Machine learning in finance: Why, what & how

Machine learning in finance may work magic, even though there is no magic behind it (well, maybe just a little bit). Still, the success of machine learning project depends more on building efficient infrastructure, collecting suitable datasets, and applying the right algorithms. Machine learning is making significant inroads in the financial services industry. Let's see why financial companies should care, what solutions they can implement with AI and machine learning, and how exactly they can apply this technology. We can define machine learning (ML) as a subset of data science that uses statistical models to draw insights and make predictions. The chart below explains how AI, data science, and machine learning are related.