EY’s Generative AI Survey Highlights Uncertainty in AI Adoption Across Financial Services
In Brief
EY released its 2023 Financial Services GenAI Survey, which assesses the impact of AI integration on financial service processes.
Ernst & Young (EY) today released its 2023 Financial Services GenAI Survey. The company interviewed over 300 Executive Directors and Managing Directors or higher at financial organizations with $2 billion in revenue across the banking and capital markets, insurance and wealth and asset management industries.
The survey assessed the potential impacts of artificial intelligence (AI) integration on productivity, talent, skills and risk management, as well as plans for capital allocation and spending on generative AI technologies.
Among the key findings and most notable insights the company highlighted that within the landscape of financial services, nearly all (99%) of surveyed leaders revealed the integration of AI within their organizations, and all respondents said they are either already using, or planning to use, generative AI specifically within their organization.
Amid these universal adoption plans, just over one in five respondents said they are nervous or skeptical about the potential impact of generative AI on their organization. The same percentage also does not feel confident that their organizations are well-positioned to take advantage of the potential benefits AI might bring.
Notably, banking and capital markets leaders demonstrate the lowest levels of skepticism at 17%, followed closely by wealth and asset management at 21%.
Financial Services Envision a Positive AI Future
Financial services leaders displayed optimism towards AI adoption and recognize potential in enhancing customer experiences.
Indicating a generally positive outlook, the statistics reveal that 55% respondents express support and optimism about the use of AI in their organizations. Looking ahead, 77% – a significant majority of executives perceive generative AI as a beneficial factor for the financial services industry over the next 5-10 years.
Notably, 87% of leaders identify a specific opportunity for AI in enhancing customer and client experiences.
Challenges and Opportunities in Generative AI Implementation
Exploring and implementing generative AI comes with its set of challenges. When queried about the obstacles financial organizations might encounter in utilizing the technology, leaders identified the following as primary barriers:
- 40% said lack of proper data infrastructure and 35% lack technology infrastructure
- 36% said lack of clear commitment from leadership
- 33% said unclear governance and ethical framework
For organizations seeking to harness the benefits of AI, a key determinant of their success lies in gaining a deeper understanding of, and enhancing, their data infrastructure.
The survey underscores this point, as leaders identify the following as the top three ways AI will contribute to the financial services industry:
- 46% said risk reduction from data processing
- 38% said creation of new offerings and hyper-personalized marketing
- 37% said improving data management process and accuracy
Navigating the Human Element
Focusing on the human aspect of AI implementation is equally crucial to technology infrastructure. The survey data reveals that 44% of leaders perceive access to skilled resources as a challenge to AI implementation, and the pool of already skilled professionals is limited.
“Part of the solution involves implementing upskilling programs today to empower the current workforce with the necessary skills, enabling leaders and businesses to thrive in an increasingly AI-centric world.”
said Michael Fox, Managing Partner in EY Americas Financial Services Accounts/
The new 2023 EY Financial Services GenAI Survey outlines the financial services’ forward-looking stance toward AI integration. The implementation of AI in financial services is set to transform how industry leaders learn, serve customers, process data, and manage risk.
The insights found underscore the industry’s positive sentiment and a strive to maximize AI benefits.
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Alisa is a reporter for the Metaverse Post. She focuses on investments, AI, metaverse, and everything related to Web3. Alisa has a degree in Business of Art and expertise in Art & Tech. She has developed her passion for journalism through writing for VCs, notable crypto projects, and scientific writing. You can contact her at alisa@mpost.io
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Alisa is a reporter for the Metaverse Post. She focuses on investments, AI, metaverse, and everything related to Web3. Alisa has a degree in Business of Art and expertise in Art & Tech. She has developed her passion for journalism through writing for VCs, notable crypto projects, and scientific writing. You can contact her at alisa@mpost.io
