Artificial Intelligence in Financial Services

The integration of artificial intelligence (Al) systems within the financial services industry has the potential to transform business operations, improve customer relations, and enhance regulatory compliance efforts. However, its adoption is not without risk; the integration of Al raises significant ethical concerns and threatens market integrity, data privacy, consumer protection, and other modern tenets of law. While these concerns are not necessarily new to the financial services industry, they do present barriers to the incorporation of Al technology. This article explores both the benefits and risks associated with Al in the context of financial services, discussing the relevant policy considerations and current regulatory landscape. It synthesizes current research and industry invites to provide an overview of the opportunities and challenges associated with the use of Al within financial services while addressing the lack of certainty currently observed in formulating an approach for broader incorporation. In doing so, this article offers valuable insights for financial
professionals and researchers in navigating the rapidly evolving landscape of Al-driven financial services.