ALL THINGS BIG AND SMALL 2.0

THE HUMANIZATION OF ROBOTS AND ARTIFICIAL INTELLIGENCE As robots and artificial intelligence (AI) become increasingly prevalent in human society, there is a trend to make them look , talk, think and behave more like us i.e. make them unto our image.  AI software already show some  human traits. Here are a few examples: ROBOTS DO DREAM One of the latest techniques in AI called Deep Learning Neural Networks [DLNN] (commonly used in machine vision, speech recognition and search) is actually capable of dreaming. While other AI has to be fed data for input, DLNN is also capable of generating some of its own input data and has its own ideas of what an object should look like. This it does by entering into a dream-like state. You can view some artistic/hallucinatory/horror/Salvador Dali-like dreams of DPNN contributed by Google’s AI Group at http://thenewstack.io/deep-learning-neural-networks-google-deep-dream/  ROBOTS LEARN LIKE YOUNG CHILDREN A...

A Common Sense Valuation Comparison of Global Equity Markets * and the relevance for quantitative (algorithmic) Mean Reversion startegies # click on image to see bigger Table Table 1: Worksheet Table 2: Earnings-based Table 3: Dividends-based ·          Each country’s financial markets have their own characteristics and peculiarities so comparing them with a global average of Price/Earnings, Price/Book etc  is meaningful. ·          Because of the loose money policy (Quantitative Easing) by the major economies (Eurozone, USA, Japan, even China in some ways) in the recent years, leading to low interest rates, there is a tendency for financial asset bubbles to arise, caused by excess funds chasing yields. ·          The interplay between the Bond market and Equity market is an often underrated  factor in determining the directi...