Stockholm, Sweden – February 25th, 2019. Pentech Ltd is pleased to announce extended collaboration with IBM, by leveraging Watson Assistant backed by both Watson Studio and our cluster on IBM Cloud to further personalize the client experience. 

As Pentech performs long-term allocation decisions, it is critical to have a good understanding of each client's risk appetite and tolerance. In our quest to provide the best possible customer experience, we realised that there were significant benefits and a huge opportunity in utilizing IBM Watson as part of the Pentech solution. By leveraging AI, we have designed a unique take on risk profiling where the Pentech algorithm will change the questions asked depending on the client’s answers to previous questions until the risk profile is both comprehensive and accurate. Watson Assistant guides the user through the risk profile process and ensures that only relevant questions are being asked and that there are no contradicting answers given by the client. Furthermore, the client will have the opportunity to decide the level of technicality of the questions and request clarification if needed which allows a faster and more reliable risk assessment. Watson will communicate with pentech via our cluster on IBM cloud to also make sure that the goals being set are achievable with the given risk profile. Any information gathered will be displayed in our environment prior to taking actions, as a last step to ensure everything is correctly entered and allow for amendments. The algorithm will filter out assets which are not compliant with the user’s risk profile or assets which interfere with the user’s ethical standpoints, which makes it easy for investment advisers to be fully compliant to rules and regulations.

For each operation, the system performs billions of calculations in mere seconds which enables real-time interaction for end-users. It can be used to plan liquidity for life-time events and future generations while minimizing human interaction and errors caused by that. We are utilizing the power of modern computing and our setup offers immense scalability and security and can handle millions of users without affecting quality of service.

Unlike generic solutions, Pentech enables an investment strategy that is defined for the entire investment and will deal with all probable future outcomes. As the algorithm has a better understanding of the different possible future scenarios, it will produce a much better allocation optimization and forecast. As a result, Pentech gives a forecast which is representative of the future and aligned with the end-user's risk profile. The algorithm performs a path-de­pendent optimization which means that when creating an investment strategy, future allocation decisions change depending on market performance. We can then identify potential deficit early on and make the necessary adjustments many years ahead in order to minimize deficit.


We are excited to have partnered with IBM and working with IBM Watson which allows us to really demonstrate the innovation that Pentech is bringing to the global financial market said Fredrik Karlsson, CEO Pentech Ltd. Watson technologies have enabled us to bring forth the next generation customer experience which will be tailored to the clients and lays the groundwork for advancing and encouraging a close future cooperation between the two companies.

The extended collaboration with IBM reflects Pentech´s commitment to offer exceptional customer experience where IBM Watson technologies will play an important role in combination with our cutting-edge technology. This is an exciting addition to our partnership portfolio as we invest and partner with different technology providers, such as Rg19 and Virtusa, to offer a comprehensive next generation wealth management solution.