A recent panel discussion at Nicsa's 2024 Strategic Leadership Forum, Reshaping the Value Chain with AI, explored the transformative impact of Artificial Intelligence (AI) on the asset and wealth management industry.
The panel was moderated by Michael Sands, Senior Manager, Strategy & Consulting - Capital Markets, Accenture and featured Joe Bonanno, Global Head of Data, Digital and Innovation, Citi; Vinay Nair, Founder and CEO, TIFIN; and Koren Picariello, Executive Director and Head of Generative AI Strategy and Execution, Morgan Stanley.
The discussion highlighted how AI is revolutionizing existing practices and driving automation, consequently reshaping opportunities and value streams within the industry. However, questions around risk management and scalability remain crucial.
Key insights emphasized the necessity of securing business buy-in and delivering value-driven outcomes, alongside collaboration with partners to devise effective roadmaps. The industry is poised to transition from viewing GenAI merely as a tool to leveraging it for comprehensive organizational transformation, with Responsible AI taking precedence.
Five Steps Asset and Wealth Managers Can Take (Now)
- · Educate teams on how to prompt engineer, how to iterate on that prompt, how to review the outputs, how to gain legal risk compliance approvals.
- · Improve productivity with meeting notes, action items, and executive summaries.
- · Look into building language models that can ultimately streamline client onboarding, sales support, and marketing.
- · Support the front office by summarizing sell side research collaboration.
- · Support the middle and back office operations of KYC, NAV oversight, and reconciliations.
Establishing a Center of Excellence
Integrating generative AI solutions across organizational frameworks is imperative. The establishment of foundational building blocks can ensure consistency and efficiency across all use cases, reducing the need for repetitive engagements with stakeholders such as legal, risk, and compliance partners or UX teams. Executive buy-in is essential and can be achieved by involving relevant stakeholders, targeting pain points strategically, prioritizing use cases, and highlighting return on investment while acknowledging the morale boost associated with realizing AI's value.
Through collaboration, experimentation, and strategic partnerships, organizations can harness the transformative potential of AI to drive innovation and enhance operational efficiency in the asset and wealth management industry.
Personal views and observations of individuals contained herein are as of the date of the live event or written material and do not necessarily reflect the views of Nicsa or its member organizations. May contain forward-looking statements subject to various uncertainties. Nothing herein is intended to be or should be construed as legal advice. Contact your own counsel in order to obtain legal advice regarding these or any other matters. The information contained herein is for informational purposes only and does not constitute a recommendation of best practices.
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