The future of Wall Street is here as startups and brokers build AI agents to trade 24/7

• AI agents could increase transaction volumes by at least tenfold, with retail investors potentially trading 20 times daily instead of twice monthly, according to Citizens' financial technology research head
• Companies like Podium Markets AI and Public are building systems where AI informs decisions but humans retain final approval, creating 'guardrails' before granting greater autonomy
• Early retail investor experiments with AI trading tools have shown mixed results, with some losing money consistently when relying on agents without professional oversight

Summary: AI Trading Agents Emerge on Wall Street

Key Development: Brokerages, startups, and retail investors are rapidly developing AI agents capable of automating investment tasks and trading 24/7, transforming traditional portfolio management into a continuous, AI-driven process.

Main Players:

• Podium Markets AI: Startup offering "Ivy," an AI assistant that analyzes multi-account portfolios and generates recommendations while keeping humans in final decision-making
• Public: Brokerage developing in-house AI agents to automate investment workflows
• Other major brokerages: Exploring third-party AI agent integration with customer accounts

Market Implications:

Devin Ryan, Citizens' head of fintech research, projects AI agents could increase transaction volumes tenfold—from approximately 2 trades monthly to 20 trades daily per retail investor. He estimates that by end of next year, majority of platform trading activity will be agent-driven.

The vision extends beyond trading to comprehensive financial management, including tax optimization, cash balances, borrowing, and mortgages—creating a "family office working 24/7."

Current Limitations:

Most firms are implementing gradual rollouts with significant guardrails. Users must review and approve recommendations before execution. Industry experts emphasize the "AI informs, human decides" model, acknowledging challenges in translating investor intent (e.g., "grow aggressively") into appropriate AI actions.

Risks Highlighted:

Retail investors testing DIY AI agents report mixed results, with some experiencing consistent losses. Experts warn against blindly delegating trading decisions, stressing the need for professional oversight and robust customer protection measures.

Timeline: Ryan indicates this technology is "coming in the next few years," not a decade away, marking an imminent transformation of investment management.