BMO Financial & Bank of Nova Scotia Tests Xanadu’s Quantum Monte Carlo Algorithm

(SeekingAlpha.com) BMO Financial Group and Bank of Nova Scotia tested a proof-of-concept technology to discover computational speedups and improved accuracy in trading products using a quantum algorithm developed by Xanadu known as quantum Monte Carlo.
As part of the proof-of-concept project with BMO and Scotiabank, Xanadu built a software suite to simulate quantum Monte Carlo on a variety of trading products. This allows for benchmarking of the quantum speedup using conventional high-performance computers.
Tom Bromley, researcher and project lead at Xanadu said, “This project allowed us to forecast the disruptive potential for derivatives pricing over the coming years, paving the way for near real-time pricing and significantly lower power overhead,” said “This project allowed us to forecast the disruptive potential for derivatives pricing over the coming years, paving the way for near real-time pricing and significantly lower power overhead.”