Dow Jones Factiva’s Post

Hear from our industry experts as they discuss practical applications of #AI and news analytics in #CorporateCredit #RiskManagement. Learn about the predictive modeling techniques empowered by AI and #NewsData along with case studies of successful implementations. Register now: https://bit.ly/3UmlCIf

What's on the horizon for ESG regulation? Our Q3 2024 outlook examines this and other key areas expected to be prioritized by financial services regulators across the globe. Read it here: https://whcs.law/3YEqexa #whitecase #financialservices #ESG #AI

Can AI autonomously conduct research and write compelling analyses? It’s not as far-fetched as it sounds. Researchers from Carnegie Mellon University have introduced an AI system capable of generating entire scientific papers autonomously. Dubbed “Researcher-in-the-Loop,” this system leverages advances in large language models (LLMs) to create a pipeline that handles everything from hypothesis generation to experiment execution and paper writing. What’s remarkable here isn’t just the automation of these tasks—it’s the fact that the AI can produce coherent, well-structured analyses that bear a striking resemblance to human-authored work. The system operates by:   1.  Hypothesis Generation: The AI brainstorms a range of research ideas, scoring them for novelty, feasibility, and potential impact.   2.  Experiment Execution: It then designs and runs experiments, refining its approach based on real-time feedback.   3.  Paper Composition: Finally, the AI composes a complete research paper, formatted in LaTeX, suitable for academic submission. ... What are the implications for intelligence analysts? Join the Augmented Risk Intelligence and Management community to lead the profession's evolution. https://lnkd.in/e7TAgGyU #riskintelligence #ai #research #upskilling #riskmanagement

🚀 Better Liquidity Risk Management for Broker-Dealers firms 🚀 Insufficient stresses on Clearing Deposit requirement, No Contingency funding plans, Inaccurate Supplemental Liquidity Schedule (SLS) reporting. These are the observations published in the FINRA 2024 Annual Risk oversight report about Broker-dealer firms on their Liquidity Risk Management reporting. Audit firms and broker-dealers face strict scrutiny from FINRA in today's regulatory and financial stability-focused era. 🤓 Read our one pager no Stress Testing for Broker-Dealer firms with AI: https://lnkd.in/gcWzyuYE Discover how our cutting-edge solutions, integrating AI and ML, revolutionize stress testing processes, ensuring compliance, and fostering operational resilience. We delve into the essence of robust liquidity risk management, emphasizing the significance of advanced stress testing frameworks to navigate regulatory landscapes efficiently. 🔍 Why This Matters: Tailored insights for consulting and audit firms, enhancing advisory services. Empowering broker-dealers with scalable, compliant risk management strategies. ✨ Transform Your Approach to Liquidity Risk Management ✨ Get ahead & check out "FINRA 23-11": https://lnkd.in/g8z7ZabB - Liquidity Risk Management rule. Our comprehensive strategies will equip your firm with compliance. 🔗 To get started, contact us: [email protected] #Finra #Consulting #AuditFirms #BrokerDealer #RiskManagement #RegulatoryCompliance #FinTech #AI #MachineLearning

Risk Management and AI 🚩🚩 🤓 Article on Artificial Intelligence risk measurement by Paolo Giudici Mattia Centurelli Stefano Turchetta The authors see their main contribution in providing an integrated risk management model for artificial intelligence applications 😎 Great approach to risk assessment and AI, based on a set of Key Risk Indicators for AI Risk Management (KAIRI) 🙂 A great start to the discussion on AI regulation, trustworthiness, explainabilty that will be keeping occupied for the coming months in #2024 🦉 open access and just fresh off the press, start reading #AI #risk #management #explainabilty #technology #future #governance #regulation #audit

New Research and a hot topic🔥 European Union AI Act, Security Exchange Commission AI Regulation Europäische Zentralbank AI supervision #AI #Risk #Regulation #Management #Technology #Future

Get ready to revolutionize risk management with the latest technology! 🌟 #GenerativeAI is the way to go for innovation in banking and financial services. But be warned, there are some serious risks involved. 😱 Our full article takes you on an exciting journey through the dynamic world of #GenAI, revealing how it's reshaping risk management. We've got all the insights and recommendations you need to confidently navigate your transformation. Don't miss out on this amazing opportunity to gain a deeper understanding of the future of risk management. Get ready for a game-changing experience! 💥 #RiskManagement #ChatGPT #FinancialServices #InnovationInBanking

