Macquarie's traditional model beats AI for Cup winner
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More news: Macquarie's traditional Melbourne Cup model has proven on the money, backing the winner with its top pick, Without A Fight. The bank's AI-assisted PunterGPT's top pick, Gold Trip, finished 17th, although it did have Without A Fight as its second pick (each model tipped six favoured horses).
Macquarie's AI each-way bet on Melbourne Cup winner
The news: Macquarie Group analysts have hedged their bets this year in their annual effort at picking the winning horse in Tuesday’s Melbourne Cup.
The numbers: Macquarie's quants picked six potential winners each using their traditional model as well as an AI-inspired picks. The traditional traditional numbers-focused model's top pick was No.3, Without a Fight; while the AI-generated top candidate was No.1 Gold Trip. No.7, Absurde, was also among both models' favoured six.
The context: The quant analysts this year combined their traditional model - which uses five factors (value, momentum, sentiment, quality, innovative data) with a natural language processing AI assistant - termed PunterGPT - which was asked questions such as: why a horse couldn’t win, and what experts were focussing on or missing.
“The advent of LLMs has opened up new possibilities for enhancing capabilities in our industry and many others. As you can imagine, we struck up a close friendship with PunterGPT and agreed to try our luck once again, analysing the race that stops a nation,” the analyst team said in a light-hearted note.
The source: Macquarie Research
