Artificial Intelligence Supporting Investment Analysis and Capital Budgeting

Abstract

Capital budgeting decisions in today's economic environment are challenged by a variety of external risks, all of which are beyond the control of any single company. Tariff threats, supply chain risks, geopolitical tensions, cybersecurity threats, and conflicts and unrest in various parts of the world are leading to increased uncertainty and risk, making capital decisions even more challenging. With long lead times for costly infrastructure investments, the energy sector and regulated distribution utilities are vulnerable to not realizing the anticipated outcomes over time that were expected when the investment was made.