I Asked an LLM to Generate 20 Trading Strategies. 14 Were the Same Thing.

1. 1Ask an LLM to generate multiple trading strategies to test its diversity
2. 2Compare the generated strategies for similarities and duplicates
3. 3Evaluate the LLM's performance in producing unique and useful trading strategies
4. 4Fine-tune the LLM to improve its ability to generate diverse outputs
5. 5Test the fine-tuned LLM with a new set of prompts to measure its improvement

Quantitative analysts and traders can benefit from understanding LLM limitations in generating diverse trading strategies, while AI engineers can improve LLMs to produce more varied outputs

💡 LLMs may struggle to generate diverse outputs, even when prompted to produce multiple unique strategies

🤖 LLM generates 20 trading strategies, but 14 are identical! What does this mean for AI in finance? 📊