Will AI Become An Assistant Or A Master? Experts Beg To Differ At Benzinga Fintech Conference

While artificial intelligence (AI) has excited financial markets in recent years, its ultimate use is still unclear, especially in fields such as fintech.

Some experts argue that AI can be a personal assistant to investors. Others expect it will be a successful market participant itself.

At Benzinga’s Fintech Deal Day in New York City, experts gathered Tuesday to discuss the future of AI as part of the panel “The Latest Catchphrases Disrupting Financial Services.”

Jerome Favresse, the Chief Operating Officer of Trading Central, says AI presents an opportunity of “personalization at scale,” allowing novice and advanced investors to utilize it to answer questions at scale. He does not expect AI to be predictive but it can be utilized to garner predictive analytics.

Eugene Sorenson, the head of ChartIQ at S&P Global, agreed that AI will make market participants more efficient, but it will not fundamentally change the financial markets. He emphasized that markets express the collective opinion of all of its participants and new market actors will not necessarily change this.

Jan Szilagyi, the Founder and CEO of Reflexivity, begged to differ.

“There is this prevailing view that it’s very easy to subscribe to that AI is in, effect, a very friendly assistant. I think that’s a temporary phase—eventually, AI will outgrow that phase just like you start as an apprentice and then become a master of something,” the former asset manager and algorithmic trader said.

Szilagyi says not everyone will be able to profit off AI’s use. But systems will evolve to perform better trades than human will.

Big Data: All of the panel participants agreed that artificial intelligence will revolutionize the use of data.

Leslie Kanthan, the CEO of TurinTech AI, emphasized the future capabilities of AI in distilling data and expanding what could qualify as data. While analysts have traditionally viewed data as purely financial, Kanthan posited that the understanding of data could be expanded to legal contracts and documents with the help of AI. He also noted the potential of AI to optimize coding and reduce costs and consumption.

Favresse agreed, highlighting the ability of AI to “cut through noise and find what’s meaningful.”

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Image: Midjourney