Business Daily Media

The Times

.

The future of AI in trading: prospects for 2025 by global broker Octa

KUALA LUMPUR, MALAYSIA - Media OutReach Newswire - 17 December 2024 - 2025 is expected to be the year of increasing AI adoption. According to recent PwC findings, '2025 will bring significant advancements in quality, accuracy, capability, and automation that will continue to compound on each other, accelerating toward a period of exponential growth'.

Finance, which remains one of the top three sectors with the highest AI penetration, according to Statista and PwC, is no exception. Corporations and retail traders are expected to accelerate AI deployment to increase productivity while carefully mitigating the risks of overreliance on algorithms. In this material, Octa, a broker with globally recognised licenses, shares insights on how AI in trading will evolve in 2025.

Octa AI in trading

Emerging AI trends in trading for 2025
Machine learning continues to redefine the trading landscape by enhancing the speed and precision of market analysis. The 2024 IMF Global Financial Stability Report, Chapter 3, highlights that advancements in artificial intelligence are poised to improve market efficiency. To be more precise, AI-driven tools are expected to enable faster portfolio rebalancing and more efficient processing of large trades in asset classes like equities and bonds. However, the IMF also notes the potential risks associated with these technologies, such as heightened volatility during market stress.

Neural networks, particularly large language models (LLMs), have shown immense potential for sentiment analysis in trading. Since their introduction in 2017, the share of AI-related patent applications in algorithmic trading has surged from 19% to over 50% annually. The tools are already deployed to process market sentiment from news and social media in near real-time, offering traders insights into geopolitical developments and economic forecasts.

Algorithmic trading has grown substantially, with AI-driven systems enabling faster execution and reduced operational errors. High-frequency trading powered by AI has seen significant adoption, particularly in liquid asset classes such as equities and derivatives. While detailed statistics on future adoption rates remain speculative, the World Trade Organization's focus on the digital transformation of markets underscores the increasing reliance on automation to enhance trading efficiency and liquidity.

Opportunities for traders in 2025
AI's capacity to process sizable quantities of historical and real-time facts allows investors to benefit from predictive insights that had been formerly inconceivable. Advancements in AI-powered predictive analytics are changing how we forecast international markets by making predictions more accurate and providing clear, actionable insights. These tools are transforming financial markets, helping investors spot trends and respond to changes with greater confidence.

Emotions can often get in the way of smart trading decisions, especially when markets are highly volatile. AI helps solve this problem by relying purely on data and predictive models for decision-making. According to the IMF's Global Financial Stability Report, AI-driven tools are already helping retail traders manage risks more effectively and avoid impulsive trades that could lead to losses.

As AI tool costs decrease, features like real-time portfolio optimisation and automated trading strategies are becoming accessible to individual traders. Previously available only to large financial institutions, these advanced tools are levelling the playing field, enabling retail investors to trade with more confidence and accuracy.

Risks and challenges in AI integration
AI-driven business strategies come with inherent risks. The IMF warns that over-reliance on algorithmic models could increase market volatility during a global crisis. For example, AI-driven exchanges exhibited herd-like behaviour during the March 2020 market turmoil. This resulted in significant price volatility and required a robust regulatory mechanism to manage the risks involved.

The integrity of AI systems faces increasing security challenges. Research shows that the effectiveness of AI models depends on data quality and security. Recent statistics reveal an alarming trend: cyber threats targeting AI are increasing by 47%. The industry requires robust security measures to protect the algorithms against data manipulation and unauthorised access.

While AI offers tremendous value, its complexity poses a challenge for low-tech businesses. The complexity of advanced AI systems makes it crucial to have accessible training resources and intuitive interfaces. These tools help traders, especially newcomers, understand and use AI effectively, paving the way for broader adoption across trading communities.

Preparing for AI-driven transformation
Thriving in an AI-pushed trading environment requires specific training. Otherwise, traders risk facing sophisticated systems they can't properly handle or misusing AI-based tools, consequently missing out on their benefits. To prepare for future AI tools, traders should try the available software now. The safest option is to test AI deployment when trading on a demo account. This option is available on trading platforms provided by global brokers like Octa. For example, Octa broker currently uses AI to facilitate graph analysis and boost pattern identification when conducting technical analysis. Following the increased AI adoption trend, the company will likely keep embedding more AI-based tools on the platform.

AI is set to further redefine trading in 2025. From enhanced predictive analytics to democratising organisational productivity tools, the technology enables traders to make smarter, faster decisions. However, sustainable usage should remain at the core. One should be aware of risks such as over-reliance on algorithms and data security. To mitigate these risks, a reasonable strategy would be to combine AI-based analytics with human market monitoring and decision-making. AI should be perceived as a convenient tool rather than a magic pill for making accurate trading decisions.
Hashtag: #Octa

The issuer is solely responsible for the content of this announcement.

