Northern Trust Corporation issued the following announcement on Nov. 19.

Incorporating artificial intelligence (AI) into back and middle office operations can focus data optimization strategies with the potential to increase productivity, drive revenue, improve security and manage risk for asset managers and asset owners, according to new white paper sponsored by Northern Trust. The paper, Harnessing the Power of Data with AI, is one in a series of thought leadership pieces from Northern Trust in conjunction with The Economist Intelligence Unit.

The white paper outlines the many innovative ways AI is in use today, ranging from the ability to predict price movements to roboadvisor systems that use AI to support investors in determining their asset allocation. Companies are also using AI to both analyze structured data, (e.g., asset flows, performance) and extract information from unstructured/alternative data (e.g., images, documents, social media posts) through image recognition and natural language understanding capabilities, in order to enhance business results.

“Certainly we see the significant ways AI can help financial services providers optimize the data they access on a daily basis,” said Penelope Biggs, Chief Strategy Officer for Corporate & Institutional Services at Northern Trust. “It is important to think strategically about how incorporating AI and automation into business processes can benefit the end user, whether that is by reducing risk, increasing operational efficiency or enhancing overall performance.”

According to the white paper, while AI’s uses are far reaching, it is important that an organization establishes a clear data strategy to determine where and how AI will have the most beneficial impact. The key is to focus first on the needs of the business and adopt a strategy that is in line with the company’s goals.

“At Northern Trust, we have a strategic plan that focuses on delivering a data-centric technology architecture aligned to our clients’ future business needs,” said Biggs. “The significant investment we are making in our future-state asset servicing platform will ultimately deliver an end-to-end technology solution to our asset owner and asset manager clients globally. Incorporating the use of AI and machine learning is a key component of our strategy to optimize results and drive operational alpha.”

Northern Trust’s white paper series provides clients with insightful and constructive solutions to pressing data management challenges. Other papers in the series focus on regtech, big data and data science. To read the paper that highlights AI and its uses, click here.

Original source: https://m.northerntrust.com/news-financial-statement/press-release?c=c75f854efa1842177c257d15155e579d