Transforming Financial Services with Data-Driven Insights

May 30, 2022

Banks and financial services institutions face increased competition not only from peer organizations within the industry, but also now from FinTech startups, Neobanks, and others. The way to compete is to deliver highly personalized services and innovative offerings. And increasingly, the way to do that is using AI/ML to derive data-driven insights upon which those services and offerings can be based.

The many ways to leverage data and AI

Financial services institutions increasingly have sought to use new data sources to expand their traditional risk analysis and make more personalized offerings to a larger customer base. Many have gone beyond traditional methods (e.g., using FICO scores, credit history, salary, and more) and developed new risk models and highly individualized creditworthiness ratings based on the analysis of additional data sources. For example, some major credit reporting services now let customers link their bank accounts. The service provider then incorporates data that was not formally used in the past, like regular rent and utility payments, to modify the customer’s credit score. Financial services institutions can then better assess risks, increase credit limits, and optimize annual percentage rates for each customer.

But that is just the tip of the iceberg. For years, most financial institutions traditionally built applications that only worked within their own ecosystems. Finance tools that could pull a consumer’s data from multiple institutions were rare, and their methods for collecting data were usually technically complicated. The global open banking initiative seeks to change those conditions.

The potential for industry disruption is enormous. Open banking enables the exposure of customer financial data via APIs, extending an organization’s reach far beyond traditional financial services institutions. The open banking market is expected to reach $43.15 billion by 2026, growing at a compound annual growth rate (CAGR) of 24.4% through 2026, according to Allied Market Research.

Open banking presents a way for financial data providers to easily share their data. This information for AI/ML analysis will allow businesses to create new products and personalized offers for consumers.

The data-driven insights from this data sharing offer many opportunities for financial services organizations. But it also opens the door to new competition. For example, open banking allows non-bank entities to provide financial services directly to customers eliminating the financial services middleman. Already, Walgreens and Walmart have announced new banking initiatives. Traditional banks could greatly suffer if retailers embrace such services as both retailers have very high volumes of foot traffic every week.

Where is AI/ML used?

Given the availability of much more customer data, financial institutions are looking for AI/ML to help get deeper insights and actionable information. AI technologies, including machine learning, can help improve loan underwriting and reduce financial risk. From a different risk perspective, AI is often used to fight fraud and aid anti-money laundering efforts.

Additionally, AI can be used in both front and middle office applications. Some uses include enabling frictionless, 24/7 customer interactions via intelligent chatbots, personalizing the customer experience using recommendation systems and utilizing robotic process automation to reduce human error in day-to-day operations.

What’s needed?

The wide variety of AI applications in financial services institutions all need huge amounts of compute resources to run AI workloads and train ML models efficiently and cost-effectively. This is an area where a cloud-based, GPU-accelerated approach can help.

Workloads can greatly benefit from elastic and scalable cloud-based, GPU-accelerated resources running optimized AI/ML algorithms, routines, and libraries. Marrying the right cloud and GPU technologies can provide the requisite scalability, faster and more efficient runtimes, and increased model accuracy.

As such, organizations greatly benefit when teaming with partners that offer the right technology and deep industry-specific AI expertise. Microsoft and NVIDIA have been working together for years in this AI/ML arena.

One of the biggest obstacles to the broader democratization of AI is concerns regarding sharing and use of personal data. For example, banks are often unable to collaborate on tasks such as fraud and money laundering detection due to concerns regarding the security and privacy of transaction data. One area where Microsoft and NVIDIA have recently focused on addressing some of the specific issues in financial services is offering Azure confidential computing with NVIDIA GPUs for trustworthy AI.

NVIDIA and Microsoft recently announced that they are combining the power of GPU-accelerated computing with confidential computing for state-of-the-art AI workloads. With support for Ampere Protected Memory (APM) in NVIDIA A100 Tensor Core GPUs and hardware-protected VMs, financial services organizations will be able to use sensitive datasets to train and deploy more accurate models with state-of-the-art performance and an added layer of security that their data remain protected.

