Artificial intelligence + Finance: disruptively reshape the financial industry
2021-07-23 09:58:54 From：ozmca.com
Mankind is moving towards the era of intelligence. At present, a new generation of artificial intelligence is booming around the world, injecting new momentum into economic and social development, and profoundly changing people’s production and lifestyles. The continuous development of artificial intelligence technology is undergoing a disruptive reshaping of the financial industry, spawning a series of product and business model innovations in the financial industry.
As a basic technological change, artificial intelligence spillovers are very driving forces and can promote traditional industries to achieve technological innovation and product upgrades. In the process of digital transformation of the financial industry, artificial intelligence will also play a “head goose” driving effect to promote technological revolution.
Mankind is moving towards the era of intelligence. At present, a new generation of artificial intelligence is booming around the world, injecting new momentum into economic and social development, and profoundly changing people’s production and lifestyles.
2018 is known as the year of the “big explosion” of artificial intelligence. The accelerated development of artificial intelligence presents new features such as deep learning, cross-industry integration, human-machine collaboration, group intelligence, openness, and autonomous control. It empowers all walks of life and promotes the accelerated leap from digitization and networking to intelligence in all areas of the economy and society.
The continuous development of artificial intelligence technology is undergoing a disruptive reshaping of the financial industry, spawning a series of product and business model innovations in the financial industry.
“In the financial industry, whether from the perspective of technology or talent, the landing and application of artificial intelligence technology in the financial industry has mature conditions.” Cai Xinfa, special assistant to the president of PingAn Bank, believes.
“Head goose” driving effect is prominent
Industry experts believe that the application of new technologies such as mobile Internet, blockchain, cloud computing, and big data is becoming more and more mature, giving full play to their respective advantages to jointly lay an important foundation for the intelligent transformation and upgrading of the financial industry.
From a technical perspective, artificial intelligence (AI) is essentially the ability of a machine to make intelligent decisions through a large amount of data training. Based on traditional calculation methods, the machine can only process information in accordance with pre-written programs. Once there is no preset situation or a large amount of contextual judgment is required, the machine will be powerless. And artificial intelligence can give the machine an understanding “brain”, allowing the machine to interpret the “semantics” contained in text and data, and obtain the rules of judgment through self-learning.
Therefore, as a fundamental technological change, artificial intelligence spillovers have a strong driving force and can promote traditional industries to achieve technological innovation and product upgrades. In the process of digital transformation of the financial industry, artificial intelligence will also play a “head goose” driving effect to promote technological revolution.
“Now, banking business has entered the era of banking 4.0 with AI as its core, and it has become ubiquitous.” Cai Xinfa said.
The industry generally believes that the banking industry, as a highly data-based industry, coupled with clear business rules and goals, is the best application scenario for data-driven technologies such as artificial intelligence and cloud computing. In the AI era, online banking business will become the mainstream, and the amount of data will increase sharply, exceeding the boundaries of human experience and processing capabilities. These unstructured, non-financial data are precisely the areas that artificial intelligence is best at processing.
Specifically, relying on the underlying core technologies such as machine learning, deep learning, natural language processing, and knowledge graphs, smart risk control solutions can provide pre-credit bank whitelisting, pre-loan access, post-loan warning, income scoring, and credit card activation promotion. Solutions for multiple scenarios such as mobile, credit card post-loan adjustment, and smart collection.
In the future, the rapid development of artificial intelligence will enable machines to simulate human functions to a large extent and realize batch humanization and personalized service to customers. This will definitely have a profound impact on the financial industry at the top of the service value chain.
Among the many links in financial services, the application of intelligent customer service is the most extensive. Take Bank of Communications as an example. At the end of 2015, the bank launched the first intelligent artificial intelligence service robot “Jiaojiao” in China, and it is currently working in business outlets in Shanghai, Jiangsu, Guangdong, Chongqing and other provinces. This robot adopts the world’s leading intelligent interactive technology, with an interactive accuracy rate of more than 95%. It is a truly intelligent service robot that “can listen and speak, think and judge”.
Intelligent customer service in the phone scene is mainly manifested as machine management and voice question and answer analysis, and another is a text robot, which is mainly used in search. Artificial intelligence uses deep learning of dialogues in texts and voice dialogues, and then applies them to online scenarios. It is understood that the manual replacement rate of this part of Ping An Bank exceeds 80%, which means that more than 80% of voice customer services no longer need to be processed manually; through AI customer service, Ping An Bank has increased its service volume by two to three times in the past two or three years. The manpower has been reduced by 40%.
In terms of robo-advisors, at the end of 2016, the robo-advisor product “Capricorn Smart Investment” was launched on the mobile app of China Merchants Bank. As a result, robo-advisors began to gradually change from experimental technology to a mainstream trend, becoming banks, brokers, insurance, etc. Over the past two years, the bank’s robo-advisor products have expanded rapidly. Among the large banks, ICBC, Bank of China, and China Construction Bank have successively launched related products; among joint-stock banks, Shanghai Pudong Development, CITIC, Industrial, Ping An, China Guangfa and Everbright Bank have also launched their own products; among city commercial banks, Bank of Jiangsu as early as August 2017 It launched the “Alpha Smart Investment”.
Another important application of artificial intelligence is risk control, which is particularly important for the financial industry. The combination of “artificial intelligence + risk control” is considered to be the most imaginative part of artificial intelligence in the financial field. In the traditional risk control process, there are problems such as information asymmetry, high cost, poor timeliness, and low efficiency, and it is difficult to meet the demand for credit growth caused by strong personal consumption. The introduction of risk control into smart technology enables pre-loan review, mid-loan monitoring, and post-loan management to improve the quality of financial technology products and service efficiency. Smart risk control can also promote risk management differentiation and business humanization.
For example, the identity recognition in smart payment depends on the corresponding account and the specific scenario. The scenario determines the specific data. The security of different scenarios is different. This security also determines what kind of data to use, some are secret-free, and some require further identity authentication. On the server side, the technology of face recognition and fingerprint recognition is quite mature. At present, many banks have adopted face login on the login interface of mobile APP. After login, different risk control measures are adopted according to different scenarios.
In the future, intelligent risk control will play a full role in the fields of credit, anti-fraud, and abnormal transaction detection, and provide solid technical support for the analysis and early warning and monitoring of fraud risks in the financial industry.
Will disrupt the financial industry
At present, the major developed countries in the world have taken the development of artificial intelligence as a major strategy to enhance national competitiveness and safeguard national security. They have stepped up their active plans and strengthened deployment around core technologies, top talents, standards and regulations, and strive to compete in the new round of international technology Take control.
Some analysts believe that by 2020, more than 50 billion machines and equipment will be interconnected, and more than 200 billion networked sensors will generate massive amounts of data. Artificial intelligence technology will become a breakthrough point in the transition from the mobile Internet era to the Internet of Everything era.
As the next “outlet” of technological innovation, artificial intelligence is not only a hot technology in the field of financial technology at this stage, but also a disruptive reshaping of the future financial industry. Artificial intelligence will become an important means for banks to communicate with customers and discover their financial needs, thereby enhancing the stickiness of banks to customers. Artificial intelligence technology can be used to serve customers in the front-end, to support decision-making in credit granting, various financial transactions and financial analysis in the middle office, and to prevent and control risks and supervise in the back-end. It will greatly change the existing financial structure and make financial services are more personalized and intelligent.
However, while artificial intelligence has become a “wind outlet”, there are also bottlenecks to be broken through. Industry experts said that with the development of artificial intelligence, challenges such as information islands, infrastructure security, and technological controllability have gradually emerged, and the entire industry needs to cope with it.