The article emphasizes that AI should be used to empower advisors and teams to engage more authentically and intelligently with their customers. It also highlights the importance of maintaining human agency in financial services, as machines cannot fully comprehend the intricacies of human emotions and connections. The author concludes that there is a place for AI in modern financial services, provided it aligns with the firm's and consumers' risk comfort levels and future regulations.
Key takeaways:
- AI can unlock various capabilities in financial services, including hyper-personalized experiences, cost-efficient operations, better compliance, and intelligent insights.
- Concerns over AI in financial services include potential release of the firm’s IP, data security and privacy, reputational and brand risk, and unresolved copyright and consent issues with generative AI models.
- Five tenets for finding balance in AI implementation include using AI to enhance human experience, determining the right model for use case, using AI as a tool to assist advisors, gaining leverage from trusted partners, and implementing robust policies and procedures to monitor the use of AI.
- Regulators have signaled that policy and procedures will be critical to the successful implementation of an AI-enabled platform in financial services to avoid conflicts of interest and protect the consumer.