We're Transforming Active Management.
At Turing, we’ve harnessed groundbreaking Machine Learning technology to redefine—and dramatically enhance—the definition of investment success. We’re elevating active management back to its former position of dominance.
Fueling the Future by Driving Innovation
Founded in 2016 by two world-class applied mathematicians who doubled as both innovators and entrepreneurs, Turing utilizes advanced technology aimed at reshaping the definition of investment success.
Turing is not an investment or advisory firm, but a technology and IP provider that embraces transformative innovation. Turing licenses our core technology and business applications to investment firms to enable them to build transformative, high-impact investment strategies.
Our Approach to Achieving Disruptive Innovation
To solve problems that had been previously deemed intractable by others, Turing deploys forward-leaning principles that have proven to be decisive.
Assemble
Assemble world class innovators and mathematicians among executives, Advisors, and consultants.
Access
Access industry-defying information advantages, data, and knowledge.
Learn
Learn from other industries that have successfully conquered massively complex challenges.
Rethink
Rethink the entire process, with a willingness to follow the data wherever it leads.
Breakthrough Technologies & Solutions
Our highest impact solutions include Hercules.ai, a real-time mutual fund replication technology that the broader industry felt was an impossible challenge (they were wrong, but thus the reference to Hercules), and Ensemble Active Management, or EAM, a critical improvement to active investment management, driving a new category of investing, based upon improved returns and stable performance.
Hercules.aiTM: A Mutual Fund Replication Engine
Hercules.ai is an integrated, security-level system that accurately replicates the real-time holdings and portfolio weights of virtually any equity mutual fund in the country, providing Turing with an unprecedented information advantage. As reference, based on Hercules.ai Turing is the first firm in history to know daily what stocks virtually every equity fund manager believes are best positioned to outperform.
- Hercules.ai has been in live operation since Turing’s founding in 2016, and the Hercules.ai Database currently holds years’ worth of replicated holdings of funds reflecting more than $4 trillion in fund assets, representing more than 95% of the industry’s actively managed US equity fund assets.
- Hercules.ai can accurately replicate more than 2,000 actively managed US equity mutual funds.
- The replicated results are remarkably accurate, generating a 99.4% correlation to the actual funds’ track records.
Based on the innovation and significance of Hercules.ai, Turing has been awarded membership in the AI FinTech 100 for three years running. This select membership, according to its sponsor, is offered to “The World’s Most Innovative AI Technology Companies in Financial Services.”
Ensemble Active Management (EAM)
Unquestionably, one of the most impactful (and positive) contributions to investors’ quality of life is to structurally improve investment returns. The industry at large has come to accept index-based investing as the “new standard” for investment returns, but Turing has shown that benchmark-level returns are simply a glass ceiling waiting to be broken through. The engine of change is EAM.
EAM portfolios approach the investment process differently than the ‘traditional’ model of one portfolio manager, one investment philosophy, one investment process. Instead, EAM incorporates two critical elements that are foundational for most of society’s most sophisticated technology solutions:
- Multi-engine platform
- Use of the Machine Learning tool Ensemble Methods.
For EAM, the “multi-engine platform” is translated to mean a foundational base of 10 – 12 actively managed mutual funds (that are then replicated to the holdings level through Hercules.ai). Ensemble Methods is then applied to generate a final EAM portfolio representing the “consensus best stock picks from 10 – 12 high quality managers.” EAM portfolios have been running on a live basis for five years now.
The Power of Ensemble AlphaTM
The structural performance advantage of EAM comes from the creation of a new source of investment value-add (i.e., investment ‘alpha’) that has never been available to the public before. This excess return emerges from the EAM methodology and process, and powered by Turing’s AI- and Machine Learning-based technology. Turing branded this additional source of investment return Ensemble AlphaTM.
Through massive industry studies as well as live portfolio returns, Turing has shown that Ensemble Alpha has the potential to add between 3% to 5% annually to investment returns. The implications for investors and the industry are profound.
EAM’s Performance Prowess
The earliest EAM strategies were launched in late 2018, with more than 70 currently available in the market. In these past 5 years, defying every standard expectation, live EAM strategies have emerged as the nation’s strongest lineup of actively managed stock portfolios. Stronger than BlackRock, stronger than Fidelity, stronger than Vanguard, and stronger than any of the hundreds of other fund firms offering active US equity.
The details of this accomplishment can be found in a recent press release: “Turing’s AI-Powered Ensemble Active Management Claims Mantle as Nation’s Strongest Lineup of Actively Managed US Equity Portfolios.”
Meet Our Team of Experts
Our team of experts in artificial intelligence, finance, and technology drives Turing's innovative approach to active strategy development.
Vadim Fishman
Vadim Fishman, an entrepreneur at the forefront of both the biological and financial technology revolutions, co-founded Turing Technology following his role as Head of Asset Management at Incapital. There, he advanced Holdings Recognition technologies and Risk Sensitive Investment Strategies. His prior ventures include founding IntelDM, Inc., which provided mathematical consulting for the biotech and financial industries, and co-founding Evolving Machines, LLC. Vadim holds an MS in Technology from Kharkiv Politechnical University and is proficient in numerous programming languages and software.
Robert Nestor, CFA
Robert D. Nestor offers over 30 years of asset management expertise, with pivotal roles in product development, commercial strategy, and technology integration in the financial technology sector. Before his tenure as President at Direxion, where he managed nearly $30B in AUM, Rob held leadership positions at Blackrock and Vanguard, contributing significantly to their ETF and mutual fund offerings. He holds an M.B.A. from Drexel University in Finance - Investment Management and a B.S. in Economics from the University of Delaware. An active member of the financial community, Rob is also a founding board member of the Philadelphia Chapter of Women in ETFs.
Alexey Panchekha, CFA
Alexey Panchekha brings a diverse background in academia, technology, and financial services to Turing Technology. With three decades of experience, he has developed expertise in nonlinear processes, software design, and financial risk management. His significant contributions include developing Equity Derivative Trading Technology at Goldman Sachs and creating a Portfolio Risk Management System for Bloomberg. Alexey, a CFA® charterholder, holds a Ph.D. in Physics and Mathematics from Kharkiv Polytechnic University. Now semi-retired, he continues as a consultant and passive investor at Turing.
Thought Leadership
Turing’s EAM strategies have been thoroughly analyzed and tested, in both in-market and academic settings.
EAM: How and Why AI-Powered Active Management Will Dominate Passive
Ensemble Active Management: AI's Transformation of Active Management (2024 White Paper)
