This move follows a trend of banks appointing executives to lead their AI initiatives, with JPMorgan Chase and Goldman Sachs also assigning leadership roles in this area. The banking sector is one of the largest users and spenders in AI, accounting for 13% of the $166 billion spent globally in AI in 2023. Examples of AI use in banking include fraud detection, risk assessment, credit underwriting, and powering virtual assistants.
Key takeaways:
- Jeff McMillan has been appointed as the new head of firm-wide artificial intelligence at Morgan Stanley, a role in which he will oversee the bank's overall AI strategy and governance.
- McMillan previously led the analytics, data, and innovation team in Morgan Stanley's wealth management unit, where he launched the first chatbot for financial advisors used by a major Wall Street Bank.
- Other banks, including JPMorgan Chase and Goldman Sachs, have also appointed executives to lead their AI initiatives, reflecting the growing importance of AI in the banking sector.
- AI is increasingly being used in the banking sector for a variety of purposes, including combating fraud, assessing risk, making credit underwriting decisions, and powering client-facing virtual assistants.