𝑇𝑟𝑎𝑑𝑖𝑡𝑖𝑜𝑛𝑎𝑙 𝑟𝑖𝑠𝑘 𝑚𝑎𝑛𝑎𝑔𝑒𝑚𝑒𝑛𝑡 𝑎𝑝𝑝𝑟𝑜𝑎𝑐ℎ𝑒𝑠 𝑠𝑡𝑟𝑢𝑔𝑔𝑙𝑒 𝑡𝑜 𝑘𝑒𝑒𝑝 𝑢𝑝 𝑤𝑖𝑡ℎ 𝑡ℎ𝑒 𝑓𝑎𝑠𝑡-𝑝𝑎𝑐𝑒𝑑 𝑎𝑛𝑑 𝑐𝑜𝑚𝑝𝑙𝑒𝑥 𝑛𝑎𝑡𝑢𝑟𝑒 𝑜𝑓 𝑐𝑎𝑝𝑖𝑡𝑎𝑙 𝑚𝑎𝑟𝑘𝑒𝑡𝑠. Manual processes and outdated models lead to missed risks and inefficiencies, costing firms both time & money. Here is how I think Generative AI offers a transformative approach to risk management 𝟏. 𝐄𝐧𝐡𝐚𝐧𝐜𝐞𝐝 𝐑𝐢𝐬𝐤 𝐀𝐬𝐬𝐞𝐬𝐬𝐦𝐞𝐧𝐭 𝐚𝐧𝐝 𝐌𝐨𝐝𝐞𝐥𝐢𝐧𝐠 𝑫𝒂𝒕𝒂 𝑨𝒏𝒂𝒍𝒚𝒔𝒊𝒔: AI analyzes vast amounts of market data, news, & regulatory filings to detect early warning signs of emerging risks. 𝑺𝒊𝒎𝒖𝒍𝒂𝒕𝒊𝒐𝒏𝒔: Runs simulations to forecast potential impacts under different scenarios, optimizing risk management strategies. 𝑨𝒄𝒄𝒖𝒓𝒂𝒄𝒚: Achieves 30-50% improvement in predicting risk factors by continuously refining models. 𝑨𝒖𝒕𝒐𝒎𝒂𝒕𝒊𝒐𝒏: Automates data collection for counterparty risk assessments, generating early-warning signals based on trigger events. 𝟐. 𝐅𝐫𝐚𝐮𝐝 𝐃𝐞𝐭𝐞𝐜𝐭𝐢𝐨𝐧 𝐚𝐧𝐝 𝐏𝐫𝐞𝐯𝐞𝐧𝐭𝐢𝐨𝐧 𝑷𝒂𝒕𝒕𝒆𝒓𝒏 𝑹𝒆𝒄𝒐𝒈𝒏𝒊𝒕𝒊𝒐𝒏: Analyzes transaction data to identify irregularities and patterns indicating fraud. 𝑨𝒈𝒊𝒍𝒊𝒕𝒚: Detects nuanced risk indicators, becoming increasingly agile at recognizing fraudulent tactics. 𝑬𝒇𝒇𝒊𝒄𝒊𝒆𝒏𝒄𝒚: Reduces false positives by up to 30% compared to rules-based systems, saving significant costs. 𝟑. 𝐑𝐞𝐠𝐮𝐥𝐚𝐭𝐨𝐫𝐲 𝐂𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞 𝐚𝐧𝐝 𝐑𝐞𝐩𝐨𝐫𝐭𝐢𝐧𝐠 𝑨𝒖𝒕𝒐𝒎𝒂𝒕𝒊𝒐𝒏: Tracks regulatory changes and modifies controls or develops new ones automatically. 𝑷𝒐𝒍𝒊𝒄𝒚 𝑴𝒂𝒏𝒂𝒈𝒆𝒎𝒆𝒏𝒕: Automates drafting and updating policies to reflect changing requirements. 𝑹𝒆𝒑𝒐𝒓𝒕𝒊𝒏𝒈: Generates automated reports on risk and compliance, including ESG sections of annual reports. 𝟒. 𝐂𝐥𝐢𝐦𝐚𝐭𝐞 𝐑𝐢𝐬𝐤 𝐌𝐚𝐧𝐚𝐠𝐞𝐦𝐞𝐧𝐭 𝑰𝒏𝒔𝒊𝒈𝒉𝒕 𝑮𝒆𝒏𝒆𝒓𝒂𝒕𝒊𝒐𝒏: Draws insights from multiple lengthy reports and distills answers from source materials. 𝑬𝒗𝒂𝒍𝒖𝒂𝒕𝒊𝒐𝒏: Generates syntheses of counterparty transition plans, comparing them against actual emissions to evaluate progress. 𝑻𝒓𝒆𝒏𝒅 𝑨𝒏𝒂𝒍𝒚𝒔𝒊𝒔: Identifies market trends and environmental impact to uncover green investment opportunities. 𝐂𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞𝐬 𝐚𝐧𝐝 𝐂𝐨𝐧𝐬𝐢𝐝𝐞𝐫𝐚𝐭𝐢𝐨𝐧𝐬 𝑹𝒆𝒈𝒖𝒍𝒂𝒕𝒊𝒐𝒏𝒔: Need for clear regulations and governance standards for AI in finance. 𝑬𝒕𝒉𝒊𝒄𝒔: Concerns around fairness, accountability, transparency, and potential biases in AI models. 𝑺𝒆𝒄𝒖𝒓𝒊𝒕𝒚: Robust data governance, security measures, and human oversight are essential. 𝑻𝒂𝒍𝒆𝒏𝒕: Requirement for specialized AI talent and addressing potential workforce disruptions as routine tasks get automated. By leveraging GenAI responsibly with human expertise, firms can significantly improve efficiency and effectiveness. How is your firm integrating AI into its risk management? #ai #genai #riskmanagement #financialmanagement #investment

Building a Responsible AI Framework A responsible, well-planned AI framework is make or break for any company. But for CFOs, who have to anticipate the financial risks behind any AI innovation, plus questions from investors and analysts, there’s all the more reason to lead with caution. https://hubs.la/Q026zSNB0

Last call for our Virtual Forum this week. In this event, we will explore the impact of artificial intelligence (AI) and large language models on Information Governance. Click here to register! http://spr.ly/6046wNgyu #EMEAVirtualForum #informationgovernance #datagovernance #OneIronMountain