Several dystopian novels describe a future in which homo sapiens become enslaved or extinct because of the rise of robots and computers unwisely endowed with artificial intelligence by humans. Current buzz in the compliance world doesn't entail speculation on our extinction. However, there has been talk this month about the potential for regtech, or regulatory technology, to save banks vast amounts of money. No small part of the savings would be realized by replacing thousands of compliance officers with compliance bots. Asked about what type of reduction in regulation would benefit financial institutions most, Sullivan Cromwell's Senior Chairman Rodgin Cohen...
Fear of regulatory disapproval and data integrity concerns have kept some U.S. financial institutions from more fully incorporating machine learning and other artificial intelligence-based monitoring tools into their anti-money laundering programs, say sources.
Some of the country's largest financial institutions are increasingly seeking to hire more data analysts in efforts to make better sense and use of complex sets of transactional and customer information, say sources.
Dozens of technology-based financial services firms, or fintechs, are establishing robust anti-money laundering programs to boost their credibility with banks and avoid regulatory penalties, even as regulatory expectations for the industry remain uncertain, say sources.
Technology-based financial service providers are struggling to obtain accounts at global banks which, despite investing millions of dollars to develop the industry, remain skeptical of their ability to manage its risks, say analysts.