AI is a buzzy word, but how can banks put it to work?
What is AI and how can financial services companies leverage it to their advantage? Simply put, AI – or artificial intelligence – is the development of computer systems able to perform tasks that normally require human intelligence.
What does AI do better than humans?
First, analysis. AI thinks faster, processing far more information at a much more rapid rate than a human mind.
Next, learning. AI designs better and more efficiently by leveraging faster thinking and data aggregation to build and select appropriate models.
Finally, creating. AI can build stronger solutions capable of self-improvement and optimization beyond original instruction.
The top three ways financial services companies can leverage the AI advantage are:
One: Predicting risk. This includes optimizing investment and tax strategies as well as proactively preventing fraud and bolstering security.
Two: Examining data: In addition to marketing, banks rely on data analytics for regulatory compliance and underwriting
Three: Emulating human behavior. Financial services companies can use natural language reporting capabilities, bolster the user interface with speech recognition, and enhance customer engagement using chatbots.
