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Modern AI Answers to Tough Financial Questions
Blog
12/19/2023

Modern AI Answers to Tough Financial Questions

On November 16th of 2023, Allganize launched a new AI platform called the Alli Finance LLM App Market. It’s an extension of their standard Alli LLM App Market, but offers the company’s latest AI answers to the issues facing today’s finance clients.

Specifically, the new platform offers large language models (LLMs) as well as small large language models (sLLMs) that have been specialized for the finance industry.

Why is this important? Let’s explore what’s on offer and the kinds of clients that are most likely to benefit from Allganize’s new initiative.

Modern AI Answers to Tough Financial Questions

There are a few different challenges facing financial firms these days. Let’s look at regulatory compliance and data analysis for decision making.

Some employees in the finance field have a direct fiduciary duty to clients. They’re obligated to follow all national and regional laws so as not to endanger clients on the legal front.

But regulatory guidelines are constantly changing in some countries, territories, and states. It can be tough to track when grace periods expire, when new laws come into force, and when regulatory bodies change their enforcement parameters in a meaningful way.

Every new regulation results in questions. Oftentimes the burden of answering those questions became the combined responsibility of the HR department (on the operational side) and the legal team (on the risk management side). These queries and the delays to business can cause overall productivity to drop by 3% or more.

The other persistent challenge is the analysis of big data. Collecting financial market data is fine, but AI is required to properly assess the results, these days. This applies equally to risk assessment (underwriting loans and credit requests) and asset management (stock decisions, futures trading, and cash flow analysis).

Finding what you actually need within tens of billions of data points is impossible for most human operators, and difficult for traditional analysis models.

The solution to both of these issues? Go to the Alli Finance LLM App Market and learn more about the Alli Finance LLM-Enabled chatbot.

To address the first issue, the chatbot was trained to give quick and easy answers to financial regulation questions. It also provides both internal and external access to financial product guides and manuals. The sources that agents and employees can access are configurable, but possibilities include national and regional regulatory bodies, third-party reseller guides, and internal archives.

The Alli Finance LLM App is also able to provide answers to common HR questions, perform benefits management, request paid time off, and explain new and existing employee policies. This dramatically reduces HR’s involvement in answering simple queries, and allows them to focus on building and maintaining the company’s talent pool.

And as a solution for the second issue, the chatbot can help parse large and complex data pools before communicating the results. It acts as a front end to vertical-specific analysis, able to put advanced financial models in much more human terms. It can even explain how it came by the results that it volunteered.

This chatbot is just one example of the finance-specific solutions available in the new marketplace. In total, over 100 apps tailored for financial automation are available for implementation. Apps covering fraud, anti-money laundering (AML), tax implications, banking, and securities are all available. And some of these apps are already making an impact in the field.

How Does the Finance App Market Work?

When ordering a new financial app, there are a number of different configuration and implementation scenarios that can be covered.

On the data access side, the Alli Financial LLM app market can link to both internal and external resources. Internally, apps can connect with corporate FAQs, policy statements, user guides, and databases relevant to their duties. Externally, it can connect to sites that are commonly accessed by financial institutions. In the U.S. that might include resources made available by the Internal Revenue Service (IRS), the Security and Exchange Commision (SEC), the New York Stock Exchange (NYSE), the Federal Reserve Board, and other major financial players.

On the deployment side, the apps can be installed in the Cloud in a SaaS (Software as a Service) model, on-premises (using in-house servers), or as part of a hybrid model that combines the resources of the company’s public and private clouds.

Alli Finance Case Study: Nomura Securities

For example, one company that has already taken advantage of the apps available in the Alli Finance LLM App Market is Nomura Securities Co., Ltd.

They were looking for a way to improve their old FAQ-style chatbot that was meant to assist their employees in doing financial research and performing asset management functions as part of their OneStock app. Since the old chatbot had an answer accuracy score of between 50% and 60%, it was deemed no longer fit for purpose.

Nomura Securities compared four chatbot alternatives, and the Alli Finance chatbot came out on top. It was one of the most affordable of the tested options, had the fastest setup time, and had the highest answer accuracy even in its ‘unlearned’ state.

Since then, Nomura Securities has been enjoying the services of a highly accurate, constantly learning AI chatbot as part of their OneStock program. Their technical partnership with Allganize is ongoing.

AI Answers That You Can Build Yourself

In addition to the stock financial apps available in the Alli Finance LLM App Market, companies can create their own AI-driven business automation tools.

By using Allganize's Alli LLM App Builder, bespoke automation scenarios can be crafted, even by the layman. This can be achieved using a number of different available LLMs, it provides access to all OpenAI models such as GPT-4 Turbo, GPT-4 Turbo with Vision, GPT4, GPT3.5 in addition to any commercially approved LLM such as Anthropic's Claude 2, Google Bard, Davinci-003 from Azure, Llama 2 from Meta, Falcon from TII or Allganize's own finance-specific LLM Alli Finance13B which has been trained on US, Korean and Japanese financial documentation.

The Reason for Launching the Alli Finance LLM App Market

Allganize’s CEO Changsu Lee explained why finance was chosen as their first industry-specific app market:

"Alli Finance LLM offers both the finance-focused LLM and the app market, allowing immediate practical application. Since 2017, Allganize has collaborated with financial giants such as KB Securities, Hyundai Card, and Japan's SMBC Financial Group, amassing knowledge management expertise in the financial domain. This led us to launch the finance-specific sLLM model first, and we plan to expand into areas like insurance and manufacturing.”

We’re Here If You Have Questions!

Since this is a brand new offering, we’re sure that there will be some questions as to how it all works.

Feel free to contact Allganize if you have any queries about the new Alli Finance LLM App Market. You can also arrange a free consultation if you would like some help implementing your new AI-driven software solution.