Artificial intelligence has revolutionized the financial industry and deploying Artificial Intelligence in Financial Industry will unlock significant opportunities that would transform retail lending, product design, and the overall banking model to the mass market. The need for AI in Financial Industry with the conditions of the favorable technology, that involves:
(1) Interaction of speech recognition software, mobility tracking systems such as GPS and Wi-Fi, and even gesture interpretation.
(2) Intelligence developments in machine learning are opening the way for advanced applications.
(3) Data, on which the amount of data is set to grow even faster in the Financial Industry, since Artificial Intelligence is fed by data.
AI has the potential to super-charge financial services and transform the way developing regulation of AI, and key legal issues that arise for businesses deploying the technology that is available today, in each case in the context of the financial services sector.
This is a complex and evolving area requiring a multidisciplinary legal approach. Services are delivered to customers. It could allow more informed and tailored products and services, internal process efficiencies, enhanced cybersecurity and reduced risk.
However, to properly understand the impact of AI, and the extent to which it really does herald the creation of a fourth industrial revolution, it is necessary to consider what AI really is and what it is capable of. It is also necessary to address the regulatory and ethical challenges to its use. None of this means firms should shy away from the use of AI.
Approached properly this can provide significant benefits for the firm, its customers and wider society. Disruptive technology is a fact of life and it is not the strongest businesses that survive but the most adaptable to change.
We are beginning to see increased engagement from regulators with respect to AI, particularly in the financial services arena. In this report, we will explore both the existing and new areas.
Artificial intelligence has streamlined programs and procedures, automated routine tasks, improved the customer service experience and helped businesses with their bottom line. In fact, Business Insider predicts that artificial intelligence applications will save banks and financial institutions $447 billion by 2023.
The majority of banks (80%) understand the potential benefits of AI, but now it’s more important than ever with the widespread impact of COVID-19, which has affected the finance industry and pushed more people to embrace the digital experience.
The Future of AI in Finance
Since artificial intelligence has become more widespread across all industries, it’s no surprise that it is taking off within the world of finance, especially since COVID-19 has changed human interaction. By streamlining and consolidating tasks and analyzing data and information far faster than humans, AI has had a profound impact, and experts predict that it will save the banking industry about $1 trillion by 2030.
“Artificial intelligence technologies are increasingly integral to the world we live in, and banks need to deploy these technologies at scale to remain relevant,” according to McKinsey & Company. “Success requires a holistic transformation spanning multiple layers of the organization.”
