Integration of Artificial Intelligence in the Financial Sector

Abstract

Artificial intelligence (AI) refers to the development of computer systems that can perform tasks that typically require human intelligence. Learning, reasoning, problem-solving, vision, language comprehension, and even some types of decision-making are among these tasks. The goal of artificial intelligence (AI) is to build devices or software that can replicate cognitive processes and adjust to various environments, becoming more and more effective over time in the financial sector. Within the discipline of artificial intelligence (AI), machine learning (ML) focuses on developing models and algorithms that enable computers to learn from data and make decisions or predictions without explicit programming. This chapter introduces how machine learning is playing a pivotal role in the financial industry. Key concepts in machine learning for finance and advantages are also discussed.