Unprecedented advancements in digital technologies and their rapid adoption by the masses world over have completely revolutionized the finance industry. Financial Technology or FinTech as we know has not only made life more convenient for the customers but its synergy with Artificial Intelligence (AI) has even streamlined customer experience, automated daily tasks and enhanced fraud detection.

As per several reports, the global artificial intelligence market is forecasted to break the $500 billion mark in 2023.

Let’s look at the top 4 ways in which Artificial Intelligence (AI) is changing the FinTech industry.

1. Personalized Banking Services – If it wasn’t for AI, providing personalized banking services to myriad unique individuals can be the most daunting task for the financial institutions. Personalization makes the customers feel more strongly about your company which also leads to brand loyalty.

AI algorithms are constantly digging and analysing consumer information which is why AI in banking apps are aiding customers track individual financial goals and expenses.

With time the AI systems are only getting better and it comes as no surprise that now they are even able to predict the mood of the customers and recommend agents the relevant solutions to offer them.

2. Advanced Algorithmic Trading – Though Algorithmic Trading has been existing since the 1970s the recent advancements in AI have made it more reliable. Using AI technology like machine learning, Algorithmic Trading enables better execution of stock trades with better trading decisions. The technology processes colossal volumes of data in real-time to share key insights that statistical models are unable to detect.

Courtesy of AI-powered decision-making, customers are freely able to trade stocks & shares through user-friendly mobile apps.

3. Improved customer service – The most dominant area of Fintech has always been customer service which has been further improved through the advent of AI. The advancements in AI are now powering reliable chatbots and virtual assistants that can interact with customers with expertise. Undoubtedly, it’s also enabling cost-cutting as organizations are now rethinking about their front office and helpline costs.

To top it all, AI is now using complex sentiment analysis that focuses on understanding the customer’s experience and identifying shortfalls to give even better personalized experience to the customers.

4. Enhanced Fraud Detection – Amidst mega scale financial operations happening on a daily basis, it becomes next to impossible to manually review every single transaction for potential fraudulent or suspicious activity. This is where AI is intervening with smart monitoring of banking transactions in real-time.

On the other hand, the AI algorithms are also detecting anomalies or unusual patterns that wavers from a user’s standard spending behaviour. If that wasn’t enough, AI is even enabling Fintechs to respond faster to fraudulent activities with more precision.

For staying up to date with the latest developments in Fintech and availing a learning opportunity like no other, register now for the 10th edition World Financial Innovation Series (WFIS) happening at Sofitel Philippine Plaza in Manila, Philippines on 16 – 17 August 2022.

The event will feature the leading thought leaders, fintech experts and technology providers from across the region who will share the latest objective insights, use cases, strategic advice, case studies and a lot more. For more information, visit the website: https://philippines.worldfis.com/

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