Financial Services


FinTech, AI and the fourth Industrial Age

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To remain competitive, there is a growing need to use and master complex AI tools, adapt to new forms of convergence through collaboration and develop meaningful client relationships through new forms of customer centricity. Though banking has a long history of resisting modern methodologies -- agile development, cloud computing, advanced analytics, predictive onboarding, open platforms, hypertargeting and external data harvesting -- AI is one area the industry simply must embrace. If the FinTech industry fails to be more open to building new forms of customer value, efforts toward leveraging broader platforms will simply fail to materialize. Advanced tools now provide the industry with more capabilities to provide intelligent, personalized advice to offer new forms of customer advocacy beyond traditional services.


How Will AI in FinTech Benefit Consumers?

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Process Analytics for Improving Customer Journey: There are several inefficiencies that customers face along their journey with a bank. Process analytics allows banks to analyze data for inefficiencies throughout the customer journey using social media, and the bank's internal data. Predictive Analytics for Personalized Recommendations: The financial services industry can now make sense of your behavioral patterns and other data to make recommendations that are personal to you. Customers of services such as consumer banking, advisory services, retail financial planning and wealth management advice will all benefit from this customization.


6 Ways AI is a-Bot to Transform the Financial Services Industry

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He foresees the automation of day-to-day transactions, and the emergence of bots as intermediaries between humans and financial institutions, and robo advisors making autonomous financial decisions to maximize clients' wealth. Financial organizations have considerable computing capabilities while human users have limited memory, compute and time. "Bots will arm the consumer with superpower capabilities and each consumer will be a power-user making optimal financial decisions that earn them more money and save them on fees and taxes." New emerging bot intermediaries automatically move money between accounts.


Robo advisors look beyond wealth creation to automated personal financial advice - Muckle

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'The emergence of'celebrity' robo advisors such as Gemma Godfrey does much to shake off the fusty City connotations of investments' Muckler says that if it encourages an environment of financial self-reliance and establishes long term savings and investing habits, then that works just fine; indeed reaching beyond the pool of the'initiated' has long been the holy grail of the financial services world. In addition to building an investment strategy based upon investment and risk preferences, the next generation of automated financial advisor would need to fully understand customers' goals and how they prioritise some over others; an emotional dislike of being in debt may see the client seek to pay off cheaper debt and eschew potentially higher yielding investment opportunities, just to get it off their back. Technological advances will be needed to provide such complex and personalised advice but the level of investment being made in artificial intelligence and machine learning by a wide range of financial services providers, suggests that it is only a matter of time before an automated advisor will be able to provide insights around achieving personal, career and financial goals. A PFM could achieve far greater customer engagement and potentially replace traditional financial institutions as the source for financial advice and education.


The Rise of AI First World in Financial Services

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Fuelling this rapid advancement in machine learning are two key factors: a) an explosion and availability of data and b) the ability to get cost-effective compute power that can run powerful algorithms inexpensively and process massive amount of data. Financial services are also at the cusp of AI-fuelled disruption as some key macro factors are coming into play: a) digital and cloud are becoming more accepted at financial institutions b) Financial firms have a massive amount of historical customer, market and third-party data enabling them to gain greater insight c) With the possibility of a reduced regulatory burden, there is the potential to redirect dollars to focus more on building a competitive advantage through digital capabilities and d) AI use cases, which provide benefits to customers and processes within banks, are showcasing the value of AI across the business. When we hear the term AI, we usually think of technology companies such as Google, Apple, Microsoft, IBM and start-ups working on deep learning problems or building tools and platforms. The technology scans a vast amount of trading data and creates a strategy based on learning from market patterns.


Robo-Advisers and the Future of Financial Advice

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Low-cost automated investment services bring us high quality financial advice in a time that we need it the most. Flexible consumption and labour supply materially alters investment decisions, suggesting that financial advisers should not only focus on investing but also on the clients consuming and working behaviour. By replacing a questionnaire by more sophisticated data sources and machine learning models, a significant increase in accuracy of risk tolerance, income and consumption estimates can be expected. Besides high quality investment advice, these services help with complex financial decision making and improve life-quality accordingly.


How Machine Learning Is Helping Morgan Stanley Better Understand Client Needs

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Systems that provide automated investment advice from financial firms have been referred to as robo-advisers. So Morgan Stanley's wealth management business unit has been working for several years on a "next best action" system that FAs could use to make their advice both more efficient and more effective. Finally, the Morgan Stanley system includes content on life events. To assist these clients, and to work with FAs as they adopt the system, Morgan Stanley is hiring a cadre of digital adviser associates, who will work out of call centers and provide expert advise on the use of the system.


8 ways IoT & AI are impacting financial services

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These machines do not lack the hardware and processing power to correctly perform intelligent decisions based on collected data. AI applications installed and working in user devices analyze huge amounts of data to offer relevant financial advice and forecasts. Monitored user behavior patterns allow AI tools to notice anomalies and irregular behavior quickly to apply countermeasures and notify the users in case of fraud attempts. In short, AI is being currently applied to offer both substantive and personalized services to users as well as to process huge amounts of data to correctly predict business growth, future finance trends and changes as well as to formulate effective banking strategies.


Artificial intelligence: How it's transforming financial services in UAE

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Being around for more than 60 years, artificial intelligence (AI) is now a part of our daily lives - be it chatbots, robo advisors, cognitive computing and much more that act as an aid to many financial institutions. Apart from enhanced customer service, any financial institution can use AI to enhance its competitive position and improve performance. With advancement in data, cloud computing and processing speeds more companies will use cognitive computing and machine learning to advance for performing advance analysis or patterns. It was on June 27,... READ MORE Being around for more than 60 years, artificial intelligence (AI) is... READ MORE Does the reasonably-priced and sporty 2017 Toyota 86 VTX have enough... READ MORE Technological advances mean fossil fuel in cars could be phased out... READ MORE There will also be a chance of rain.


Artificial Intelligence in Financial Services: Resistance is Futile

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Another interesting area is around decumulation. It is no secret that we are all living longer healthier lives. With that, we likely are working longer and have children later in life. In fact, recent studies indicate that nearly a third of Americans between the ages of 65 and 69 are still working, and nearly 20% of those between the ages of 70 and 74 are working at least part-time.