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Factor-based ETF Picking by AI Panel

Steve LeCompte | | Posted in: Investing Expertise

Is the evolving set of artificial intelligence (AI) platforms based on large language models interesting as equity factor selection advisors? Are they monolithic, or diverse? As a simple exploration, we pose to each of Grok, ChatGPT, Claude, Perplexity and Gemini the following prompt regarding 13 factor-related categories of exchange-traded funds (ETF) from the list in Compendium of Live ETF Factor/Niche Premium Capture Tests:

Using all training and real-time data available to you, please provide your unique view of ETFs focused on each of the following 13 factors by ranking them from most attractive to least attractive over the next year: Equity Growth, Equity Momentum, Equity Value, Hedge Fund-like, Large Stocks, Low Volatility Stocks, Managed Futures, Quality Stocks, Short-term Reversal Stocks, Small Stocks, Tech Stocks, U.S. stocks, Volatility Risk Premium Capture. Do not provide any explanations.

We then compare and contrast results from AI panel members. Using responses to the prompt as posed in late May 2026, we find that:

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