The year 2020 brought many challenges to nations all over the globe. “
People who refused to accept technology in the digital age were forced to use online banking during lockdown.
Technology and gadgets are an integral part our daily lives. Artificial Intelligence (or Machine Learning) can help them think and behave in a different way than humans.
In the 1980s, computers with human-like intelligence were the center of fantasy. It is encouraging to see the financial sector leaders working with software developers and coders to create applications.
Is AI changing our Finance Sector?
In reality, 2021 will see the rise of AI applications in new ways. Let’s take a look at how Artificial Intelligence assists the Finance Sector in these paragraphs:
A. Decision Making
Insurance companies and investment advisors can pose questions to AI platforms before introducing new products or services to the market.
This allows advisors and agents to better understand the customers’ needs and make informed decisions.
A. Artificial is able detect fraud online and give fresh insights to Claims Management
Banks use AI software to detect fraud. This is a prime example of Artificial Intelligence affecting the Finance Sector.
C. Automated Financial Assistants
To keep up with the latest developments, investment companies always update their methods.
Do you remember thinking about the exponential growth of E-Commerce in the past two decades?
In the last few years, Phishing has become a well-known phenomenon.
E. chatbots to assist with CRM
The month of June 2021 has arrived and it has flown by quickly. However, many companies are now requesting employees to work from home.
F. Conforms to the Guidelines for Compliance
Cybercrime has made it necessary for banks and financial institutions to focus on KYC (Know Your Customer). This allows them to spot potential mistakes in a customer’s profile and take appropriate actions.
G. A is able interact with customers using a Different Platform
In 2020, Yes bank launched the AI robot, LUIS (Language Understanding Intelligent Service), to answer nearly 10,000 questions via Whatsapp. You can use the service to check your balance, request products, and request cheque books.
Banks could soon have an AI platform that coordinates with virtual assistants such as Siri, Cortana, and Alexa.
H. A. Search engines
Is it possible to be amazed at the topic on Search Engines?
The Future of Artificial Intelligence within the Fintech Sector
Industry experts predict that AI-powered robots will be the next executive in customer service at banks. These robots could answer customer questions, help them with bank forms, and reduce human labor by 20% by 2027.
FinTech industry has been at forefront of innovation and technology use in its business processes. These companies are just a few of many examples of how Artificial Intelligence (companies or Finance Institutions) is helping them provide the best service to their clients.
Popular Artificial Intelligence Applications Used in the Finance Industry
1. IBM WATSON PLATFORM
This AI-powered platform provides solutions for Compliance, Risks and Customer Insight for investment firms. It can also detect customer behaviour using its cognitive abilities.
2. MICROSOFT CORTANA Intelligence SUBSTATE
This AI-powered platform allows small-medium to large financial institutions to access data about financial crime and analyzes that can be used to improve their relationships with customers.
3. SALESFORCE EINSTEIN
This company helps financial advisors to gain information about their clients’ financial situation.
4. ZESTFINANCE (LOS ANGELES)
The company’s platform, referred to as ZAML (or Zest Automated Machine Learning), provides information to banks about a borrower’s credit history and other details. According the company’s website, it has helped financial institutions reduce their losses by 25%.
5. SCIENAPTIC SYSTEMS (NEW YORK CITY)
Similar to ZestFinance, the underwriting system provides information about customers applying for credit cards. These systems examine the customer’s spending habits and interactions and give transparent results.
6. ALPHASENSE (NYC)
Alphasense is an AI search engine that can be used by Fortune 500 companies and investment banks. This tool uses NLP (natural-language processing) to analyze keywords in news media and research papers.
7. KASISTO (nyc)
KAI, the AI platform used by the business, has received a lot attention because it enhances the customer experience and provides alternatives, solutions, suggestions, and information about the financial markets.
I hope the above information has been useful in answering the question – How will AI impact fintech? Let’s wait and see!