Generative AI in securities services

Generative AI (GenAI) is a technology that, since the launch of ChatGPT in November 2022, has taken the world by storm. While a lot of the conversation around GenAI is hype, there are some real applications of this technology that can bring real value to businesses. There are, however, risks in applying this technology blindly that sometimes can outweigh the value it brings. This paper discusses the potential applicability of GenAI to the processes in post-trade and what impact it could have on financial institutions and their ability to meet challenges in the market, such as T+1. We also discuss the risks of implementing this technology and how these can be mitigated, as well as ensuring that all the objectives are met not only from a business perspective, but also technology and compliance.