Octa

is an international broker that has been providing online trading services worldwide since 2011. It offers commission-free access to financial markets and various services used by clients from 180 countries who have opened more than 52 million trading accounts. To help its clients reach their investment goals, Octa offers free educational webinars, articles, and analytical tools.

The company is involved in a comprehensive network of charitable and humanitarian initiatives, including the improvement of educational infrastructure and short-notice relief projects supporting local communities.

In the APAC region, Octa received the 'Best Trading Platform Malaysia 2024' and the 'Most Reliable Broker Asia 2023' awards from Brands and Business Magazine and International Global Forex Awards, respectively.

News from Asia

Seafood Expo Asia/Seafood Processing Asia Unveils Conference Program Addressing AI, Sustainability, the Future of Aquaculture, Consumer Trust and more

SINGAPORE - Media OutReach Newswire - 18 June 2026 - Seafood Expo Asia/Seafood Processing Asia, organized by Diversified, announces its 2026 conference program ahead of the fourteenth edition of ...

Vietnam’s Leading Enterprise Technology Firm Establishes Singapore Gateway to Drive AI-Powered Digital Transformation Across APAC

Luvina Software Singapore officially launches as a trusted technology partner for AI-powered transformation and enterprise modernisation across APACSINGAPORE - Media OutReach Newswire - 18 June 20...

Art+AI Fuels Innovation & Entrepreneurship: 2026 Next Generation Philanthropy Leadership Program Opens Recruitment

SINGAPORE - Media OutReach Newswire - 18 June 2026 - Amid the global wave of technological advancement, the next generation of young leaders is presented with unprecedented growth opportunities. A...

Roland Berger reports strongest year in its history and reinforces long-term commitment to the Middle East

Highest revenue in the firm's history (€1.01 billion) Twenty years in the Middle East underline Roland Berger's long-term commitment to the region Continued investment i...

CUHK ranks 18th in QS World University Rankings 2027

Advancement in international reputation, employer reputation, and global engagementHONG KONG SAR - Media OutReach Newswire - 18 June 2026 - The Chinese University of Hong Kong (CUHK) has been rank...

Shell and St. Paul's Hospital Drive low-carbon development in Hong Kong’s healthcare sector

City’s first hospital to adopt Renewable Diesel Blend R33, reducing up to 30% lifecycle CO2e emissions HONG KONG SAR - Media OutReach Newswire - 18 June 2026 - Shell Hong Kong Limited (Shell) and ...

Sun Life Partners with the Hong Kong Tourism Board to Take Dragon Boat Celebrations to New Heights as Title Sponsor of the "Sun Life Hong Kong International Dragon Boat Festival" and "Sun Life Hong Kong International Dragon Boat…

Celebrating Hong Kong’s century-old Dragon Boat heritage with a large-scale installation to design your own boatHONG KONG SAR - Media OutReach Newswire - 18 June 2026 - Sun Life has proudly suppor...

2026 Hainan Cultural and Tourism Promotion Events Held in Hong Kong

HONG KONG SAR – Media OutReach Newswire – 18 June 2026 - On June 16, the 2026 Hainan Cultural and Tourism Promotion Events, under the theme of "Sunny Hainan · Heart's Desire," were held in Hong Ko...

Galaxy Macau Celebrates a Collection of Distinguished Wins at Travel + Leisure Luxury Awards APAC 2026

With Grand Resort Deck crowned “Macau’s Best Hotel Pool”, the world-class integrated resort’s peerless portfolio of luxury accommodations and spas garner Top 10 positions on the acclaimed honors li...

Hong Kong rises to No.2 globally in competitiveness

HONG KONG SAR - Media OutReach Newswire - 18 June 2026 - Hong Kong jumped one place to become the world's second most competitive economy, according to the 2026 World Competitiveness Ranking publi...

Australian businesses lean into global strategic partnerships (GCCs) for next wave of outsourcing

The Australian corporate landscape is undergoing a fundamental transformation in how it sources talent and innovation. While businesses have traditi...

The New Pressure Gap Crushing Small Businesses

Starting any business and making it prosper is a major undertaking. Part of the challenge is managing the uncertainty, but the financial pressures o...

Click Frenzy returns with a free EOFY sale event for retailers this month

New owners Gabby and Hezi Leibovich bring back Australia’s leading ecommerce sales event with Australia Post as Major Sponsor   Click Frenzy is ...

The 95 Per Cent Failure Rate Is Not An AI Problem

Most Australian SMEs I speak with are already having a go at AI. Some are running formal pilots, others have a team member quietly experimenting o...

New AR tech helping to solve field service skills crisis

AI-enabled augmented reality (AR) smart glasses are emerging as a new practical solution to fill a shortage of field service technicians maintaini...

For Midsize Companies, Global Payroll Systems Matter More to Business-Security Than You Think

When a midsize company expands across borders, its payroll operation becomes exponentially more complex. These organisations typically face a new ...