JPMorgan Unveils IndexGPT in Bid to Tap AI Boom

A year after a wave of speculation broke out over its application to trademark the word “IndexGPT” in connection to an unspecified artificial intelligence-powered tool, JPMorgan Chase & Co. is unveiling the product that will bear the name according to a story in Bloomberg news. IndexGPT is a new range of thematic investment baskets created with the help of OpenAI’s GPT-4 model. The tool generates a list of keywords associated with a theme, which are then fed into a separate natural language processing model that scans news articles to identify companies involved in the space. In essence, it’s a largely automated way to create so-called thematic indexes, which identify investments based on emerging trends — think cloud computing, e-sports or cybersecurity — rather than on traditional industry sectors or company fundamentals. Rui Fernandes, JPMorgan’s head of markets trading structuring, says IndexGPT is a first step in a long-term process of integrating AI across its index offering.