JPMorgan Tests AI Agents That Allocate Money on Their Own

Researchers at JPMorgan Chase & Co. have built AI agents that autonomously shift money between stocks and bonds as market conditions change, with the best-performing system beating the traditional "60/40" portfolio by 0.7 percentage points annually in backtests spanning the past two decades. As investors increasingly use AI for stock picking and risk management, the bank is exploring a more ambitious use: letting a model allocate money itself.