AI Articles and Analysis in Finance

COVID gave the digitalization of modern business such a tremendous push forward that it advanced a decade in just a few years. Companies and sectors that had never imagined a remote workforce were forced to connect entirely online. 

Intelligent document processing is best thought of as another name for data extraction, where paper-based information is transferred to a digital format. According to the U.S. Governmental Services Administration, roughly 80% of any organization's data comes from unstructured sources – like paper records management. 

Compliance workflows across financial services are no strangers to AI. Noncoding enterprise leaders are often awash in reports on how robust the AI vendor market is for AML and KYC or KYCC (know your customer's customer) compliance. Celent estimated that spending in the financial services sector on AML/KYC compliance tech and operations would reach $37.1 billion last year, an increase of 13.7% from 2020. 

Insurance is a growing arena for AI adoption and in many cases, automation is leading the way to streamline customer experiences and the organizational pipelines behind them along the entire customer journey.

Around five years ago, the promise of chatbots and conversational interface (CI) vendors to significantly enhance operations and customer satisfaction led to a bubble in investment from financial institutions (FIs) and many observers — including us at Emerj — to slap vendors with the "hype" label.

Financial services is an industry rife with repetitive processes and workflows that do not ultimately require human judgment to complete. Nearly three out of five leading banks polled [pdf] in a survey from Arizant, American Banker, and robotic process automation (RPA) vendor UiPath reported that their organizations had already implemented "moderate or significant" automation technologies by March 2022 to accomplish these tasks at their organizations. 

Security analysts spend disproportionate amounts of time investigating suspicious transactions. False positives – or transactions incorrectly flagged as fraudulent – cost both the analysts and the employer time and money.

The banking sector has come a long way from the days of standing in lines to withdraw cash or report an issue. Today, customers just tap on a phone screen for most of a customer's needs. According to a survey published last year by Oracle, 56% of customers believe their customer experience has improved the most in the last two years with new entrants like digital wallets and digital payments.