Baloise Asset Management has taken a stake in a German startup specializing in the data management and artificial intelligence. The move is a first for the asset management arm of the Swiss insurance group.
The asset management division of Swiss insurer Baloise has bought a stake in Brainalyzed Finance, the company said in a statement on Thursday. The company didn't specify how much of the company it has bought. The stake is worth about one million Swiss francs ($1 million).
Brainalyzed is active in machine learning and artificial intelligence and specializes in analyzing time series and working with large data volumes. Baloise decided to take a stake after a successful two-year partnership and first-hand experience with swarm-based artificial intelligence.
Intelligence Gathered From Analyzing the Weather
Baloise Asset Management is incorporating the findings from the joint projects into its day-to-day business. In taking a stake in Brainalyzed, Baloise Asset Management expects that the fintech will get access to resources it would otherwise find difficult to access.
Brainalyzed is based in Bad Bramstedt in Germany. It started it business with the analysis of weather data and the influence it has on wind power. Today, the company evaluates the fluctuation of risks in the financial market. It uses the information it gleans from the data to signal when a specific portfolio allocation ought to be altered and thus helps to optimize the securities’ research at Baloise Asset Management.
Machine Learning in Asset Management
Baloise Asset Management was founded in 2001 and manages about 65 billion Swiss francs. The company is systematically applying principles of machine learning and artificial intelligence for the management of assets belonging to third parties.
Over time, Baloise will also apply the tools provided by Brainalyzed for non-traditional financial products such as alternative investments, said Stephan Kamps, head portfolio management at Baloise Asset Management in a an interview with finews.com. «Brainalzyed has already provided us with new methods for the optimization of our equity research.»
Part of the Wider Baloise Ecosystem Strategy
Taking a stake in the German startup is a first for the asset management arm of Baloise. Baloise Group has invested about 50 million francs in various startups through a venture fund called Anthemis Investments. Examples of such fintechs are Omnius, Stable and Insurdata.
The strategy aims at creating ecosystems, where consumers can choose from a wide variety of services and to thereby tap into new client groups.
