StockTrak Implements AI to Help Students Build & Analyze Their Portfolios

We are thrilled to announce the completion of Phase 1 in our integration of artificial intelligence to assist students in building better investment portfolios. This innovative feature, the AI Wealth Wizard, is designed to provide an interactive and educational experience for your students.

How It Works

To enable this feature, simply select it when setting up your class parameters. Participation is entirely optional, and if you choose not to include it, it won’t be activated.

If the student does NOT own any stocks, our Wealth Wizard will open a dialogue box and start asking a series of questions to see what type of portfolio (risk level, dollar amount, number of stocks, industries, dividend yield, etc) the student wants to build.
If the student owns stocks, our Wealth Wizard will offer to give the student an analysis of the portfolio.

Here’s More Specifics on How it Works

If enabled, when a student has yet to make a trade, they will see our Wealth Wizard spinning on the Stock Order page.

If the student hovers over the Wealth Wizard, he will introduce himself and ask if the student needs help. Once the student clicks, then a dialogue box will open and the Wealth Wizard will start asking a series of questions such as:

How much money do you want to invest today?
How many stocks would you like to buy today?
How many different sectors would you like to invest in?
Chose one or more sectors you want to give more weight to…
What is your risk tolerance level?
Are you targeting a certain dividend yield?

How It Integrates with ChatGPT

Based on the answers to these questions, the StockTrak Wealth Wizard will then craft a very specific question the student can then copy and paste into their favorite AI platform like ChatGPT.

We have selected these questions very carefully as we believe ChatGPT will respond with a very articulate and well-crafted answer that includes the rationale for the answer.

We believe the series of questions that our Wealth Wizard asks are in themselves an educational and thought provoking for the students. And we believe that ChatGPT tends to give excellent answers to the questions.

A Specific Example

For example, here is a question that our Wealth Wizard might prompt:

Build a portfolio of $50000 of 10 stocks in 6 different sectors with more weight in the energy, industrials, financials, information technology sector(s). The stock recommendations should have moderate risk, a 1% dividend yield and all be publicly traded companies on one of the major US stock exchanges. Provide the percentage to be invested in each stock. Ensure the total percentage sums to 100%. Allocate higher percentages to the preferred sectors as specified.

And here is a typical ChatGPT answer:

Creating a balanced portfolio with a focus on energy, industrials, financials, and information technology while ensuring moderate risk and a 1% dividend yield involves selecting stocks from these sectors and distributing the investment accordingly. Here’s a recommended portfolio allocation:

Portfolio Allocation

Energy Sector (25% of total portfolio)

Exxon Mobil Corporation (XOM)

Allocation: 12.5%

Rationale: A leading energy company with a stable dividend yield.

Chevron Corporation (CVX)

Allocation: 12.5%

Rationale: Another major player in the energy sector, known for its strong financials and dividend payments.

Industrials Sector (20% of total portfolio)

General Electric Company (GE)

Allocation: 10%

Rationale: Diversified industrial company with a history of steady performance.

3M Company (MMM)

Allocation: 10%

Rationale: Strong presence in industrials, known for innovation and reliable dividends.

Financials Sector (20% of total portfolio)

JPMorgan Chase & Co. (JPM)

Allocation: 10%

Rationale: One of the largest and most stable financial institutions in the US.

Goldman Sachs Group, Inc. (GS)

Allocation: 10%

Rationale: Renowned for its financial services and investment banking, offering stable returns.

Information Technology Sector (20% of total portfolio)

Apple Inc. (AAPL)

Allocation: 10%

Rationale: Leading tech company with strong financials and consistent performance.

Microsoft Corporation (MSFT)

Allocation: 10%

Rationale: Tech giant with a robust dividend yield and growth potential.

Consumer Discretionary Sector (7.5% of total portfolio)

Home Depot, Inc. (HD)

Allocation: 7.5%

Rationale: Major retailer with a reliable dividend yield and solid performance in the consumer discretionary sector.

Health Care Sector (7.5% of total portfolio)

Johnson & Johnson (JNJ)

Allocation: 7.5%

Rationale: Leading healthcare company known for its stability and dividend yield.

Summary of Allocations

Energy: 25%

Exxon Mobil (XOM): 12.5%

Chevron (CVX): 12.5%

Industrials: 20%

General Electric (GE): 10%

3M (MMM): 10%

Financials: 20%

JPMorgan Chase (JPM): 10%

Goldman Sachs (GS): 10%

Information Technology: 20%

Apple (AAPL): 10%

Microsoft (MSFT): 10%

Consumer Discretionary: 7.5%

Home Depot (HD): 7.5%

Health Care: 7.5%

Johnson & Johnson (JNJ): 7.5%

This allocation ensures a balanced approach with a focus on the specified sectors while also including stocks from other sectors to diversify risk. Each selected stock has a track record of moderate risk and provides a dividend yield of around 1% or higher, aligning with your investment criteria.

This allocation ensures a balanced approach with a focus on the specified sectors while also including stocks from other sectors to diversify risk. Each selected stock has a track record of moderate risk and provides a dividend yield of around 1% or higher, aligning with your investment criteria.