Business View Magazine l November 2022

129 BUSINESS VIEW MAGAZINE VOLUME 9, ISSUE 11 with simple concepts. Aferiat says, “If these variances are statistically different or acting unusual, we start to pay more attention and investigate.” An example that Aferiat gives for these variances is, “If Apple has a certain typical amount of volume by 11:03 am eastern time, but today that accumulated volume is significantly higher, the software will start to pay attention. This happens for every stock on the market.” The software visually informs subscribers about price and volume volatility above or below standard deviations. It then crunches the data and presents information to decide whether to invest in a trade or opt-out of it. The second part of that process is unique to Trade Ideas. When clients receive these notifications, they will be able to review the entry price, profit target, and exit or stop loss. These factors act as a guardrail and give subscribers the confidence to make solid decisions. In the background, the AI takes all these statistically significant events and tests about 60 strategies using an optimization algorithm overnight. The following day the top performing 6 or 7 strategies are presented and used to scan the market, improving the AI and the client’s choices. “The AI acts like a coach reviewing a baseball team’s lineup, accounting for the players’ health, performance, and hot streaks before making their selection. The AI fields the 6 or 7 scenarios that will look for short-term opportunities and even track over the long term, the performance of its choices,” says Aferiat. Tapping into this optimization algorithm and unique visualizations are the biggest keys to making favorable decisions. According to Aferiat, there are four outcomes from trading: small loss, small win, big loss, or big win. The only outcomes Trade Ideas is trying to avoid are big losses, and with its AI, it can direct users to avoid these situations. In events like Brexit, which was a cataclysm that happened overnight, the AI will simply suggest nothing - as nothing met its criteria. Trade Idea’s core demographic using the product is active investors. These active traders have provided the company with many beautiful stories, from individuals looking to supplement their income like a photographer in Florida who has seasonal work and survives by trading. Another individual is a young active trader looking to open an inner-city soccer academy one day. Succeeding in any business can not be achieved in isolation. Trade Ideas has been fortunate to work with the best online retail brokers, like Scottrade, E-Trade, and Interactive Brokers. And the company is always on the lookout for new partners. “If anyone is looking to provide their brokerage clients with engaging content and insights, we can assist in spades,” says Aferiat. For online retail brokers, the world of trading changed as commission-based trading dried up as a revenue source. Many brokers offer commission-free trading, and seek out traders who consistently make better decisions. This means such clients need the best information they can get. “This need for brokerage clients to save time and consistently perform has played into our hands at Trade Ideas,” says Aferiat. Another key company demographic is millennials, who have very little faith in investments. Millennials have lived through a financial era of extreme volatility compared to the “bull market” of the 90s and early 00s. This means encouraging them to take the plunge with better information. TRADE IDEAS