Kaiju ETF Advisors announced the launch of BTD Capital Fund, an AI-driven actively managed ETF.
By harnessing the power of big data and artificial intelligence, the company “believes it has eliminated the guesswork in finding dips.”
While most ETFs track indices or sectors, DIP seeks “to capitalize on quick-return opportunities in the market — no matter where they are or market conditions.” The company’s AI “identifies dips, initiates buys, and then instructs when to sell rebounded shares in short order — replacing a significant portion of the ETF’s holdings every day.”
The AI behind DIP “accounts for more than 25 factors — applying scientific methods to a volume of data on a massive scale — in an effort to optimize trading decisions for short-term gain.”
Ryan Pannell, CEO of Kaiju ETF Advisors, said:
“Buy the Dip (BTD) is a simple concept — purchase an asset when it’s oversold, then sell when its value bounces back. Our proprietary algorithm is the basis for an AI that can identify authentic dips in nanoseconds. And now we’re making that technology available to everyone.”
DIP’s investment strategy is designed “to operate efficiently in all market conditions.”
DIP’s AI does this “by searching for needles in the haystack (the entirety of the S&P 500 and Nasdaq 100): its goal is to identify and capitalize on short-term buying opportunities, and then sell once the equity increases in price.”
While there may be fewer opportunities in a downturn, DIP’s AI was “built with the goal of finding true dips in individual stocks, which can occur regardless of the overall market performance.”
Pannell said:
“What we’ve built takes this type of systematic trading to a new level because its goal is to identify those needle-in-a-haystack opportunities by parsing data at a rate that exceeds human ability.”
DIP’s AI is “a collective of computational systems based on state-of-the-art machine learning techniques, which leverages ongoing and emerging peer-reviewed research from academia and the financial industry.”
Each of these systems is “trained on more than 15 years of intra-day market data and contributes to the generation of the entry and exit signals for potentially lucrative opportunities while simultaneously determining how to control and mitigate risk.”
As noted in the update, Kaiju ETF Advisors is “a diverse group of physicists, mathematicians, financial behaviorists, data scientists and analysts, cryptographers, and computer programmers blending their knowledge of the markets with the power of AI — and making it available to everyone.”