Financier Worldwide Magazine’s Post

Daniel Michael, David Simon and Merin Cherian discuss the U.S. Securities and Exchange Commission’s current approach to perceived AI-related risks. In the absence of final #AI rules, the commission’s efforts indicate that it is considering using existing #regulatory provisions to address AI. #artificialintelligence #regulation #enforcement #compliance #dataprotection

The UK's financial regulator has released a consultation paper that includes proposed changes to its guidelines on transaction monitoring. In this video, Michael Shearer, our Chief Solution Officer here at Hawk, has highlighted four areas of the consultation paper that he thinks will be particularly helpful for financial crime professionals. In summary, he mentions four points that the Financial Conduct Authority makes in relation to transaction monitoring: 1. The importance of a holistic view of customer behavior rather than just transaction-by-transaction analysis 2. The value of monitoring at multiple levels of aggregation (from transaction to linked-entity level) 3. The focus on better-quality alerts overall when replacing systems and the recognition that systems may not flag all the same events 4. The endorsement of exploring the use of new approaches to automated monitoring (e.g. network analysis or machine learning) Get in touch if you'd like to know more about Hawk's explainable AI for transaction monitoring. #aml #fincrime #financialconductauthority #fca #banking #uk #bankingtech #ai #transactionmonitoring #artificialintelligence #financialinstitutions 

🚨FOUR DAYS TO GO🚨 Want to become an expert on the newest EU AI Act? Join us on February 22nd at our Meetup on AI Act & European AI Regulation 🤖 In the dynamic realm of finance, artificial intelligence (AI) and machine learning are reshaping operations, streamlining processes, and enhancing fraud detection. But how does the EU's groundbreaking AI Act impact the future of financial services? Gain insights directly from industry experts: 🦾 Nicolas Kalokyris (DLA Piper) will provide a global overview of the AI Act and discuss current AI regulations outside the Act. 🦾 Dan Nechita (Head of Cabinet MEP Dragoș Tudorache) will delve into the EU AI Act's next steps and international implications. 🦾 Dagmar Schouterden (Discai) will unveil how AI is transforming Anti-Money Laundering efforts, serving as a game changer in the fight against financial crime. 🦾 Laurent Bodson (GAMBIT Financial Solutions) will share insights on AI-powered innovations shaping a healthier financial future. 🎙️ Have your burning questions addressed by these thought leaders in a lively panel discussion moderated by Pierre Berger from DLA Piper. And don’t forget the amazing networking session at the end! There is still time to stay ahead of the curve in AI regulation. Grab your ticket here 👉 https://lnkd.in/d-6iBuPk Brought to you by DLA Piper. #fintechbe #AIRegulation #AIAct #EU #DLAPiper

🔍 Exciting developments in the financial services sector! The Financial Conduct Authority's latest consultation paper, CP24/9, on 'Financial Crime Guide updates' highlights the evolving landscape of combating financial crime. 💼 Particularly noteworthy is the integration of #AI in transaction monitoring systems, leveraging machine learning tools for detecting suspicious activities or triaging alerts. 🤖 The use of #AI in financial services is poised for scrutiny under the [imminent] EU #AI Act, given its substantial implications for consumer rights and financial system stability. As we navigate these regulatory waters, it's crucial for industry players to stay informed and proactive in ensuring compliance and responsible #AI usage. 💡Looking forward to engaging discussions and collaborations as we chart the path ahead in leveraging #AI for a safer and more robust financial ecosystem. https://lnkd.in/dhfNS5qs #FinancialServices #AIinFinance #RegulatoryCompliance AI & Partners 🚀

"We are at a global inflection point in the rise of technology in financial services...", to quote FCA Chief Executive, Nikhil Rathi, speaking this week. I couldn't agree more. And safe to say that we're ahead of the curve and leading the discussion on this in this year's BCLP Emerging Themes in Financial Regulation & Disputes 2024. Read more from my colleagues David Rundle and Siân Cowan. https://lnkd.in/eT8Ht8xp #ai #artificialintelligence #consumerduty #fca #financialregulation

European #Parliament formally passed the EU Artificial Intelligence (AI) Act this month. The act adopts a risk-based approach, categorizing #artificialintelligence systems into four risk levels: unacceptable, high, limited and minimal. The act will further complicate an already complex #regulatory environment for #technology companies, while yielding limited results in combating #deepfakes, leaving companies increasingly vulnerable to #fraud and legal and reputational harm. Noncompliance with the new law can lead to fines ranging from 1.5% to 7% of global sales.

Following the government’s white paper, regulators including the Financial Conduct Authority, the Bank of England and the Prudential Regulation Authority have confirmed a principles-based approach for the UK financial sector in relation to AI, suggesting that regulated entities are unlikely to be bound by prescriptive rules governing the use of AI in the near-term. "Many businesses that operate in the financial sector – including financial services firms and technology providers – will welcome the principles-based approach favoured by the regulators and will be happy that they will not need to prepare for a prescriptive new suite of regulations in relation to IT systems that rely on AI components," says law firm Hogan Lovells. #AI #machinelearning #regulation #finreg #markets #trading #technology #innovation #data Jessica Rusu

Bank of England's financial technology expert, Kathleen Blake, highlights the risks of rapid AI adoption in the financial sector due to inherent biases. It's crucial to understand and address these biases for safer AI integration. #TopDAlliance #TopDStaffing #News #NewsByte #BankOfEngland #AIBias #FinancialTechnology #AIAdoption #KathleenBlake #AIinFinance #SafeIntegration

Check out the latest blog post by Charit Arora from Capco reflecting on surveillance and financial crime at the NICE Actimize ENGAGE conference in London. Dive into the future of #AI, #data, and #regulatory landscape in financial services! 🔍💼🔗 https://okt.to/hIUuRK

Safeguarding your organisation’s reputation has never been more important. ESG failings of third parties, their criminal behaviour, or their adverse reputation could have a knock-on impact on your business — a drop in sales, a falling share price or damage to your brand. And with CS3D on the horizon, thorough and ongoing third-party due diligence assumes greater importance. But with so many suppliers, representatives and other associated parties operating in so many countries, how can already stretched resources cope with increased due diligence overhead? Next week, smartKYC’s CEO, Dermot Corrigan will address these challenges and demonstrate how 24/7 risk vigilance is possible on a webinar “Automating third-party due diligence and ongoing monitoring with advanced, multilingual AI” with Procurement Leaders | A World 50 Group Community, on Thursday, November 30 at 3:00pm, GMT. To attend this live webinar, register here: https://lnkd.in/eG4WPud2 #smartKYC #KYC #duedilligence #artificialintelligence #AI #transformation #fintech #perpetualKYC #procurementleaders