AI in Finance: Balancing Innovation and Regulatory Compliance
With its transformative impact on financial services and potential for future advancements, artificial intelligence (AI) could play a pivotal role in the finance sector by significantly improving user experience and advancing financial inclusion. AI comes in many forms, and can include machine learning, deep learning, and generative AI. Broker-dealers and investment advisers (collectively, firms) have quickly embraced AI to forecast fluctuations in investment value, answer client inquiries, and even program robo-advisers for automated planning and investment services, thereby increasing market access, streamlining efficiency, and increasing potential returns for investors.