What is the future of AI within Financial Services?AI is without a doubt one of the most talked about technologies at the moment almost every organisation in every sector looking to understand how they can harness the competitive benefits it offers while also looking at how they implement the necessarygovernance needed to ensure ethical use. Financial services is no different, with data taken fromNash Squared's DigitalLeadership reporthighlighting that more than 60% of businesses were actively considering, piloting or implementing AI. In fact there are a host of user cases highlighting how the sector is using AI to improve processes and customer experience. Keen to understand how the Finance Sector is adapting AI and what this means for roles, we caught up withAssociate Director,Peter Westonand Senior ConsultantAkeesh Khokhar. What are some of the areas in which AI is changing Finance Services?Peter Weston, Associate Director, Financial Services Practice:“There are a number of areas of finance where we are seeing AI starting to have an influence. For instance, in Investment Banking and Investment Management we have seen a change within IT whereAI is being used increasingly as the first line of support for helpdesk functions. We’ve also seen internal chat integrations of AIinto the likes of Slack and Teams in the form of a chatbot. AI has also been used to make the initial changes in document reviews within legal and regulatory teams. Specific to the Investment Management sector, we have seen the use of AI for performance and client reporting and automating very manual tasks across the industry. Usage in bothInvestment Banking and Investment Managementvery much depends on the data and ‘history of data’ the AI can utilise. The insurance industry is also embracing the power of AI,witha number of companies we work with using AI in underwriting and for pricing quotes. This is really having an impact as cutting seconds off the time it takes to respond to a query can make the difference between securing a deal or not. Finally, we have also seen a number of companies in the insurance sector using AI to interpret and analyse CSV files. Some insurance companies are now even basing the data and analysis function within underwriting, so that this then becomes the home to AI. There has always been an element of this, but the commercial possibilities of AI are now being viewed more widely as transformative for businesses.” What new technology jobs are likely to be created?Akeesh Khokhar, Senior Consultant, Risk, Regulation & Compliance:“We haven’t yet seen a reduction of Developer/Programmer positions due to AI, but we do believe that the role will change significantly over time. A clear example of this will be with an increase in Machine Learning in roles and Pair Programming incorporating AI, rather than utilising multiple team members. The use of Copilot is also taking over a number of the manual and repetitive tasks on a day-to-day basis. We are also seeing AI heavily influence the Data Scientist/Data Analyst role as it brings with it a massive influx of data. Data Scientists and Analysts are becoming increasingly responsible for analysing the vast amounts of data generated by AI systems to derive insights, identify trends, and make data-driven decisions to enhance various aspects of banking operations, such as customer segmentation, fraud detection, and personalised marketing. We also see the role of Customer Experience Designer being significantly changed by AI as it has the potential to revolutionise customer experience in banking, from chatbots and virtual assistants to personalised recommendations and predictive analytics. Customer Experience Designers will increasingly focus on leveraging AI technologies to create seamless and intuitive customer interactions across various touchpoints, such as mobile apps, websites, and in-branch experiences. AI will also have an impact on the cybersecurity function. In particular, cybersecurity analysts/engineers within banking will have an increasing reliance on AI systems. Those cybersecurity professionals specialising in AI will also be responsible for detecting and mitigating AI-related security threats, such as adversarial attacks and data breaches, to safeguard sensitive financial information and maintain trust in banking services. In addition, we have seen new AI driven roles start to develop such as AI Strategists/Consultants, and also expect to see the following new roles developing in banking: AI Ethicist/Regulator:As AI becomes more integrated into banking, there will be a need for professionals who understand the ethical implications and regulatory requirements surrounding AI usage. These individuals will ensure that AI systems are deployed responsibly and comply with relevant regulations, such as data protection and privacy laws. AI Model Validator:Given the critical role of AI in decision-making processes within banking, there will be a need for experts who can validate AI models to ensure their accuracy, fairness, and transparency. These validators will assess AI models for potential biases and errors, particularly in areas such as credit scoring and loan approval. AI Product Manager:As banks develop and deploy AI-driven products and services, product managers specialising in AI will be responsible for overseeing the entire product lifecycle, from ideation and development to launch and maintenance. They will work closely with cross-functional teams to define product requirements, prioritise features, and ensure alignment with business goals. Which technology jobs are underthreat?Peter Weston, Associate Director, Financial Services Practice:“We’re rarely seeing technology roles in financial services being made redundant - but we are seeing a decrease in team size across IT, as AI can automate a lot of manual tasks and enhance the productivity of individual workers. We view helpdesk and support roles to be most at risk, but this also offers the opportunity for these workers to upskill and specialise more quickly. We anticipate that specialist (narrow) coders/ programmers will also come under threat, as it will become increasingly important to have a wide skillset that enables coders to understand broad logic and utilise AI from this.” Will the overall nature of the financial sector change due to AI, or is it moreevolutionary?Peter Weston, Associate Director, Financial Services Practice:“We are seeing a real mix of views from technology leaders in the financial services sector, between those leaders who view AI as revolutionary and truly transformative for the industry, and those who view it as a rehash of ideas and technology which has been accessible for some time. Many technology leaders view this as just the beginning of a journey whose final destination is not yet clear: while AI could prove truly transformative,that maynot be in the way or ways people are currently expecting. Ultimately, perhaps, no one knows exactly what the future holds and where the technology could take us. Whatever the variation in individual views, there is a common belief in the industry that regulation and security need to be fully in place before real change can occur. For most firms, the face of the future is yet to clearly emerge.” Summary Overall, its fascinating to see examples of where AI is being utilised within the finance sector from helpdesk to client reporting functions. The influence of AI for data scientists/analysts as it creates more data and what impact this will have on this skillset. The increased need for cybersecurity professionals specialising in AI with new threats being created. The types of new AI roles being developed from AI ethicists and validators. And the interest in the roles that are under threat being associated to those that can be done by AI which Peter supported with the reduction in team size across IT. About the authors Peter Westonis Associate Director for the Financial Services based in our London Headquarters. With more than a decade of recruitment experience, Peter oversees multiple key accounts and consultants providing contract talent across Financial Services. He has extensive knowledge across different specialisms including project & change, risk, compliance, regulation, legal, marketing, finance and operations. Akeesh Khokharis Senior Consultant for UK risk, regulatory and compliance requirements across financial services. Akeesh has experience working with the largest investment banks, asset management/investment firms, hedge funds and fintech organisations. He is also Co-Chair of our DE&I council which strives to provide the most diverse and inclusive internal policies and practices for our employees and clients. Find out more about ourFinancial Services practice here.
