Transforming Financial Services With Artificial Intelligence and Machine Learning
Abdulhadi Ibrahim, Nashat Ali Almasria, Zaidoon Alhatabat, Diala Ershaid, Hassan Hamad Aldboush
Abstract
In modern dynamic business environments, the integration of machine learning (ML) and artificial intelligence (AI) into financial services and investment decisions has significantly reshaped the financial landscape. This comprehensive literature review explores AI tools, including predictive analytics, algorithmic trading, and robo-advisors, enable data-driven insights and real-time automation of investment strategies and fundamentals. Additionally, it was highlighted that these technologies enhance the accuracy, speed, and scalability of decision-making in asset management, risk modeling, and portfolio optimization considering the dynamic and uncertainty of the organization's environment. However, their application also presents challenges, such as data privacy concerns, algorithmic biases, and regulatory compliance issues. This paper explores the transformative impact of AI and ML in investment analysis while addressing the risks and ethical considerations that accompany their use. Understanding these tools' potential and limitations is crucial for optimizing financial strategies.