Artificial Intelligence in Finance

As global technology has evolved over the years, we have moved from television to the internet, and today we are willingly and progressively adapting Artificial Intelligence. Artificial intelligence (AI) is an area of computer science that focuses on the creation of intelligent machines that work and respond like humans. It is taking the financial services industry by storm. Many companies in the financial technology sector have already started using AI to save time, reduce costs, and add value to their businesses. To get an insight on how AI has transformed the finance industry let’s look at these important areas –

Risk Assessment - AI is taking over the jobs of human analysts very fast, as inaccuracies which are caused due to human selections may cost millions. Whereas, AI is built upon machine learning which learns over time, results in minimum possibility of mistakes.

Fraud Detection and Management - Every business intends to reduce the risk conditions around it. Thus, companies are switching to AI as it is very efficient when it comes to security and fraud identification.

Financial Advisory Services–With the increasing pressure on financial institutions to cut down their commission rates on individual investments, machines may help in a manner in which humans may not. An excellent balance between humans and AI and the ability to look at AI as a component in decision-making along with human viewpoint is the future of financial decision-making.

Trading - Investment companies have been depending on computers and data scientists to determine future patterns in the marketplace. Machines are great at this because they can combine vast volumes of data in a short while. Machines can be used to predict how these patterns might reappear in the future.

Without any doubt, AI is the future of the finance sector. The speed at which it is progressing in making the financial processes easier for the customers, it is very shortly going to replace humans and provide faster and much more competent solutions.

Thank You

Regards

Apra Chhazed

Kautilya

IBS Mumbai