F/m Investments launched WarshGPT on July 18, introducing an AI analysis tool focused on speeches and public documents from new Federal Reserve Chair Kevin Warsh. CNBC reported that the tool parses nearly 1,800 historical statements and documents tied to Warsh and is designed to help traders and economists infer his analytical framework on specific economic and monetary policy issues.
Built on Claude with a sub-$1,000 development cost
F/m Investments is an asset manager focused on inflation-linked and U.S. Treasury ETFs. Its WarshGPT product was built on Anthropic’s Claude model. The company said development cost came in at less than $1,000, and the project moved from concept to launch in roughly two weeks.
Before release, the firm conducted internal testing with former Fed officials and writers of monetary policy newsletters. The tool also incorporates U.S. economic and political history so that its responses can place Warsh’s remarks in the context of the period in which they were made.
The report said the significance of WarshGPT goes beyond a single product. It points to a broader move on Wall Street to use AI tools to adapt in a more systematic way to changes in Fed communication under Warsh.
Fed communication has shifted under Warsh
Warsh formally took over as Fed chair in May and moved quickly to change the central bank’s use of forward guidance. According to UBS, only 5% of the sentences in Warsh’s first post-meeting press conference were classified as policy-related. Under former Chair Jerome Powell, the average share per meeting was 27%.
That marks a shift in public communication from giving markets clearer guidance to avoiding advance anchoring as much as possible.
For traders and economists, the change raises the cost of interpretation. In the past, they could draw a more direct policy path from FOMC statements and the chair’s press conferences. Now they may need to work backward through Warsh’s past comments across the Fed, academia and investment banking to piece together his policy leanings. The report framed that gap as the market demand behind WarshGPT.
AI is now part of both sides of the Fed communication equation
The report also said that after taking office, Warsh formed an internal reform task force that includes AI specialists to explore whether AI can help improve the Fed’s own economic modeling.
Wall Street is using AI to interpret the Fed, while the Fed is also using AI to examine its economic models. The interaction around AI and central bank communication is only beginning.