IBM is unleashing Watson, the tech company’s artificial intelligence platform, on financial regulations.
On Wednesday, the New York-based technology firm, rolled out a suit of software solutions that will help financial institutions manage their regulatory responsibilities.
“Essentially, we’re embedding our deep regulatory experience into Watson so that a broader group of professionals can benefit from this knowledge and help their organizations operate more effectively and efficiently,” said Gene Ludwig, founder and chief executive at Promontory Financial Group, a subsidiary of IBM involved in the roll-out.
The three offerings, which are powered by Watson, are as follows:
- Watson Regulatory Compliance. This offering will help financial firms better identify the regulations to which they have to subscribe.
- IBM Financial Crimes Insight with Watson. This service uses advanced analytics to help firms understand and act on criminal threats.
- IBM Algo One Big Data Foundation. This solution marries big data and risk management technology.
Financial firms pay a high price to comply with regulations. According to McKinsey, the international consulting firm, banks dedicate approximately 10% to 15% of their operational spending budgets to managing risk and compliance.