AI and the SEC: 6 Steps to Get Ahead of the AI Rule
November 1, 2023 | TIMELY PM UPDATES
Beaumont Capital Management, LLC is registered with the Securities and Exchange Commission (SEC). Registration does not imply any specific skill or training and does not constitute an endorsement of the firm by the commission.
This material is provided for informational purposes only and does not in any sense constitute a solicitation or offer for the purchase or sale of securities nor does it constitute investment advice for any person or a recommendation to take any action. Investment themes and individual securities mentioned may or may not be held in any or all client accounts. The views expressed are subject to change based on the market and other conditions. The information presented in this report is based on data obtained from third party sources. Although it is believed to be accurate, no representation or warranty is made as to its accuracy or completeness.
The commentary included is the opinion of the author and subject to change at any time. Any reference to specific securities, investments or strategies is for illustrative purposes only and is not intended as investment advice nor are they a recommendation to take any action. Past performance is no guarantee of future results.
As with all investments, there are associated inherent risks, including principal risk. Stock markets, especially foreign markets, are volatile and can decline significantly in response to adverse issuer, political, regulatory, market, or economic developments. Sector and factor investments concentrate in a particular industry and the investments’ performance could depend heavily on the performance of that industry and be more volatile than the performance of less concentrated investment options and the market as a whole. Securities of companies with smaller market capitalizations tend to be more volatile and less liquid than larger company stocks. Smaller companies may have no or relatively short operating histories or be newly public companies. Some of these companies have aggressive capital structures, including high debt levels, or are involved in rapidly growing or changing industries and/or new technologies, which pose additional risks. Investing a substantial portion of a strategy’s assets in related industries or sectors may have greater risks because companies in these sectors may share common characteristics and may react similarly to market developments. Foreign securities are subject to interest rate, currency exchange rate, economic, and political risks, all of which are magnified in emerging markets. The risks are particularly significant for ETFs that focus on a single country or region. The ETF may have additional volatility because it may be comprised significantly of assets in securities of a small number of individual issuers. Fixed income securities are subject to credit, inflation and interest risks, among others. Diversification does not ensure a profit or guarantee against a loss.
ETFs trade like stocks and are subject to investment volatility and the potential for loss. The principal amounts invested in ETFs are not protected, guaranteed or insured. An Exchange Traded Fund (ETF) is a security that tracks an index, a commodity or a basket of assets like an index fund, but trades like a stock on an exchange. ETFs experience price changes throughout the day as they are bought and sold.
There is no guarantee that the investment objectives will be achieved.