AUSTIN, Texas, Oct. 4, 2021 /PRNewswire/ -- A recent World
Economic Forum survey1 found that 85% of financial
institutions have implemented AI, but some still have concerns
about its use. To help financial institutions apply AI responsibly,
Oracle has added new AI governance capabilities to its Oracle
Financial Services Compliance Studio application. With a new
visualization canvas that fosters more inclusive machine learning
model creation, alerts for potentially sensitive issues, and new
in-memory sandboxes to more easily create and refine models, banks
can help weed out bias and uncertainty in applying the power of AI
to fight money laundering and other financial crimes. These new
model management and governance capabilities will also soon be
implemented with PwC's Model Edge solution.
Oracle Financial Services Compliance Studio is an advanced
analytics application for financial institutions that supercharges
anti-money laundering and anti-financial crime programs for more
effective, efficient customer due diligence, transaction
monitoring, and investigations. As part of the broader Oracle
Financial Crime and Compliance Management suite, it offers built in
AI, machine learning, graph analytics, and data management
capabilities.
"There is clear consensus across financial institutions that AI
and machine learning have tremendous potential to increase the
effectiveness of anti-money laundering and other financial crime
detection programs, and deliver higher efficiencies in the
investigative process," said John
Edison, group vice president, software development, Oracle
Financial Services. "However, there are hurdles to ensuring that AI
is used responsibly and ethically in a way that is fair,
transparent, and easily understood. The new capabilities in Oracle
Financial Services Compliance Studio provide the right governance
and controls required to meet these objectives."
Current compliance processes for adopting AI within financial
crime are often disconnected, error prone due to manual steps, and
resource-intensive. With the new updates to Compliance Studio,
banks can eliminate these obstacles to better address their
governance and regulatory obligations. New features include:
- A visual canvas for building machine learning models: A
visual, drag and drop interface provides a task library so data
scientists can quickly and easily build machine learning models
that reflect company values and help address regulatory guidelines.
The pre-trained models and data sets also allow non-data scientists
to more easily analyze and consume the machine learning insights.
The visual representations of models are easy to interpret and
explain to regulators.
- Interactive model testing: The visual canvas of Oracle
Financial Services Compliance Studio allows users to interactively
test and edit models, making it easier to pinpoint and help address
issues of bias or fairness. The visual canvas enhances
decision-making by providing context in an easy-to-understand
format.
- Model monitoring and alerts: Active model monitoring and
drift reporting provide immediate alerts on areas of concern so
corrective action can be taken.
- Easy to create sandboxes for business users and citizen
modelers: Business users and administrators can create and use
multiple in-memory sandboxes to bring data from multiple sources
and test models without disturbing the production environment.
- Fast point and click model deployment: New and updated
models can be deployed straight from the application in minutes
without taking systems offline.
"While many financial institutions are already using artificial
intelligence to help detect money laundering and fraud, the
management and governance of AI models tends to be manual and
cumbersome, which leads to errors and inefficiency," said
Vikas Agarwal, Financial Crime Unit
and Risk Products Leader at PwC. "Financial institutions need
technology that helps make this ongoing process seamless and that
provides a holistic, quantifiable picture of model risk through
various dimensions. We look forward to working with Oracle and
combining their model management and governance capabilities with
our PwC product, Model Edge. Bringing this technology
combination to the market will help ensure AI is used responsibly,
documented well per model governance guidelines, and that any
potential biases in models are identified and addressed."
To learn more about Oracle Financial Crime and Compliance
Management solutions visit our website at
https://www.oracle.com/industries/financial-services/aml-and-financial-crime-compliance/.
About Oracle Financial Services
Oracle Financial
Services provides solutions for retail banking, corporate banking,
payments, asset management, life insurance, annuities, and
healthcare payers. With our comprehensive set of integrated digital
and data platforms, banks and insurers are empowered to deliver
next-generation financial services. We enable customer-centric
transformation, support collaborative innovation, and drive
efficiency. Our data and analytical platforms help financial
institutions drive customer insight, integrate risk and
finance, fight financial crime, and address their regulatory
requirements. To learn more visit our website
at https://www.oracle.com/industries/financial-services.
About Oracle
Oracle offers integrated suites of
applications plus secure, autonomous infrastructure in the
Oracle Cloud. For more information about Oracle (NYSE: ORCL),
please visit us at oracle.com.
Trademarks
Oracle, Java, and MySQL are
registered trademarks of Oracle Corporation.
1 World Economic Forum and Cambridge Centre for
Alternative Finance: Transforming Paradigms, A Global AI in
Financial Services Survey – January
2020
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SOURCE Oracle