CHICAGO—A new study shows that financial services firms are increasingly leveraging artificial intelligence (AI) to help them become more efficient and compete.
The report from Narrative Science noted AI is only in its in its “early days” in the financial services industry, and for that reason will continue to become increasingly important to FIs.
Nearly a third of financial firm executives said their businesses have adopted some early AI technologies, such as voice recognition and response, predictive analytics, and recommendation engines, which are tools to predict what a user may like among several given items, said Investment News in its analysis of the study.
CUToday.info has introduced an ongoing series that examines how artificial intelligence will manifest itself at CUs.
“Firms are using it to boost customer engagement, improve productivity, accelerate fraud detection and minimize risk, and help consumers improve their spending decisions,” the publication stated.
The Narrative Science report describes AI as technology that emulates human tasks that require intelligence. One reason that use of AI is expected to grow within the financial services sector is because of the scale of the data the industry handles.
“A lot of these technologies have been around, but what makes them useful today has been explosion of data,” Kim Neuwirth, director of product management at Narrative Science, told the publication. “AI is more actionable and better with larger data sets.”
Neuwirth said that use of AI to automate certain routine and manually intensive tasks “can be a game changer for the (financial services) industry.”
In fact, 13% of firms said increasing worker productivity was the reason they've deployed AI technologies, the report said.