A lot of people who make over $350,000 are about to get replaced by software

The Business Insider reports:

The piece is framed around Daniel Nadler, the founder of Kensho, an analytics company that's transforming finance. By 2026, Nadler thinks somewhere between 33% and 50% of finance employees will lose their jobs to automation software. As a result, mega-firms like Goldman Sachs will be getting "significantly smaller."

That's because Kensho does analytics work — previously an artisanal skill within Wall Street — at high speeds. Instead of sorting through news clippings to create a report, Kensho generates them from its database of finance analytics — essentially doing the work of researchers and analysts algorithmically.

Type in "Syrian Civil War" into Kensho and you'll get a number of data sets showing how major assets like oil and currencies reacted to events in the conflict, Popper reports. The minutes-long search "‘would have taken days, probably 40 man-hours, from people who were making an average of $350,000 to $500,000 a year," says Nadler.

Goldman is actually a huge investor in Kensho. It will be interesting, to say the least, to see how that investment pays off.

Just a reminder.