The Confederation of British Industry is calling on the Government to establish a joint commission tasked with examining the impact of Artificial Intelligence on people and jobs across all sectors of the UK economy. Based on research it conducted into the way that technology is changing the way we live and work, the CBI said on Friday that it had identified three technologies -- AI, Blockchain and the Internet of Things – that are set to move from the fringes to the mainstream within the next five years. It also found, however, that only a third of businesses currently have the skills and capabilities needed to adopt AI technologies, and that more therefore needs to be done to help prepare those companies for the future. The aim of the commission, the CBI said, would be to examine the impact of AI on people and jobs, and to subsequently set out plans for action that will "raise productivity, spread prosperity and open up new paths to economic growth". "The UK must lead the way in adopting these technologies but we must also prepare for their impacts," said Josh Hardie, deputy director-general of the CBI.
Amid an increasingly regulated global business landscape, many financial institutions (FIs) are turning to regulatory technologies (RegTech) to help them cope with greater scrutiny and the potential for hefty fines for non-compliance. As a result of the uptake, RegTech – which according to Harvard Kennedy School is the "application of new technology to regulation-related activities in order to shift them from analog-era to digital and computational models and, thereby, gain dramatic increases in effectiveness, efficiency and scalability" – has risen to a position of relative prominence. Many FIs are utilising the technology to automate compliance tasks and reduce operational risks. The demand for RegTech products – be it machine learning, biometrics, cloud computing, blockchain or distributed ledgers – is particularly timely, with the implementation dates of new and complex regulations, such as the updated Payment Services Directive (PSD2), the revised Markets in Financial Instruments Directive (MiFID II) and the New York State Department of Financial Services (NYSDFS) Part 504, on the horizon. Yet despite its burgeoning status as a go-to regulatory compliance option, issues do exist with the adoption and implementation of RegTech.
Artificial intelligence (AI) is set to substantially disrupt the financial services industry, transforming how we bank, invest, and get insured. AI refers to machines that are capable of performing specific tasks that normally require human intelligence such as visual perception, speech recognition, decision-making, and language translation. AI and related technologies are made possible by the colossal volumes of data we are able to collect and process. AI has been all the buzz these past few years, and according to CB Insights, AI startups raised over US$2 billion in 2016 alone. In the area of financial services, AI is expected to bring major shifts in financial institutions' workforces.
For decades, economists have tried to guess central bank policy direction by studying subtle changes in official language -- now, researchers are finding new clues on policy, not in the words of central bankers but in their faces. In Japan, two artificial intelligence researchers, one from Nomura Securities and the other from Microsoft, are using software to analyze split-second changes in the facial expressions of Bank of Japan Gov. Haruhiko Kuroda at his post-meeting news conferences. Their study found that Kuroda showed fleeting signs of "anger" and "disgust" at news conferences that preceded two recent major policy changes -- the January 2016 introduction of negative interest rates and the adoption of the so-called yield curve control policy in September last year. The implication is that Kuroda was beginning to sense the constraints of existing policies about six or seven weeks before the central bank's board actually decided to change them, the researchers concluded. The research was presented last weekend to a subcommittee meeting of the Japanese Society for Artificial Intelligence (JSAI).
Technology is filled with buzzwords that come and go. However, three key ideas that have grown in stature and relevance over recent years are blockchain technology, artificial intelligence and the internet of things. These three emerging technologies represent different aspects of the data world, and 2018 may be the tipping point in their convergence. Three different pieces of technology will start working together in a seamless ecosystem, and the result is a more connected, more efficient and more secure world. The Internet of Things (IoT) world may be exciting, but there are serious technical challenges that need to be addressed, especially by developers.
TOKYO (Reuters) - For decades, economists have tried to guess central bank policy direction by studying subtle changes in official language -- now, researchers are finding new clues on policy, not in the words of central banker but in their faces. In Japan, two artificial intelligence researchers, one from Nomura Securities and the other from Microsoft (NASDAQ:MSFT), are using software to analyze split-second changes in the facial expressions of Bank of Japan Governor Haruhiko Kuroda at his post-meeting press conferences. Their study found that Kuroda showed fleeting signs of "anger" and "disgust" at news conferences that preceded two recent major policy changes -- the January 2016 introduction of negative interest rates and the adoption of the so-called "yield curve control" policy September last year. The implication is that Kuroda was beginning to sense the constraints of existing policies about six or seven weeks before the central bank's board actually decided to change them, the researchers concluded. The research was presented last weekend to a subcommittee meeting of the Japanese Society for Artificial Intelligence (JSAI).
Artificial intelligence, Machine Learning, and Deep Learning are more than futuristic concepts. These technologies are impacting the insurance industry in a significant way right now and this impact is likely to increase in the near future. The idea of Artificial Intelligence (AI), Machine Learning (ML), and Deep Learning (DL) may fascinate consumers who enjoy talking to their digital while admiring a Nest thermostat. But for the insurance industry, these terms are business-changers that affect products and services offered and interactions with consumers and other industry partners. The definitions of these terms may be a bit confusing to the uninitiated (see sidebar).
Britain's biggest employers are calling for a commission to examine the impact of artificial intelligence on jobs. Amid predictions of a workplace revolution threatening one in five jobs across the UK, the CBI is urging Theresa May to launch the commission from early 2018. It said companies and trade unions should be involved and the commission should help to set out ways to increase productivity and economic growth as well looking into the impact of AI. The business lobby group said almost half of firms were planning to devote resources to AI, while one in five had already invested in the technology in the past year. Companies are increasingly using computers to scour vast datasets in order to spot inefficiencies, while they are also employing machines to control the flow of activity in warehouses and factories and to take meter readings.
Artificial intelligence has conquered games and image recognition, but will it master investing? The short answer is yes, but how soon and how complete? Machine learning methods have had impressive recent successes. These include defeating humans at chess, Jeopardy, poker and Go, as well as providing superior image and speech recognition. Developers strive to create tools that automate decision making and that can mimic or exceed human performance for specific tasks.