By Stefano Prandi
Over the past years, numerous seminars and conferences have been organized to encourage academic experts to delve deeper into the potential of Artificial Intelligence (AI) in Islamic finance.
Despite concerns among many government authorities, AI can significantly benefit our society when properly utilized. At AMGA Investments, since we began investing in this field, we have observed that AI features can greatly enhance operational and investment efficiency. In 2023, one of our targets, ISORK UK Ltd, developed a portfolio optimization software applicable to both conventional and Islamic finance investments.
MAIPO
ISORF launched a Multi-Purpose Artificial Intelligence Portfolio Optimizer (MAIPO), a stock-picking engine that operates based on various customizable market timing and stock-picking models, aiming for an optimal trade-off between profitability, total risk, and factor exposure. AI could enable Islamic banks to efficiently develop Sharia-compliant financial products while enhancing specific risk management functionalities.
