AI in Finance: The latest news & tech

What comes to mind when you think of AI in Finance? Fraud Detection? Algorithmic Trading? AI has already undoubtedly made huge contributions to the efficiency and accuracy of many financial practices, but there are also lots of new ways that AI is being implemented to alter traditional methods within retail and commercial banking, insurance and many more industries within the financial landscape.

On 6 - 7 September, RE•WORK are hosting the AI in Finance Summit where we will be showcasing the latest breakthrough technologies and their application in the financial sector. Research institutions, large corporations as well as emerging startups will be discussing new AI systems and innovative ways AI can assist financial services. We’re taking a look at the latest news and updates in the world of AI in Finance to give you a taster of what we will be covering at the summit:

Sony Bank to use AI to bolster lending operations

‘Sony Bank is set to start using an AI application which was originally developed by the bank itself, to automate preliminary screenings for mortgage loans from May 10, 2018.

By using AI to learn from loads of previous data and reading in and making adjustments for new data, Sony Bank has succeeded in automating screening to a level of precision approaching that of human screeners. The new approach aims to accelerate the screening process, and shorten preliminary screening period from the current around two-six days down to as little as 60 minutes. By using AI to make credit decisions automatically that previously relied on humans, the bank hopes to enhance operating efficiency.

The new technology employs the ensemble method, a machine learning technique creating multiple models and combining them to produce improved results. As a result, the model offers a higher level of predictive precision.’

AppZen, who promises to transform back office enterprise operations, announces new partnership with Coupa

‘AppZen is the world's first artificial intelligence solution for back office automation. Its service uses AI to automate expense report auditing and detect intentional and accidental compliance issues and fraud. AppZen’s patented AI technology combines computer vision, deep learning and natural language processing to automatically read and understand expense reports, receipts, and travel documents and cross-check them with hundreds of internal and external data sources in real-time, to determine the accuracy and legitimacy of every expense. The solution assigns risk scores to each expense, protecting the company from expense misuse and regulatory non-compliance. With machine learning, the platform also gets smarter as time goes on. The company's vision to save companies significant dollars and streamline inefficiencies across the back office through AI, goes beyond expenses’

‘The partnership with AppZen enables Coupa customers to spot all T&E compliance as well as fraud issues in real-time, bring down auditing costs up to 90%, and shrink the review and payment cycle to as quick as a day’

Baidu raises more than US$1.9 billion for artificial intelligence-powered finance arm

‘Taikang Group and other backers also joined the funding round for the newly formed company, which will be called “Du Xiaoman Financial” and use artificial intelligence to provide short-term loans and investment services’

“I am very pleased to see that the financial unit has graduated,” Baidu Chief Executive Officer Robin Li said in the statement. “This is another milestone for Baidu’s AI ecosystem after the listing of iQiyi.”

South African Bank Becomes Biometric ATM Pioneer

‘One of South Africa’s biggest banks has developed a biometric ATM that will allow users to open an account using a fingerprint scan.

In announcing the development, First National Bank said it had been trialing the ATM in the province of Gauteng since November of last year, and that it will deploy 50 more units to select areas over the next six months. Called TouchPoint, the ATM is designed to match users’ fingerprint data against records held with South Africa’s Department of Home Affairs, helping to ensure that fraudulent accounts are not created. In addition to facilitating account creation, the ATM also lets users buy mobile airtime and electricity, and, of course, withdraw cash.

Commenting on the new ATMs, FNB Points of Presence CEO Lee-Anne van Zyl suggested that they could offer a real social benefit in their capacity to deliver banking to underserved areas. “Local retailers are often the back-bone for many communities, especially senior citizens who rely on local outlets to access basic services,” she said. “We believe that our partnership will drive foot-traffic to these small businesses and help them to provide increased value to customers.” ‘

Goldman Sachs Buys Personal Finance App Clarity Money

‘Goldman Sachs said it will be integrated into Marcus, its online lending service. According to Goldman Sachs, Clarity was attractive because it is a leading app that helps consumers make better personal finance decisions by using machine learning to provide advice that consumers can act upon.  Goldman Sachs said the acquisition of Clarity Money is “integral” to Marcus’ aim to create a platform where millions of consumers will go to borrow and save money that is transparent, easy and has the customers’ best interest in mind. Clarity Money will be free to use and over time will be rebranded Marcus by Goldman Sachs. “Consumers want a better way to manage their finances,” said Stephen Scherr, chief executive officer of GS Bank and head of the consumer and commercial banking division, in a press release announcing the deal. “Clarity Money has pioneered a consumer-centric approach to personal finance that will help Marcus continue to put power in the hands of consumers.”’

What do you think about the latest news in AI in Finance? Tell us in the comments.

To keep on top of the latest in AI in Finance, make sure you’re following the RE•WORK Finance page on Linkedin and our Finance news on Twitter.

Register now to join us at the AI in Finance Summit in New York, 6 - 7 September 2018! Meet and network with leading AI in Finance experts and hear them speak about their pioneering advances. It will be a very popular event so register now to avoid missing out and take extra advantage of our Early Bird Ticket prices until the 13th July - confirm your place here.

Not in New York? Access hours of premium video content from our previous Finance Summits on our Video Hub.