Quantum Intelligence: The Next Frontier of AI

Summary: Quantum Intelligence represents the synergy between quantum technologies and AI and offers novel ways ‍to tackle complex problems and optimize solutions. By integrating quantum-inspired methods and exploring quantum neural networks, we aim to push the boundaries of trading and stay at the forefront of both classical and quantum advancements.

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Our product is an AI-driven signal generation software that runs on GPUs and allows traders and portfolio managers to develop more efficient and risk-averse trading strategies today. At the same time, we are looking ahead to Quantum Intelligence, as the next frontier of AI.

What is Quantum Intelligence?

Quantum computing has revolutionized the concept of computation by leveraging principles fundamentally distinct from those governing classical computers. Unlike classical computers, which rely on bits to process information, quantum computers utilize qubits that exploit the phenomena of superposition and entanglement. This opens the door to new modes of computation. This paradigm shift has led to the development of several quantum algorithms, such as Shor's factoring and Grover's search algorithms, which demonstrate the potential to solve certain problems faster than classical counterparts. However, despite these promising advancements, discovering new quantum algorithms and identifying practical applications remains challenging. The complexities of quantum information, combined with the current limitations of large-scale quantum computers, make designing, implementing, and benchmarking novel quantum algorithms a complex task. Moreover, translating theoretically proven quantum advantages into real-world applications is difficult, primarily due to the imperfect nature of current quantum hardware. Consequently, the quest to uncover real-world quantum applications is not only a technical endeavor but may require rethinking how to approach the problem itself.

Parallel to the promise of quantum computing, Artificial Intelligence (AI) has ushered in another transformative wave in computation. AI offers practical solutions to a wide array of complex problems, from image recognition and natural language processing to autonomous driving and personalized medicine. However, AI's practical success often lacks provable theoretical guarantees, making it challenging to analyze using traditional complexity theory and worst-case performance algorithms. Machine learning systems derive their power from learning from data rather than following explicit, rule-based algorithms. Through techniques such as neural networks, reinforcement learning, and generative models, AI systems continuously improve by adapting to new information, identifying patterns, and making decisions based on experience. This self-learning approach enables AI to tackle problems that are difficult or even impossible to solve using traditional methods with provable guarantees.

Quantum Intelligence represents the synergy between quantum technologies and AI, creating agents enhanced with quantum capabilities to perceive their environment and optimize their actions. Such agents could employ a combination of quantum technologies for different tasks: quantum sensors to detect quantum effects, quantum communication to interact within distributed environments, parameterized quantum circuits as policy neural networks, quantum computers to simulate quantum systems, or quantum-inspired ideas executed on classical computers. Quantum Intelligence is the next frontier, where autonomous agents are equipped with the most powerful classical and quantum computational tools, allowing them to perceive their environments in the deepest possible way and find optimal solutions to complex computational problems.

Quantum Intelligent Solutions for Trading

So, how are we planning to take advantage of quantum information in trading? This is not an easy question to answer but our team has the experience and expertise to make it happen. We are preparing for the quantum future today. And here are some notes on how we are doing it. 

Quantum-inspired Methods

Through our experience with quantum information and machine learning, we have developed quantum-inspired methods that we use readily in our classical AI pipelines to improve performance and trainability. For example, using the connection between the orthogonal group and Fermionic quantum circuits, we can parametrize weight matrices in neural networks in a different way that ensures that the feature vectors are orthogonal and the gradients can be computed in the same time as in normal neural networks. Such orthogonal layers are beneficial in deep LSTM architectures and prevent vanishing gradients while training. In addition, notions of distances between quantum states can be used as new types of distributional losses to provide different models.    

Quantum Neural Networks

In the future, we are planning to incorporate quantum neural layers within our neural network architectures in order to add quantum models in our toolkit. Such quantum neural networks are trained in an exponentially large Hilbert state and can provide interesting models that can be used by themselves or in ensemble methods together with classical ones. Right now, quantum hardware is not ready for prime time. But our methods are getting stronger and we are collaborating with our quantum hardware partners in some of the most exciting large-scale demonstrations to date. Our product is ready to seamlessly take advantage of quantum technologies as they mature.  

Quantum models in Finance

We are also delving into novel theories about financial processes that can benefit from being described not with classical mathematics but using the quantum formalism, from path integrals, to particle dynamics, to quantum chaos. Our goal is make AI models that are aware of the mathematics that can be used to describe the underlined processes, and we believe quantum theory has a great role to play in this. 

Conclusions

As we mentioned earlier our current development efforts are on AI-driven solutions that run on GPUs and are enhanced with some quantum-inspired ideas. We are also quantum-ready and we will be pushing the state-of-the-art of quantum intelligence for trading both with the development of new quantum models and larger-scale hardware demonstrations.

Stay tuned to our progress by signing up for updates. 

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