The FSB wants to see AI monitored more closely in the finance industry

In the Terminator films, the AI (artificial intelligence) known as Skynet reduces human civilisation to rubble by seizing control of nuclear weapons and deploying armies of killer robots. Back in the real world, however, the Financial Stability Board are more worried about a banking version of Skynet AI destroying the world (or at least our financial systems) by aggressively buying derivatives or over investing in the Chinese property market.

Such a fear, while not as cinematically exciting, is far from unfounded. AI research (and AI here means complex, self-teaching algorithms rather than true artificial intelligence) is expanding through the financial sector in leaps and bounds. A huge number of workers are likely to find their roles replaced by robots: and these will be white-collar workers, as machines begin to undertake complex tasks such as assessing the quality of credit, drawing up legal contracts, and even interacting with clients. The benefits, as the FSB acknowledges, are considerable. Companies that fail to take advantage of new initiatives are liable to find themselves outpaced rapidly by those that do.

However, algorithms can do unexpected things. A famous example is the price war that broke out over an out-of-print book about flies on Amazon. Two online sellers had both relied on algorithms to calculate the price for their copy of the book. However, the two competing pieces of code reacted to each other as well, raising the prices of the book incrementally in a tit-for-tat price war. The book was eventually being offered at a less-than-reasonable $23m before someone noticed and corrected it. You can read the full story here. http://www.michaeleisen.org/blog/?p=358

It’s an amusing tale, but imagine if you were a major retailer and the same thing happened to your entire stock. How long would it take for someone to a) recognise this as an issue and b) resolve it? The issue is even more of a concern in the financial sector, with trades between machines now being carried out in microseconds. The reduction in jobs is also likely to be a political headache. While currently politicians are railing against jobs being sent ‘overseas’, how long will it be before populists start campaigning against jobs being sent into servers?

However, that’s not the whole picture. While AI suggests, on the one hand, a huge reduction in the number of traditional white collar jobs, it does suggest that there will be an increased need for ‘code wranglers’: those who understand both the complex science of algorithm creation and the ins and outs of the industry in which it is being used.

These people will also need to be able to work in a pattern that spans 24 hours to ensure there is no redundancy (think three 8-hour shifts based in three countries with suitable time zones and the required infrastructure). An expensive investment, but necessary if major companies truly want to take advantage of the benefits of AI while providing adequate protection against the risks.

If you’d like to investigate the benefits of AI and recruit the right staff to guide your growth (while protecting against unexpected consequences) then contact Clifford Associates today.

 

Apply Now

Upload your CV (Accepted file types: pdf, doc, docx, rtf.)

  • “We look for commercial people with a rare blend of talents. They need to be able to advise our blue-chip clients on thought leadership strategy. They need to be highly strategic and purposeful in uncovering opportunity. And they need the hunger it takes to thrive in a rapidly evolving business. Ross was quick to understand our need, he only delivered high-quality people for interview, and he succeeded in getting us a winning candidate incredibly fast.” 

    - Gareth Lofthouse, Founding Partner, Longitude.

  • I can't rate or recommend Ross highly enough. He brings a thoughtful, personal approach to the process, carefully matching opportunities with candidates, through a good understanding of their priorities and skills. Throughout, he keeps candidates up to date in an open, honest way. A genuine pleasure to work with.

    - Johnny Meredith, Senior New Business Manager, The Bio Agency.

  • Ross is the best recruitment agent I have worked with, he stayed in contact, kept me informed and was with me every step of the process. He also checked in with me during my first couple of weeks in my new role to make sure I was settling in. I wouldn't hesitate to recommend him.

    - Karen Troman, Office Manager & HR Co-ordinator, VoucherCodes.co.uk part of RetailMeNot

  • I have worked with Ross over 4 years now and he has always delivered a really high standard of candidate both at senior and junior level. His online knowledge is second to none and all the candidates he has put forward over the years have only good things to say about Ross and his work ethic.

    - Neil Kettleborough, CRO & Co Founder, Chalk Social

  • Ross is a fantastic recruitment consultant -  extremely professional, meticulous, patient and supportive. Throughout the process, I felt he represented me really well and genuinely cared about my career and finding the right role. Thanks to Ross I am now in a role I love, working with a brilliant team. Very highly recommended!

    - Helen Rosemier, Account Director for Accenture, Longitude

  • I have no hesitation in recommending Ross. He is, by quite some distance, the best recruiter I have worked with. Perhaps unusually, Ross listens carefully in order to understand the needs of his clients and candidates, thereby ensuring that good matches are made; we are not talking 'spray and pray'. Likeable and on the ball, I hope to work with him again.

    - Pete Braham, Business Development, Longitude.

  • I cannot recommend Ross enough. He is by far the best recruiter I worked with during my job search. He really took the time to understand my work history and what I was looking for in a new role. He matched me with a great company and provided feedback and professional advice during every step of the process. Thanks again for such a pleasant experience.

    - Natalia Ramirez, Marketing Manager, Google

  • Ross always had my best interests in mind and is a refreshing change away from impersonal recruitment industry norms. He identified a role I would be highly interested in based on my background and went above-and-beyond with help for interview preparation and feedback. Ross was quick and timely with communicating next steps and expectations, always open to questions and checking-in regularly to make for a seamless process between myself, Ross and the agency. Could not have asked for more when looking for a new role.

    - Adam Rawlings, Planner, Rapier Customer Engagement

© Ross Clifford Associates. Website by Outlines Design.