JPMorgan Tests AI Investing Agents That Beat 60/40 by 0.7pp

Researchers at JPMorgan Chase & Co. have built a group of AI investing agents that shift allocations between stocks and bonds according to market conditions, and in backtests spanning more than two decades the top system outperformed the traditional 60/40 portfolio by 0.7 percentage points annually. The effort marks a step beyond using AI to assist with stock picking or risk management, toward testing whether a model can allocate money itself.