In the 1980s, Steve Jobs compared the personal computer to a bicycle – a tool that brings the same revolution to the mind that the bike brought to mobility. That analogy has stood the test of time and, like many of Jobs’ predictions, has revolutionised how we use technology.
We have advanced significantly since Jobs’ now famous interview, experiencing the most rapid period of computing innovation in the history of mankind. Today, many Web3 technologies, such as AR, VR, and blockchains, have become mainstream through the products of big tech companies like Meta, Apple, and Google.
However, the excitement behind Generative AI (GenAI) surpasses any other technology we have seen in the past decade.
Power of GenAI
At its core, ‘GenAI’ refers to the capability of artificial intelligence systems to create new content or solutions that mimic human creativity. Its applications span nearly every element of our lives, from students using ChatGPT to finish schoolwork to media outlets using AI to write articles or even hedge funds using it to refine investment strategies. This quick adoption by hundreds of millions of people using GenAI to add value to their daily lives is seen in the magnitude of companies formed in the past year alone and the astronomical growth of revenues for OpenAI and Nvidia.
And that excitement is seen in the financial services industry, too – albeit with a wave of caution.
It has become critical to understand how GenAI will shape your industry. In operating at the intersection of tech and the brokerage industry, I see the benefits AI can bring to financial services daily. Financial services companies use large language models (LLMs) to write software code that accelerates the time to market critical systems and automates mundane tasks.
For example, top trading firms like Jane Street use OpenAI’s conversational text technology to parse large amounts of data or paraphrase lengthy memos that inform trading decisions. Hedge funds and other investment firms have been experimenting with these models to summarise earnings calls and market research. And Citadel Securities – a prominent high-frequency trading firm – is using knowledge gained from a network of AI startups to develop new trading strategies.
However, given my role of championing innovation within the brokerage space, I believe there is more yet to come, right from the heart of the UAE’s capital.
Here in Abu Dhabi, we are constantly looking at ways to bring the benefits of GenAI to clients.
Untapped opportunity
GenAI presents an untapped opportunity to streamline the customer trading journey, equipping individuals with a unique mix of information to help them make the best decisions. That might mean summarising educational material or insights into what is happening in the markets and providing a natural conversational interface with which customers can easily interact to plan their next steps confidently.
LLMs will play a key role in this under the proper regulatory guidance to ensure customer protection. The UAE is already ahead of the curve, with four regulators collaborating in 2021 to produce a 41-page document outlining guidance for financial services firms looking to adopt AI and other next-gen technologies. Â
Essentially, they empower traders while helping providers operate more efficiently and reduce the time it takes to bring critical products to customers. Undoubtedly, the UAE’s pro-innovation stance will place it at the forefront of making this a reality.
Under these fertile conditions, If the PC was compared to a bicycle for the mind thanks to its revolutionary capabilities in the 1980s, imagine where GenAI could take the FinTech world now.