This follows years of collaboration where Microsoft and NVIDIA have delivered tightly integrated and optimized technologies. For example, libraries perform certain tasks to efficiently use GPUs. Installing and configuring these libraries takes time and effort. Azure takes care of pre-installing these libraries and setting up all the complex networking between compute nodes through integration with GPU pools. Additionally, by collaborating, NVIDIA and Azure have developed optimal configurations for GPU-accelerated AI workloads. That saves companies time and operational costs.

And most importantly, the compute resources made available by Microsoft and NVIDIA give financial institutions a way to become data-driven, transforming their processes and operations based on the derived insights from their analysis. This, in turn, helps these companies monitor financial performance, identify areas for improvement, uncover new opportunities, and better serve their customers.

Return to Solution Channel Homepage
Subscribe to HPCwire's Weekly Update!

Be the most informed person in the room! Stay ahead of the tech trends with industy updates delivered to you every week!

Is Time Running Out for Compromise on America COMPETES/USICA Act?

June 22, 2022

You may recall that efforts proposed in 2020 to remake the National Science Foundation (Endless Frontier Act) have since expanded and morphed into two gigantic bills, the America COMPETES Act in the U.S. House of Representatives and the U.S. Innovation and Competition Act in the U.S. Senate. So far, efforts to reconcile the two pieces of legislation have snagged and recent reports... Read more…

Cerebras Systems Thinks Forward on AI Chips as it Claims Performance Win

June 22, 2022

Cerebras Systems makes the largest chip in the world, but is already thinking about its upcoming AI chips as learning models continue to grow at breakneck speed. The company’s latest Wafer Scale Engine chip is indeed the size of a wafer, and is made using TSMC’s 7nm process. The next chip will pack in more cores to handle the fast-growing compute needs of AI, said Andrew Feldman, CEO of Cerebras Systems. Read more…

AMD’s MI300 APUs to Power Exascale El Capitan Supercomputer

June 21, 2022

Additional details of the architecture of the exascale El Capitan supercomputer were disclosed today by Lawrence Livermore National Laboratory’s (LLNL) Terri Quinn in a presentation delivered to the 79th HPC User Forum Read more…

IDC Perspective on Integration of Quantum Computing and HPC

June 20, 2022

The insatiable need to compress time to insights from massive and complex datasets is fueling the demand for quantum computing integration into high performance computing (HPC) environments. Such an integration would allow enterprises to accelerate and optimize current HPC applications and processes by simulating and emulating them on today’s noisy... Read more…

Q&A with Intel’s Jeff McVeigh, an HPCwire Person to Watch in 2022

June 17, 2022

HPCwire presents our interview with Jeff McVeigh, vice president and general manager, Super Compute Group, Intel Corporation, and an HPCwire 2022 Person to Watch. McVeigh shares Intel's plans for the year ahead, his pers Read more…

AWS Solution Channel

Shutterstock 152995403

Bayesian ML Models at Scale with AWS Batch

This post was contributed by Ampersand’s Jeffrey Enos, Senior Machine Learning Engineer, Daniel Gerlanc, Senior Director for Data Science, and Brandon Willard, Data Science Lead. Read more…

Microsoft/NVIDIA Solution Channel

Shutterstock 261863138

Using Cloud-Based, GPU-Accelerated AI for Financial Risk Management

There are strict rules governing financial institutions with a number of global regulatory groups publishing financial compliance requirements. Financial institutions face many challenges and legal responsibilities for risk management, compliance violations, and failure to catch financial fraud. Read more…

Nvidia, Intel to Power Atos-Built MareNostrum 5 Supercomputer

June 16, 2022

The long-troubled, hotly anticipated MareNostrum 5 supercomputer finally has a vendor: Atos, which will be supplying a system that includes both Nvidia and Intel CPUs and GPUs across multiple partitions. The newly reimag Read more…

Is Time Running Out for Compromise on America COMPETES/USICA Act?

