The Quantum Algorithms Institute partners with AbaQus and InvestDEFY to improve financial predictive models with quantum computers

The partnership has already completed trial runs to perform feature selection for machine learning models using quantum computing systems. 

SURREY, BC, Nov. 12, 2024 /CNW/ - Today, the Quantum Algorithms Institute (QAI) announced a partnership with Canadian companies, AbaQus and InvestDEFY Technologies, to solve common challenges in training machine learning models for financial applications using D-Wave's quantum annealing systems.  

The partnership aims to tackle complex problems in financial forecasting and predictive analytics such as non-stationary data, model overfitting, and generalization. Progress in these aspects make financial machine learning more streamlined by eliminating unnecessary features in financial datasets, improving the speed and accuracy of financial forecasts.

The collaboration has successfully identified key feature analysis issues in machine learning model designs and reformulated them for execution on quantum computers. Test runs on D-Wave's quantum systems have already demonstrated useful results: 

• Optimized Feature Subset Selection: Preliminary tests indicate that quantum annealing can improve the identification of data or feature sets for model performance compared to some classical methods
• Reduction in Computational Time: The approach shows promise in reducing the time taken to evaluate large data sets, though precise metrics are still being established.  

"The financial industry deals with complex datasets, countless variables and market shifts, making it challenging to build more effective predictive models." stated Louise Turner, Chief Executive Officer at QAI. "Our collaboration with D-Wave uses quantum annealing to optimize 'feature selection'—identifying the most relevant data points to inform the predictive model more efficiently than existing solutions performed on classical computers." 

This ongoing partnership aims to showcase the potential of quantum computing in real-world financial modelling, leading to breakthroughs in how well financial prediction models work when data patterns change over time.

 "This collaboration allows us to bring quantum computing's power to an industry where every decision counts. By refining feature selection, we're helping financial models become both faster and more accurate," David Isaac, Co-founder and CEO of AbaQus Computing

"We are very excited to explore and incorporate quantum methods within our data science platform with the objective of improving predictive model performance" noted James Niosi, CEO of InvestDEFY.   

For more information about QAI, its work regarding quantum technology adoption, and how its resources could benefit your organization or industry, visit QAI's website. 

About Quantum Algorithms Institute (QAI) 

The Quantum Algorithms Institute is a collaboration between government, the academic community, and Canada's growing sector of quantum computing companies. The Quantum Algorithms Institute works with companies and academic institutions to help unlock the benefits of real-world applications of quantum solutions to increase quantum literacy and grow the quantum talent pool in BC As a non-profit organization with an inclusive approach across quantum technologies, the Quantum Algorithms Institute is your trusted source for stepping into the quantum future: making the adoption of quantum technologies accessible, tangible, and collaborative for everyone. 

About InvestDEFY: InvestDEFY is a leading data science and predictive derivatives analytics platform company. We apply deep trading and market expertise with applied AI to power alpha, edge and strategy performance for our partners.  

For more information, visit www.investdefy.com 

About AbaQus Computing 

AbaQus Computing empowers financial institutions to harness the capabilities of quantum computing to tackle complex challenges in risk management, optimization, and predictive analytics. Specializing in quantum-inspired feature selection and data analysis, AbaQus focuses on improving the efficiency and accuracy of financial models by selecting the most relevant data points. Through partnerships with leading financial firms and access to advanced quantum hardware, AbaQus is at the forefront of integrating quantum technology into real-world financial applications. By simplifying and accelerating traditionally complex computations, AbaQus prepares the financial sector for a quantum-enabled future. 

For more information, visit www.abaqus.dev 

SOURCE Quantum Algorithms Institute

Media inquiries: For more information on the Centre for Responsible Quantum Innovation and Technology please contact: Andrew Rudyk, Media Relations, [email protected]