IBM is letting Watson lose on Wall Street regulations

IBM is unleashing Watson,
the tech company’s artificial intelligence platform, on financial regulations.

On Wednesday, the New York-based technology firm, rolled out a suit of software solutions that will help financial institutions manage their regulatory responsibilities.

“Essentially, we’re embedding our deep regulatory experience into Watson so that a broader group of professionals can benefit from this knowledge and help their organisations operate more effectively and efficiently,” said Gene Ludwig, founder and chief executive at Promontory Financial Group, a subsidiary of IBM involved in the roll-out.

The three offerings, which are powered by Watson, are as follows:

  • Watson Regulatory Compliance. This offering will help financial firms better identify the regulations to which they have to subscribe.
  • IBM Financial Crimes Insight with Watson. This service uses advanced analytics to help firms understand and act on criminal threats.
  • IBM Algo One Big Data Foundation. This solution marries big data and risk management technology.

Financial firms pay a high price to comply with regulations. According to McKinsey, the international consulting firm, banks dedicate approximately 10% to 15% of their operational spending budgets to managing risk and compliance.

Get the latest IBM stock price here.

NOW WATCH: HENRY BLODGET: This chart explains everything that’s wrong with the economy today

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.