MSCI hypercharges GenAI capability with Google Cloud

Global investment researcher and wealthtech developer MSCI will extend its existing partnership with Google Cloud to accelerate the development of Generative AI (GenAI) solutions, including new tools to support portfolio managers in more effectively acting on risk signals, boosting portfolio resilience, and improving client interactions.

As part of the deal, MSCI will leverage Google Cloud’s Gen AI platform Vertex AI – a cloud-based, customisable platform providing workflows for building, training and deploying machine learning models.

Google recently announced a series of upgrades to its Vertex AI platform, including updated AI models for text, image and code generation, as well as new third-party models and extensions that enable developers to incorporate company data and take action on a user’s behalf.

As well, MSCI will make use of Google’s BigQuery Geospatial and Earth Engine tools to help customers measure climate-related risk.

The MSCI-Google Cloud partnership will focus on three key areas:

Risk Signals: Google Cloud’s Gen AI solutions will tap MSCI’s proprietary data and analytics to provide an overview of portfolio and enterprise level risk. MSCI said this new capability will “significantly reduce the time clients need to analyse and arrive at actionable insights” and help in building more resilient portfolios.

Conversational AI: Google Cloud’s gen AI, which leverages natural language processing, will also power MSCI’s new conversational AI solution for its portfolio and risk management solutions. This self-help capability enables clients to quickly answer questions and surface information about their portfolios and MSCI data, models, and solutions.

Climate Generative AI: Google’s Gen AI technologies will help investors measure and manage portfolio exposure to climate risk and identify low-carbon investment opportunities. This capability, MSCI said, “will make it easier for investors to identify, synthesise, and communicate the broad range of climate exposures across asset classes”.

Recognising the need to tap the latest developments in Gen AI, MSCI chair and chief executive Henry Fernandez said: “The AI revolution has led to rising expectations among companies and investors, who want faster access to higher-quality data, analytics, and actionable insights.”

“Expanding our partnership with Google Cloud will help MSCI address these needs while keeping us at the forefront of advanced data technologies. It will also help us provide new solutions for investors working to decarbonise their portfolios.”

MSCI’s chief technology officer Jigar Thakkar added that while the company has been utilising AI technologies “for years”, the steady advancement in generative AI “has jump-started a revolution in our industry”.

“We are excited to collaborate with Google Cloud to accelerate the development of generative AI solutions, which will aim to offer investors deeper data-driven insights, enhanced decision-making capabilities, and accelerated portfolio implementation.

“With the power of generative AI and LLMs, we are advancing towards our commitment to help investors build better portfolios with enhanced insights.”