Artificial Intelligence and Machine Learning in Fintech

The financial industry has long been among the early adopters of technological advancements. From the mainframe computer to relational databases, financial companies and institutions have played a role in the normalisation of new technologies. In the digital age, the computational advantages brought about by solutions stemming from artificial intelligence (AI), big data and machine learning (ML) are among those being tapped by the financial technology (fintech) sector.

Fintech players, whether start-ups, established companies or entrepreneurs such as Razi Salih, lead the pack in testing AI and ML solutions. This pace to adopt has opened up opportunities but also brought a realisation: to capture the full power of these technologies, fintech companies have to go the extra mile.

Many businesses are struggling with how best to adopt them, underlining the work that lays ahead for those seeking to implement the technology practically.

Digging Deeper

For the fintech sector, the benefits of adopting AI and ML solutions range from cost savings to the ability to generate custom products. However, adoption has been slowed down by a lack of technical integration capacity and underappreciation of the value these technologies have to offer. Finding the people capable of working with AI and ML is crucial to fintech companies, especially where the business looks to create impactful solutions.

In an era where vast volumes of data are generated by the day, having technology that can unlock insights from this data is a gamechanger for a company. That's what AI and ML have to offer fintech companies when implemented right. Additionally, these technologies can help scale a business's growth and achieve returns on investment that justify the cost of investing in them.

Practical Solutions

Machine learning analyses historical data to uncover patterns and behaviours that can help businesses tailor solutions that meet customers' needs. In retail banking, ML has proved useful in this regard. Credit scoring and fraud detection are among the highlight-worthy applications, while the technology's ability to provide predictive analysis has helped businesses personalise the user experience.

On the other hand, artificial intelligence has flourished in the healthcare industry. Start-ups in this field have come up with modern solutions that help medical professionals care and treat patients. These solutions analyse data to alert doctors about a patient’s condition, improving the chance of medical intervention before hospitalisation. In the long run, early medical attention can lead to longer life expectancy and play a role in eradicating various diseases and conditions.