Multiverse Computing, which has been intensely focused on developing quantum finance applications on its Singularity software platform, announced a new Fair Price solution for estimating stock value. The new solution, which leverages IonQ quantum computers, promises to reduce the amount of time it takes to run Fair Price calculations and provide more accurate estimations.
The financial services sector has been widely viewed as one of the earliest adopters and most viable areas of application for quantum computing. It’s no wonder that finance applications for quantum computing are the subject of a new research report from IQT Research.
Typically, financial institutions use Monte Carlo simulations running on classical computers to determine the fair price of a stock by calculating the theoretical value of the companies using Monte Carlo simulations on classical supercomputers, a process that can take up to 24 hours or more to complete.
“Using trapped ion quantum computers from IonQ with common PC-based software tools, the Singularity Fair Price solution can reduce error rates by 43% without increasing the number of runs or runtime,” Multiverse said in a statement. “To achieve the same accuracy on a classical computer would take over seven times the number of runs, enabling financial institutions to achieve a more accurate valuation more quickly.”
“The Fair Price feature on our Singularity platform is designed to give financial institutions an edge in portfolio optimization using quantum computers from our preferred partner IonQ,” said Enrique Lizaso, CEO of Multiverse Computing. “This new feature is a perfect complement to our Singularity product, making it easy for the financial community to leverage quantum computing today for demonstrated value even at this early stage of the industry.”
The Fair Price solution is the first Multiverse product to be unveiled following the November announcement that IonQ’s trapped ion quantum computers would serve as the backend hardware for Multiverse’s Singularity platform.