The Japanese investment giant is interested in deciphering the applications of quantum computing on asset management services.
More specifically, Nomura will collaborate with Associate Professor Masayuki Ozeki, to see if quantum computing can be applied in the process of optimization of the asset management space, in an effort to improve efficiency and ultimately profitability.
Moreover, Nomura intends to run some testing on a quantum computer called D-Wave, which is manufactured by D-Wave Systems, a company based in Canada.
The testing is aimed at improving the performance of investment portfolios, as well as potentially providing future price predictions of stocks and other financial assets.
The D-Wave machine is able to perform high-speed calculations, at speeds that far exceed those of standard computers.
The goal of applying this technology to the investment decision making process, is to see if the allotment of stocks selected by the machine are able to improve efficiency and accuracy, as well as to enhance the overall bottom line of a portfolio’s success.
As previously reported by Finance Magnates, Nomura has been testing and developing artificial intelligence, in an effort to induce new forms of technological advancements that can be applied to investments, trading and asset management.
The company plans on incorporating AI for the purpose of improving decision-making in the financial investment space.
Nomura has been focusing a great deal of effort on improving its technological capabilities. In today’s age, it is imperative to stay ahead of the technological curve, as it often can help to improve operational functions across many industries.
In an effort to create its own competitive advantage, Nomura placed a great deal of emphasis on technology and advancement, by opening a new innovation office, with the intention of conducting research in fintech and other technologies that can help to improve the company’s efficiency.
Nomura also launched a new fintech partnership in India in April of last year. This program was also created with the purpose of researching and improving the company’s technology and fintech capabilities.