Articles, Artificial Intelligence, Investing

5 Ways Financial Companies Can Invest in the AI Revolution

Written By: Rick Orford
Reviewed by: Mike Reyes
Last Updated August 9, 2023

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stylized tech depiction of human brain

Artificial intelligence (AI) is used in every aspect of our lives, from healthcare to transportation. But one field that hasn’t seen as much transformation from AI yet is finance. However, the industry is quickly becoming more automated and efficient thanks to AI-powered technologies like virtual assistants and chatbots. Here are five ways investments in artificial intelligence are changing the way we do business:

Automated tax software

For years, people dreaded tax season rolling around. For those that are not as familiar with tax law and are not numbers, the process could be even more frustrating. However, in recent years, different types of tax software have been developed that automate tax filing. It can be used to file taxes online, help with filing, and even help with tax planning. One of the prominent examples of tax software in 2023 is Turbo Tax, powered by Intuit. Whether it’s traditionally filing taxes or using more automated software, Intuit has all the information you’ll want to know if you want to learn how to become a tax preparer

Automated banking

Man Reading Newspaper While Sitting Near Table With Smartphone and Cup

Automated banking is one of the most popular use cases for AI. Automating routine tasks is a great way to reduce the time needed to complete them, and it can also be used to improve performance. For example, if you have an interest-earning account with your bank or credit union, there’s no need for someone to manually calculate how much interest you have earned each month–that job can be done by an algorithm instead.

Artificial intelligence and online banking

AI is being used to help banks predict customer behavior, analyze customer data, and create new products. AI can also be used to improve customer service and automate processes.

AI plays an especially important role in its ability to make quicker decisions. The technology can be used to make decisions about lending, foreclosures or other credit-related activities based on machine learning algorithms that analyze large amounts of data from previous transactions or interactions with customers or borrowers at scale. For example, if you do online banking activities every day at 10 am, your bank may incentivize you to be a consistently loyal customer. The bank knows what type of person they’re dealing with because they know everything about their clientele!

AI and the mainstream finance industry

AI is already making an impact on the modern finance industry. AI is being used to make financial transactions faster and more reliable and help customers make informed decisions about both simple and complex financial matters. 

AI can also save money by reducing costs associated with manual processes, like those involved in loan applications or customer service inquiries. It can also help you make better investments by analyzing large amounts of data quickly and accurately–something humans simply cannot do manually (or even with computers).

Predictive tools for the future of artificial intelligence in finance

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AI will be used as predictive tools for the future of artificial intelligence in finance.

AI can be used to predict stock prices and trends in the finance industry, as well as company performance and consumer spending. AI can also help identify fraudulent transactions or money laundering schemes by analyzing large amounts of data from multiple sources, such as social media posts or credit card purchases.

The future of AI in finance- looking ahead 

Artificial intelligence is changing the way we think about banking and finance. It’s a technology that has been around for decades in some capacity, but it’s only recently started to become more mainstream, especially within finance. As this article has shown, artificial intelligence can do everything from making your life easier by automating repetitive tasks such as paying bills or managing investments to give you better insight into where your money goes each month.

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