We asked four titans of the banking industry for their thoughts on the most prominent trends driving the banking space and why they're so important
Banking has changed considerably in the last decade and our expectations of what a bank is, and where we should find it, are drastically different. It’s indisputable that technology has been the driving force behind this change. With that in mind, we asked four senior industry executives to give us their view on the technology that is most influencing banking.
AI, data and privacy
By Adam Lieberman, Head of AI and Machine Learning at Finastra
From the adoption of chatbots to ML-powered risk and decisioning models, the banking industry continues to progress at an exponential rate. As financial institutions grow their business and adopt new technology, their stockpile of data is growing at the same rate. However, with great data comes great responsibility, and financial data often comprising sensitive and personally identifiable information falls under the most stringent governance. This dampens the spirit of innovation as banks need to collaborate and share data with one another to solve the world’s toughest financial problems such as AML or fairness in credit decisioning.
Thanks to evolving technology in the field of private AI, banks now have a suite of privacy enhancing tools (PETs) to collaborate at scale and solve these pressing financial problems together, without the requirement of physical dataset share, moving data, or manual partner agreements. PETs allow them to answer questions and develop models collaboratively with data they cannot see in a completely decentralised fashion for fully remote data science and analysis. This allows banks to own their own data, which never leaves their servers, and allows external model developers and software engineers to work with data in a private manner and build models and apps without needing physical access to datasets. Private AI and the suite of PETs are driving the future of collaboration and innovation in financial services, giving data its invisibility cloak.
By Alex Clere
February 08, 2023