AI's Transformation of the Finance Sector, According to Regulator

AI's Transformation of the Finance Sector, According to Regulator

– The director general of Guernsey's Financial Services Commission (GFSC), William Mason, believes that artificial intelligence (AI) will bring about a "transformation of business" in the finance industry.

AI's Transformation of the Finance Sector, According to Regulator

Mason spoke at a conference on AI's role in the finance sector, stating that AI will change jobs but not result in fewer employees.

AI's Transformation of the Finance Sector, According to Regulator

– Instead, more basic tasks will be automated, allowing staff to focus on more complex roles.

AI's Transformation of the Finance Sector, According to Regulator

– The use of AI in Guernsey's financial services sector is seen as an opportunity to utilize the available workforce more efficiently, as there is currently a shortage of skilled professionals.

AI's Transformation of the Finance Sector, According to Regulator

– The investment bank Goldman Sachs suggests that AI could potentially replace 300 million full-time jobs worldwide, while also creating new jobs and boosting productivity.

AI's Transformation of the Finance Sector, According to Regulator

– In the context of Guernsey's economy, the finance sector contributed over £1.2 million in 2021, accounting for 36% of the total GDP.

AI's Transformation of the Finance Sector, According to Regulator

Mason highlighted one specific area where AI could be beneficial: the handling of applications to fund a new insurer through GFSC. Currently, manual document checks are required,

AI's Transformation of the Finance Sector, According to Regulator

– but Mason envisions a future where an AI system performs 90% of these checks electronically, with a human decision-maker involved in the final decision-making process.

AI's Transformation of the Finance Sector, According to Regulator

– Mason emphasized the importance of embracing AI, stating that there is no option but to adapt and learn to live well with it.