In the Banking Perspectives blog series, we invite senior leaders from across Moody’s Banking to share their insights on technology at Moody’s and the wider banking industry.
In the last blog, Omar Akkor, Senior Director Manager for Banking Product Strategy at Moody’s, discussed how Moody’s collaboration with partners helps to drive innovation.
In this edition, we sit down with Mehna Raissi, Managing Director, Banking Customer Engagement for Moody’s Banking. We discuss the development of Moody’s GenAI enabled assistant functionalities, and how GenAI is unlocking value in regulatory compliance.
Q: Thank you for your time, Mehna. Please could you talk to us about the evolution of GenAI in Moody’s solutions?
M: The first level of GenAI assistance that we’re working on is a support functionality. This is where a generic AI model will interact with technical product documentation and deliver the information that you need to get a job done faster. This reduces the amount of time to get questions answered and improves efficiency for users.
The second level is interpretation. This use case helps users to interpret results out of our analytical solutions, which can be quite complex. If you’re forecasting an allowance, for example, you might be interested in what is driving change: it could be an economic scenario, model, data or an interplay of those. A GenAI enabled assistant functionality can help users bring all of these pieces together from across different solutions to better understand the results.
Lastly, there is the use case of automation. We’re starting to explore how to use GenAI to automate processes – such as having a SQL query generated. We’re currently experimenting with this and seeing some very interesting results.
Q: Let’s talk about regulatory compliance. How can GenAI support banks as they decode regulatory requirements?
M: We have observed continuous releases of Basel regulation over the last two decades. New calculation rules are regularly introduced, and reports templates are constantly revised. Some regulators are releasing new versions every six months on average.
Basel solution providers like Moody’s are continuously working with clients to address changing regulatory demands. We see GenAI as an opportunity to improve turnaround time when it comes to updating our calculation engines and reporting templates. We are also introducing GenAI into our regulatory solution workflows. This allows our clients to identify, research, interpret and implement regulatory changes faster and with more confidence.
Q: We have recently heard about the launch of Moody’s Regulatory GenAI enabled assistant functionality. How does this assistant bring value to our customers?
M: The added value of the Moody’s Regulatory GenAI-enabled assistant functionality is that it goes beyond the step of pure interpretation of regulations. It helps you analyze, interpret and identify the answers for your organization and you can pinpoint those results directly in Moody’s regulatory solution, BankingCloud.
It essentially helps you to get to the answer that you're looking for faster. It's not just about reading the regulations and giving you a direct answer. The assistant helps to interpret, analyse and apply it to your organization – driving more efficiency and effectiveness for users.
Discover how Moody’s could help your business achieve regulatory compliance excellence here.
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