Harnessing AI: Transforming Finance and the Municipal Bond Market
On June 25, 2024, CHEFA hosted its client webinar: Harnessing AI: Transforming Finance and the Municipal Bond Market. Wei Chen from UConn School of Business and Stephen Winterstein from ficc.ai spoke on how artificial intelligence is becoming a powerful tool in today’s world for finance and municipal bond professionals.
Professor Wei Chen presented on how generative AI allows users to use natural language to generate text, image, voice or code. The use of Generative AI in business allows professionals to query in natural language, creating productivity enhancement in a variety of finance functions, including compliance and reporting, financial statement analysis and risk modelling and management.
Stephen Winterstein presented on how AI impacts participants in the municipal bond market. For issuers and borrowers, compiling the necessary data for continuing disclosure requirements and preparation of an Official Statement and Appendix A can be time consuming and require considerable amount of legal expenses. The use of AI can help feed the necessary data to regulators or gather the data necessary for offering documents, reducing costs and time to bring the bonds to market.
Stephen also discussed how traders can leverage AI’s ability to utilize large amounts of data to optimize the pricing of bonds. Platforms like ficc.ai’s have created a revolutionary way of using AI for investors to analyze transactions, ensure compliance with internal audits or regulatory requirements. These platforms also help investors to automate the price discovery process, making it easier to verify transactions were executed in line with the market conditions at the time of the trade. The use of AI has allowed for markets and valuations to be more dynamic, and less static thinking.
If you missed out on the event, check out some recorded highlights below:
