Part 5/12:
This includes training LLMs on financial regulations and historical case law to create a solid foundation for ethical financial advisory roles. With time, advancements in AI could lead to software that can be entirely trusted by human users—a significant bridge towards complete automation in financial advisory roles.
Automating Risk Assessments
Risk management—which includes identifying and quantifying potential financial risks—stands to significantly benefit from LLMs. The quantitative aspects of risk management, such as value-at-risk calculations, are being streamlined through automation. The real challenge lies in the qualitative aspects and properly communicating these findings in layman’s terms to stakeholders.