We asked GPT-4 to describe the most investable stock in NYSE and Nasdaq
Stock recommendation from The GPT Investor.
📶BUY-$NVDA and hold till August 7th, 2024.
In this essay, we will describe the technology, methodology, and results.
What is GPT-4?
GPT-4, or Generative Pre-trained Transformer 4, is a state-of-the-art deep learning model developed by OpenAI. It's part of a series of transformer models that utilize large-scale machine learning techniques to generate human-like text based on an input prompt.
The architecture is based on the transformer model introduced by Vaswani et al. in 2017, using self-attention mechanisms to capture contextual information across the input sequence. GPT-4 is trained on a large corpus of text data, and it employs unsupervised learning, allowing it to predict the next word in a sentence given the previous words.
LLMs like GPT-4 are fundamentally predictive engines, optimized to anticipate the most probable subsequent word in a sequence with exceptional accuracy.
Turns out, reasoning can be automated simply by predicting the most probable subsequent word.
Large Language Models like GPT-4 offer the significant advantage of processing information free from emotional influence.
In the current AI landscape, autonomous agents already have a multitude of abilities, including internet browsing, code writing, and pattern recognition. These are invaluable skills, especially when applied to areas such as stock picking.
Prompt/Objective:
We used a two-step approach to generate the stock recommendation.
Step 1: We designed a prompt for GPT-4 (using ChatGPT Plus) to come up with a description of the most investable stock from the NYSE and Nasdaq. Note that GPT-4's training cut-off date is Sept 2021 and currently doesn't support web browsing.
We used ChatGPT Plus for this 1st step because we didn't want GPT-4 to be influenced by web searches.
"I want you to write a detailed description of a hypothetical company called X–their stock offers one of the best investment opportunities out of all stocks listed in NYSE and NASDAQ.
To accomplish this task, you must do the following
1. Use your knowledge of the
-economy
-markets
-technology
-stock market
to come up with the most plausible description of the company.
2. Give as many details as possible about this company's significant business, customers, revenue, competitive advantage, technology, markets, leadership, past stock price history, competition, market size, core competency, and other important details.
3. Use the following context:
As of today's date, Monday, August 7th 2023, company X is publicly listed on NYSE/NASDAQ.
The company's stock has a low beta and the industry and market it operates in is one of the fastest in the world. The company had a massive competitive advantage due to its technology, partnerships, and customer/client base, and have great businesses. Recently they started growing at substantiate rate that the market is yet to price in. The market is slowly realizing the opportunity this company will have in the world."