AI-Managed ETFs by Ai Funds
Many ETFs hold the same stocks no matter what the market is doing. Ours are designed to adapt. Every week, our AI Investment Model selects the holdings and sets the risk level, so when the market shifts, your portfolio can too.
AI-Managed ETFs for Every Portfolio
A growing lineup of ETFs, each powered by BAILA® (Bayesian AI Learning Algorithm) and designed for a specific objective.
Focused US stock portfolio of high-conviction names, refreshed weekly, with the ability to shift toward cash-like ETFs when risk rises.
What is high-conviction investing?
High-conviction investing means holding a smaller number of stocks the model rates most favorably, rather than owning the whole market. Concentration can increase both potential reward and risk.
*Total annual fund operating expenses are 0.87%, which includes a 0.85% management fee and 0.02% in acquired fund fees and expenses. See the prospectus for details.
Learn about HIAI →Be the First to Know
We're building out a family of AI-Managed ETFs. Get notified when the next one launches.
How BAILA Works
BAILA is the AI behind every Ai Funds ETF: a market reader and a portfolio builder.
BAILA serves as the investment strategist within each strategy it powers, comparing today's market to decades of history and constructing the portfolio accordingly. Humans oversee the system; BAILA drives the day-to-day investment decisions.
BAILA adjusts risk exposure along a spectrum from fully invested to fully defensive: when markets look favorable, BAILA leans in; when the data suggests risk, BAILA pulls back.
Explore HIAI ETF →Pattern Matching
BAILA scans more than 30 years of market data for the closest matches to today, the market's “economic fingerprint.”
Bayesian Inference
It combines those matches into a probabilistic view of the current market state, from bullish to bearish, not a single point estimate.
Adaptive Risk Positioning
That market state sets how much the ETF holds in stocks versus cash-like ETFs, along a spectrum from fully invested to fully defensive.
Portfolio Optimization
Working from that exposure level, BAILA selects the holdings and weights, optimized to manage downside risk.
How We're Different
Four principles that shape every Ai Funds ETF.
Emotion-Free
BAILA never panics, never gets excited, never falls in love with a stock. Decisions are made on the data, not on feelings.
No Cognitive Biases
Humans bring biases: anchoring, recency, loss aversion. BAILA is designed without them.
Consistent Discipline
BAILA doesn't “follow its gut.” The same data inputs always produce the same decision.
Processes More Information
BAILA analyzes thousands of securities and decades of data simultaneously, far more information than any one person can process.
How to Invest
HIAI trades on Cboe BZX. You can invest through your existing brokerage account, or send it to your financial advisor for review.
Invest Through Your Brokerage
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Markets Are a Dynamic Game
Many investing strategies often assume markets are stable: expected returns, correlations, and variances are treated as fixed values that do not change over time. Pick a mix of stocks and bonds, hold it, let it ride. We see it differently.
Markets are dynamic, not static.
What worked last year may not work this year. Portfolios that cannot adapt to shifting conditions are playing yesterday's game.
Variance is the wrong measure of risk.
Behavioral finance has shown for decades that a loss hurts far more than an equivalent gain feels good. Variance treats them the same. Portfolios should be built around the risk that matters most: the chance of losing money, not the day-to-day fluctuation of returns.
Investors are their own worst enemy.
Many investors lose money not because they pick the wrong stocks, but because they buy near the top out of fear of missing out, then sell near the bottom out of fear of further losses. A systematic AI Investment Model does not get emotional. It follows the data.
“The math behind many portfolios is from 1952. It treats a 30% loss the same as a 30% gain. We built BAILA to optimize portfolios for how investors actually feel when they lose money.”
AI-Managed Investing for Every Investor
We build AI-Managed investment strategies for two kinds of investors: financial advisors who use our signals, and anyone who wants to buy an ETF.
AI-Managed ETFs
In 2026, we are bringing BAILA into the ETF wrapper for the first time. Starting with HIAI for US equity, the suite is designed to make AI-Managed strategies accessible to every investor through familiar brokerage accounts.
BAILA Signals
Since 2019, we have delivered weekly investment signals to registered investment advisors, helping them deploy AI-Managed strategies for their clients. Today, more than 25 RIA firms use BAILA to guide client portfolios.
Dr. Tal Schwartz
Tal earned his Ph.D. in Finance from Cornell University and his B.Sc. from Caltech. He has held faculty positions at Caltech, the Technion, and other leading institutions, published his research in academic journals, and presented at industry conferences.
For the past 25 years, Tal has been a serial entrepreneur, founding and leading several technology and finance companies including Clicktale, Expand Beyond, and the Technion's Entrepreneurship & Innovation Center. Earlier in his career, he worked as a quantitative researcher at hedge funds, building AI models, trading algorithms, and portfolio optimization systems, experience that now anchors the technical foundation of BAILA.
Common Questions
What visitors most often ask about AI-Managed investing and Ai Funds.
Explore HIAI ETF →What is AI-Managed investing?
AI-Managed investing is an approach where an AI system makes the investment decisions, rather than only offering ideas for a human manager to act on. The AI selects the holdings, sets the weights, and adjusts positioning as markets change, with humans overseeing the system. This is different from AI-Assisted strategies, where AI provides tools that human managers use to inform their own decisions. Dr. Schwartz's research describes AI-Managed investing as the Third Pillar of investment management, alongside passive indexing and traditional active management.
What is BAILA?
BAILA stands for Bayesian AI Learning Algorithm, the proprietary AI Investment Model developed by Ai Funds. Every week, BAILA compares today's market to more than 30 years of history, assesses the current market state, and constructs the portfolio accordingly. BAILA has been guiding portfolios since 2019, exclusively for financial advisors, and now powers every Ai Funds ETF.
How are your ETFs different from other “AI ETFs”?
Many funds marketed as “AI ETFs” do one of two things: they invest in AI companies, or they use AI as a research tool for human managers. Ai Funds ETFs are AI-Managed: BAILA makes the investment decisions, selecting the holdings, setting the weights, and adjusting risk exposure, with humans overseeing the system.
Is BAILA always right?
No. BAILA makes probabilistic assessments, not certainties. It aims to be correct more often than not over full market cycles, and BAILA is wrong some of the time. It does not catch every drawdown, and sometimes it turns defensive when no downturn follows. We would rather tell you that upfront than pretend otherwise.
What are the risks?
All investments involve risk, including potential loss of principal. AI-Managed strategies also involve unique risks, including model risk (historical patterns may not repeat) and technology risk. Each fund's prospectus describes its full risk factors. Please read the prospectus carefully before investing.
Who is behind Ai Funds?
Ai Funds, Inc. is an SEC-registered investment adviser founded by Dr. Tal Schwartz, a Cornell Finance Ph.D. and serial entrepreneur who built BAILA. HIAI is sub-advised by Milliman Financial Risk Management LLC, one of the most established names in financial risk management. Ai Funds ETFs are distributed by PINE Distributors LLC, Member FINRA.
How do I invest?
HIAI trades on Cboe BZX under the ticker HIAI. You can buy it through your existing brokerage account, the same way you would buy any ETF, or ask your financial advisor to review it for your portfolio. The How to Invest section on this page has direct links to major brokerages and a pre-drafted advisor email.