Artificial intelligence continues to grow in importance for JPMorgan Chase.
So much so that the technology could have its own reporting line, beyond the banking giant’s larger tech team, CEO Jamie Dimon indicated Tuesday (March 12).
“Before any other major investment, it’s how are we doing on AI,” said Dimon, whose comments via video feed at the Australian Financial Review Business Summit in Sydney were reported by Bloomberg News. “You’ve gotta get it, make it part of the management conversation.”
He added that in areas like trading, with $2 trillion in securities in play each day, AI plays a major role in equity hedging.
“You couldn’t do it fast enough with the human eyes and the human fingers,” Dimon said.
As the report notes, this isn’t the first time the head of America’s largest bank has praised AI. Last fall, Dimon predicted that the technology will someday usher in a three-and-a-half day workweek and enable life-extending advances in healthcare.
“JPMorgan sees AI as critical to its future success, using it to develop new products, enhance customer engagement, improve productivity and manage risk more effectively,” PYMNTS wrote at the time. “The firm has advertised for thousands of AI-related roles and has more than 300 AI use cases already in production.”
As noted here last month, research by PYMNTS Intelligence in the “Generative AI Tracker®” shows an uptake of GenAI in the financial sector, especially when it comes to meeting the increasing demand for personalized customer services.
According to the study, more than 80% of financial professionals said their institutions are open to embracing GenAI, while three quarters of financial institutions (FIs) said they expect similar or greater benefits from GenAI when compared to predictive AI.
And 60% of British FIs said they were prepared to incorporate GenAI within their existing risk management strategies.
“Despite GenAI’s potential benefits, however, most consumers are still skeptical about the risks associated with the technology,” PYMNTS wrote. “As highlighted in the report, nearly 80% of consumers expressed concerns about misinformation facilitated by GenAI, particularly the technology’s potential to disseminate inaccurate content.”
Additional PYMNTS Intelligence research found that bank and FI customers are somewhat uneasy about the idea of GenAI in financial services, with more than 70% expressing nervousness about its use in the banking sector.