AI and the Future of Banking

Introduction

At face value, addressing the two topics of artificial intelligence and banking in a single book might seem to be a challenging undertaking for both the reader and the writer. Artificial intelligence (AI) is an expression widely and extensively misused to represent what is, in many cases, the use of advanced analytics. Banking similarly is a generic expression for financial transactions of many types, and there are many different types of banks that are already using or need to use analytical approaches to run their businesses profitably. To effectively understand the interaction of both banking and analytics requires a knowledge of both even at a rudimentary level.

AI and the Future of Banking considers the many types of banking and how they use advanced analytics and artificial intelligence. It is predicted that by the mid-2020s, half of all businesses, including banks, will be using intelligent, self-learning systems. The banking industry is at the forefront of investigating and using advanced analytics, cognitive analytics and AI in a broad range of applications, including customer analytics, operational efficiency, risk management and providing wealth advice for clients.

This book aims to allow for the varying depth of knowledge of readers. Some will have considerable insight, whereas others will have limited or no experience. Some readers may be experienced in banking but have little knowledge of the topic of AI and advanced analytics. Others may be analytical ...