With big data software companies and cloud providers using a lot of data, there has been a substantial increase in the practical application of AI.
Artificial intelligence is already being applied in many fields to perform a specific task such as medical diagnostics, remote sensing, e-commerce, and robot control.
Financial institutions have long used an artificial neural network to detect system changes and abnormal claims while alerting and flagging them for humans to investigate.
Many banks are using artificial intelligence systems to keep books, organize operations, manage property and invest in stocks.
Artificial intelligence, defined as a theory and development of computer systems to perform tasks normally associated with humans, such as decision-making, visual perception, and speech recognition, has been around for a long time.
With advances in computational hardware, big data, and machine learning, artificial intelligence is becoming more powerful and useful every day.
Recent advancements in artificial intelligence have ushered in a new era in finance, and in a short span of time, big data and machine learning have produced a breakthrough resulting in a better customer experience and productivity.
Software plays a very important role in this advance and there are still many challenges to be solved. Software needs to be designed and optimized to take full advantage of the underlying hardware characteristics to improve performance. Libraries, framework, and other tools also need to be streamlined into others to speed up the development process. Some of these issues have been fixed thanks to the advancement of the GPU.
Here are some areas in finance where artificial intelligence is already having an impact:
• Financial service providers and banks are implementing artificial intelligence to help predict and plan the way customers manage their money and therefore make artificial intelligence an integral part of business development strategy.
• The ability of smart machines to turn data into customer insights and improve services is transforming the digital experience. Using complex algorithms and machine learning, AI can process thousands of structured and unstructured data points, and since financial professionals rely heavily on data, this ability can significantly affect the way they do their work.
• Auditors feel free from liability due to the automation potential provided by artificial intelligence. They’re using artificial intelligence to automate time-consuming and manual activities, giving them time to focus on more important jobs. AI can help auditors review contracts and documents more quickly by employing machine learning technology that can find key phrases in documents that take a long time to decipher or interpret. Currently, AI can process the language in a document and produce relevant results, this has played a crucial role in improving productivity.
• The low-cost, data-driven management decision is ushering in a new style of management, and in the future, managers may question machines rather than human experts. The machines will analyze the data and make a recommendation on which the team leaders will base their decision.
• The application embedded in end-user devices and financial institution servers can analyze a large volume of data, providing personalized forecasts and financial advice. Apps like this can also help you track progress, develop financial plans and strategies.
• Personalization is an important area where many banks are already experimenting with various ways of combining services and products for clients. AI can help customers to simplify the money management process and make a recommendation for upgrade by combining algorithms.
In conclusion, financial service providers should pay attention to artificial intelligence as technology continues to evolve and becomes more common. The way companies innovate and implement major strategies is changing, corporate organization must embrace AI in others to take full advantage of the trend.