AI Becoming Core Component of Financial Services

According to a 2019 study by Forrester about half of financial services and insurance firms around the world are already using AI; “We are only scratching the surface of the potential that AI has for the industry,” says Katherine Wetmur, Morgan Stanley’s international Chief Information Officer, to the FT; AI is being used to automate menial tasks, fraud detection and even to help customers in an accident receive an insurance quote in minutes; the use cases across firms are increasing and chatbots are also becoming the norm which has helped firms handle larger call volumes during the pandemic; the technology is still in the early stages when it comes to voice, natural language processing is becoming more sophisticated but most tasks performed now are simple; “We are not at the level yet where machines have the equivalent intelligence of humans,” says Chris Skinner, a financial services consultant and author, to the FT. “But AI is getting more and more advanced every day.”; the impact on jobs to date has been positive, but the better the tech becomes the more likely job losses will follow. Financial Times.