On April 9th, Patrick Vergara, Norm Ai COO, had the privilege of participating in an insightful panel discussion hosted by Schulte Roth & Zabel and the Financial Information Services Division (FISD) of the Software and Information Industry Association (SIIA). The event brought together industry leaders to delve into the complexities of regulatory compliance within the financial services sector, highlighting the critical role of AI-powered technology in navigating this challenging landscape.

During the discussion, Patrick emphasized the increasing demand for robust compliance solutions amidst evolving regulations and the need for financial institutions to adopt advanced technologies that ensure accuracy, efficiency, and agility.Key takeaways from the panel included the difference between generative AI versus older AI models, the unique risks posed by generative AI, and the importance of conducting thorough diligence on AI training data.

Additionally, the panelists explored strategies for navigating data restrictions, ensuring counterparty diligence, and addressing inaccuracies in AI outputs. They also highlighted the necessity of clear disclosures regarding AI use and the hallmarks of effective AI policies within investment advisory firms.