Tiger Brokers announced the integration of DeepSeek's advanced artificial intelligence model, DeepSeek-R1, into its AI chatbot, TigerGPT.
According to Reuters, this move is part of a broader trend among Chinese brokerages and fund managers to leverage AI technology, which is expected to significantly reshape China's financial industry.
The adoption of DeepSeek's technology by Tiger Brokers, an online brokerage with backing from Xiaomi (OTC: XIACF ) and Jim Rogers (NYSE: ROG ), follows the company's rapid ascent that has taken Silicon Valley by surprise.
The integration is anticipated to change how financial firms conduct research, manage risks, make investment decisions, and interact with clients. Over 20 Chinese financial institutions, including Sinolink Securities, CICC Wealth Management, and China Universal Asset Management, are also incorporating DeepSeek models into their operations.
Wu Tianhua, the CEO of Tiger Brokers, expressed confidence in the impact of DeepSeek's AI, stating it is a tangible change rather than a mere concept or marketing ploy. He emphasized that DeepSeek would enable customers to analyze valuations, make trading decisions, and appreciate the investment process more deeply.
UBS analyst Haifeng Cao predicted that AI adoption would increase financial IT spending by 24%, which translates to an additional 69 billion yuan ($9.49 billion) over the next five years. The beneficiaries of this growth are expected to be technology vendors like Hundsun Technologies Inc, Northking Information Technology Co, and iSoftStone Information Technology (Group) Co.
The Chinese Fintech sector has already felt the effects of these developments, with an index tracking the performance of fintech companies in China surging 17% this month, nearing record highs.
Tiger Brokers' enhanced investment assistant, TigerGPT, will initially be offered for free to users in mainland China and Singapore. The upgraded AI capabilities are designed to improve logical reasoning, enabling more precise market analysis and interpretation of investment opportunities.
Other financial firms, such as Sinolink Securities and CICC Wealth Management, have begun utilizing the DeepSeek model for various applications, from market analysis to investment advisory services, with CICC noting a potential 90% increase in information processing efficiency. Meanwhile, Zhongou Fund Management is addressing the challenge of standardizing internal databases to feed AI models, recognizing the potential of AI to unlock the value of vast data repositories.
The integration of AI in the financial sector is not only changing the landscape of investment and risk management but also prompting rapid strategic discussions within companies eager to harness the power of DeepSeek's models for internal management, marketing, and investment activities.