The LLM Quant Revolution: From ChatGPT to Wall Street

Abstract

This paper analyzes the application of Large Language Models (LLMs) in quantitative finance, focusing on: • Current state of LLM technology in financial applications • Comparative analysis of leading models • Implementation frameworks for production systems • Risk management and quality control considerations Key Findings: 1. Multi-model approaches outperform single-model solutions 2. Production implementation requires robust quality controls 3. Model selection should be task-specific within the investment process

Keywords: Artificial Intelligence, Natural Language Processing (NLP), Generative Pre-training Transformer (GPT), Large Language Models, Quantitative Research, Hedge Funds

JEL Classification: C01, C12, C15, C38, C45, C55, C58