whole process is streamlined.
The big advantage is that AI-trading enables everyday consumers to trade like the elite, something which has not been traditionally possible.
What is your business background?
I’m a serial entrepreneur in the fintech sector and have now branched into the blockchain, crypto and bitcoin space, having successfully managed the full life cycle of several ventures.
I’ve always been fascinated by disruptive technologies, particularly in the business-to-business transaction networks sector.
My ambition was always to offer disruptive technologies to the market, pairing this with industries that had high potential.
Another couple of companies I founded include Traxypay, a real-time blockchain-based payment platform and Masterpayment, an online payment and working capital finance provider.
RISE is my latest venture and is a software technology company that uses machine learning and algorithmic trading systems.
RISE’s AI-powered trading technology puts the power of Wall Street’s best financial and quantitative analysts into the hands of everyday investors.
Where did the idea for RISE come from?
After selling my first company, I was looking for a smart way to invest my capital.
As a software entrepreneur, I knew the answer had to be in technology and that it must be possible to create a self-learning, automated system that consistently makes money on the financial market.
This sparked the idea to use AI for optimising investment strategies – it was the only way to make this possible.
In seven years of research, we developed multiple separate trading strategies for both the traditional financial as well as crypto markets, which have been delivering returns for our clients for years.
As a strong believer in crypto and blockchain technology, it’s paradise for me as an entrepreneur, navigating a radically new market with huge disruption potential.
In what way is RISE a better way for investors to trade?
Our technology has been proven through years of testing and has had generated incredible results.
We’ve consistently generated higher profits than standard investment approaches, beating the DAX performance index by over 300% between 2015 and 2017.
Also in 2018, despite the general turbulence on the global financial markets, our equity-oriented, as well as crypto trading strategies, have so far developed excellently.
Our two crypto focused strategies are up by 13% and 46% this year.
Thanks to this, such technology is completely shaking up the traditional trading sector, crypto markets and financial services in general.
Do customers get a choice for investments?
RISE enables users to invest in traditional markets, such as commodities or equities, and also in cryptocurrencies, such as Bitcoin.
Within the app, there are over 20 crypto exchanges and a huge variety of investments which customers can choose from.
RISE uses a combination of human expertise, big data and advanced machine learning algorithms. Once the parameters are set, they are then optimised and validated by machine learning techniques.
The creative process of generating trading strategies, which often involves a lot of coding and an unpredictable timespan, is automated so thousands of strategies can be generated and validated in a short period of time.
What percentage of profits go to RISE versus the amount users receive?
Our tokens are very unique in that it will pay our token holders quarterly dividends as part of the smart contract.
Investors will be entitled to a 20% share of all algorithm licensing revenues.
What are the risks involved with AI stock trading through RISE?
As with any investment, using AI stock trading is not guaranteed to generate profit and this method is directly impacted by market conditions, as with any investment.
To minimise uncertainty, risk management becomes even more crucial and this in fact starts with the design of the trading strategy.
Having a risk management process built into the algorithm and trading system becomes vital, as well as the more traditional methods of risk management such as quantitative analysis of market data and behavioural finance.
Can AI stock trading ever beat human insight?
The fact that this type of technology, which has traditionally been used by institutional investors and high net worth individuals, is now being made available to everyday consumers is a real game changer.
As with the adoption of AI in any industry, the best programmes take advantage of human expertise and environmental knowledge.
It’s clear that the role of humans in the trading sector has changed and will continue to evolve in the future.
For example, instead of interpreting and reacting instantaneously to data, the human role is more complementary and focused on ensuring sound judgements are made when it comes to high-risk trades now.
We’ll continue to see this partnership evolve not only in the trading sector, but across all industries as more and more firms adopt AI and machine learning.