Artificial intelligence (AI) is transforming finance. As firms embed AI into research, trading, portfolio construction, and risk management, capital markets are entering a period of structural change that will reshape how information is processed, capital is allocated, risks are managed, and accountability is assigned.
As markets process larger volumes of structured and unstructured data faster, AI may reduce traditional informational advantages, alter price discovery dynamics, and shift investment skill toward model design, data governance, system oversight, and sound judgment.
At a Glance
- AI is reshaping market structure: changing information processing, price discovery, capital allocation, and risk management.
- Investment skills are evolving: edge may depend more on judgment, governance, data quality, and system design.
- Shared models create systemic risks: overlapping tools and data could tighten correlations and amplify market stress.
- Governance is urgent: firms and regulators must strengthen oversight, accountability, model validation, and professional standards before AI-driven practices harden.
Artificial Intelligence and the Future of Finance: A Framework for Structural Change
This report addresses how artificial intelligence could reshape finance by changing how investors process information, allocate capital, manage risk, define professional skill, and preserve accountability in an increasingly automated system.
AI in Asset Management
Artificial intelligence is transforming how investment professionals analyze markets, build portfolios, and manage risk. AI in Asset Management: Tools, Applications, and Frontiers explores how AI and machine learning are redefining every aspect of the investment process. The book brings together global experts advancing applied finance through intelligent systems and data-driven models.
The Automation Ahead Series
The investment industry has long embraced automation, but the rise of generative AI (GenAI) has ushered in a new era that raises more questions than ever. Many professionals find themselves asking: What makes this different? Will GenAI replace traditional roles, or enhance them? What can it truly achieve, and where does it fall short?
Explainable AI in Finance: Addressing the Needs of Diverse Stakeholders
By Cheryll-Ann Wilson, PhD, CFA
AI Washing: Signs, Symptoms, and Suggested Solutions for Investment Stakeholders
By Joseph Simonian, PhD
Synthetic Data in Investment Management
By James Tait
Pensions in the Age of Artificial Intelligence
By Genevieve Hayman, PhD
Videos
Applying AI in Investment Practice: Judgement, Simplicity, and Risk
With Iro Tasitsiomi, PhD, Head of Investments Data Science T. Rowe Price
Quantum Computing Basics for Finance
With Oswaldo Zapata, PhD, Co‑founder of the Quantum Finance Boardroom
Agentic AI in Financial Markets
With Alicia Vidler, PhD, Co-Founder and former CIO, Castilium Capital
How LLMs Transform Investment Workflows: Fine-Tuning, RAG & Agents
With Francesco Fabozzi, PhD—Managing Editor of the Journal of Financial Data Science
Financial Analysts Journal
Big Data Meets the Turbulent Oil Market
By Charles W. Calomiris, Nida Çakır Melek, and Harry Mamaysky
Rethinking Variable Importance in Machine Learning
By Yonghwan Jo and Yong Hwi Kim
The Disappearing Edge: AI, Machine Learning, and the Future of the Discretionary Portfolio Manager
By Frank J. Fabozzi, CFA, Andrew Chin, Igor Yelnik, and Jim Kyung-Soo Liew
How Much Does ChatGPT Know about Finance?
By Douglas (DJ) Fairhurst and Daniel Greene
Blogs
Essay: The Perils of Declining Judgment in the Age of AI
By Markus Schuller
Where AI Ends and Investment Judgment Begins
By Markus Schuller, Michelle Sisto, PhD, Wojtek Wojaczek, PhD, Franz Mohr, Patrick J. Wierckx, CFA, and Jurgen Janssens
AI Strategy After the LLM Boom: Maintain Sovereignty, Avoid Capture
By Dan Philps, PhD, CFA
AI in Finance: Changing Workflows, Growing Demand for Human Judgment
By Rhodri Preece, CFA
