Jamie Dimon, chief executive officer of JPMorgan Chase, is planning his first visit to mainland China in 4 years because the American bank prepares to host three conferences in Shanghai at the tip of May.
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JPMorgan Chase is developing a ChatGPT-like software service that leans on a disruptive type of artificial intelligence to pick out investments for patrons, CNBC has learned.
The corporate applied to trademark a product called IndexGPT this month, based on a filing from the Latest York-based bank.
IndexGPT will tap “cloud computing software using artificial intelligence” for “analyzing and choosing securities tailored to customer needs,” based on the filing.
The viral success of OpenAI’s ChatGPT technology last 12 months has forced entire industries to grapple with the arrival of artificial intelligence. ChatGPT, which uses massive language models to create human-sounding responses to questions, has ignited an arms race amongst tech giants and chipmakers over what’s seen as the following foundational innovation.
The technology has a variety of possible uses in finance. Banks including Goldman Sachs and Morgan Stanley have already begun testing it for internal use. That features ways to assist Goldman engineers create code or answer Morgan Stanley financial advisors’ queries.
First mover?
But JPMorgan stands out as the first financial incumbent aiming to release a GPT-like product on to its customers, based on Washington D.C.-based trademark attorney Josh Gerben.
“This can be a real indication they may need a possible product to launch within the near future,” Gerben said.
“Corporations like JPMorgan don’t just file trademarks for the fun of it,” he said. The filing includes “a sworn statement from a company officer essentially saying, ‘Yes, we plan on using this trademark.'”
JPMorgan must launch IndexGPT inside about three years of approval to secure the trademark, based on the lawyer. Trademarks typically take nearly a 12 months to be approved, because of backlogs on the U.S. Patent and Trademark Office, he said.
The applications are typically vaguely written to offer firms the broadest possible protections, Gerben said.
But JPMorgan’s filing does specify that IndexGPT uses the identical flavor of A.I. popularized by ChatGPT; the bank plans to make use of A.I. powered by “Generative Pre-trained Transformer (GPT) models.”
“It’s an A.I. program to pick out financial securities,” Gerben said. “This sounds to me like they’re attempting to put my financial advisor out of business.”
JPMorgan declined to comment for this text.
Middlemen fears
Financial advisors have long feared the arrival of technology ok to displace their role in markets. Those fears have largely yet to materialize.
Wealth management firms, including Morgan Stanley and Bank of America’s Merrill, offer easy roboadvisor services, but that hasn’t stopped their human advisors from gathering billions of dollars more in assets.
Earlier this week, executives at JPMorgan touted their progress in applying A.I. across operations at the corporate’s annual investor conference.
The bank, which employs 1,500 data scientists and machine-learning engineers, is testing “numerous use cases” for GPT technology, said global tech chief Lori Beer.
“We couldn’t discuss A.I. without mentioning GPT and huge language models,” Beer said. “We have recognized the facility and opportunity of those tools and are committed to exploring all of the ways they will deliver value for the firm.”
