What is explainable AI in investing?

Discover how explainable AI (XAI) helps investors see which signals drive stock calls, comply with emerging AI regulations, and replace opaque “black‑box” outputs with transparent, defensible investment decisions.

Explainable AI (XAI) in investing means using AI models that show why they recommend a stock, not just what to do. It highlights which factors - valuation, momentum, news, macro, risk - shaped a BUY, SELL, or HOLD, and how confident the system is in that view. This matters because regulators and clients are pushing back against black‑box tools, and investment teams need decisions they can challenge, document, and defend. trade & tonic is built around that principle: a multi‑agent AI team that analyzes each stock from multiple angles and then shows its work, so you get transparent, explainable insights instead of opaque scores.