Of the many industries that quantum computing is sure to benefit from, the finance industry is one of the biggest. “Essentially, all big banks now have their own quantum team,” explained Roman Orus, the Co-Founder and Chief Scientific Officer of Multiverse Computing, a leading quantum software company. Orus is also an Ikerbasque Research Professor at Spain’s Donostia International Physics Center (DCIP), where he wrote an influential paper on quantum computing and finance. “There are many different places where quantum computing can help in finance,” Orus added.
As much of the finance industry is focused on analyzing large pools of raw data and drawing various conclusions, quantum computing can significantly improve this process. As quantum computers use algorithms to run multiple calculations at once, they can produce results at a faster rate, which is crucial for the trading that happens at a rapid pace in the stock markets. The answers that quantum computers give are also unique from classical computers, giving other advantages. “Like quantum physics, they are probabilistic rather than deterministic,” explained a 2020 article from McKinsey& Company. “[This means] that they can vary even when the input is the same.” These various inputs are especially important for optimization problems, financial simulations, fraud detection, and market prediction, all processes that banks and other financial institutions utilize on a daily basis.
Read the full article by inside Quantum Technology here.