June 22, 2022

You may recall that efforts proposed in 2020 to remake the National Science Foundation (Endless Frontier Act) have since expanded and morphed into two gigantic bills, the America COMPETES Act in the U.S. House of Representatives and the U.S. Innovation and Competition Act in the U.S. Senate. So far, efforts to reconcile the two pieces of legislation have snagged and recent reports... Read more…

Cerebras Systems Thinks Forward on AI Chips as it Claims Performance Win

June 22, 2022

Cerebras Systems makes the largest chip in the world, but is already thinking about its upcoming AI chips as learning models continue to grow at breakneck speed. The company’s latest Wafer Scale Engine chip is indeed the size of a wafer, and is made using TSMC’s 7nm process. The next chip will pack in more cores to handle the fast-growing compute needs of AI, said Andrew Feldman, CEO of Cerebras Systems. Read more…

AMD’s MI300 APUs to Power Exascale El Capitan Supercomputer

June 21, 2022

Additional details of the architecture of the exascale El Capitan supercomputer were disclosed today by Lawrence Livermore National Laboratory’s (LLNL) Terri Read more…

IDC Perspective on Integration of Quantum Computing and HPC

June 20, 2022

The insatiable need to compress time to insights from massive and complex datasets is fueling the demand for quantum computing integration into high performance computing (HPC) environments. Such an integration would allow enterprises to accelerate and optimize current HPC applications and processes by simulating and emulating them on today’s noisy... Read more…

Q&A with Intel’s Jeff McVeigh, an HPCwire Person to Watch in 2022

June 17, 2022

HPCwire presents our interview with Jeff McVeigh, vice president and general manager, Super Compute Group, Intel Corporation, and an HPCwire 2022 Person to Watc Read more…

Nvidia, Intel to Power Atos-Built MareNostrum 5 Supercomputer

June 16, 2022

The long-troubled, hotly anticipated MareNostrum 5 supercomputer finally has a vendor: Atos, which will be supplying a system that includes both Nvidia and Inte Read more…

D-Wave Debuts Advantage2 Prototype; Seeks User Exploration and Feedback

June 16, 2022

Starting today, D-Wave Systems is providing access to a 500-plus-qubit prototype of its forthcoming 7000-qubit Advantage2 quantum annealing computer, which is d Read more…

AMD Opens Up Chip Design to the Outside for Custom Future

June 15, 2022

AMD is getting personal with chips as it sets sail to make products more to the liking of its customers. The chipmaker detailed a modular chip future in which customers can mix and match non-AMD processors in a custom chip package. "We are focused on making it easier to implement chips with more flexibility," said Mark Papermaster, chief technology officer at AMD during the analyst day meeting late last week. Read more…

Nvidia R&D Chief on How AI is Improving Chip Design

April 18, 2022

Getting a glimpse into Nvidia’s R&D has become a regular feature of the spring GTC conference with Bill Dally, chief scientist and senior vice president of research, providing an overview of Nvidia’s R&D organization and a few details on current priorities. This year, Dally focused mostly on AI tools that Nvidia is both developing and using in-house to improve... Read more…

Royalty-free stock illustration ID: 1919750255

Intel Says UCIe to Outpace PCIe in Speed Race

May 11, 2022

Intel has shared more details on a new interconnect that is the foundation of the company’s long-term plan for x86, Arm and RISC-V architectures to co-exist in a single chip package. The semiconductor company is taking a modular approach to chip design with the option for customers to cram computing blocks such as CPUs, GPUs and AI accelerators inside a single chip package. Read more…

The Final Frontier: US Has Its First Exascale Supercomputer

May 30, 2022

In April 2018, the U.S. Department of Energy announced plans to procure a trio of exascale supercomputers at a total cost of up to $1.8 billion dollars. Over the ensuing four years, many announcements were made, many deadlines were missed, and a pandemic threw the world into disarray. Now, at long last, HPE and Oak Ridge National Laboratory (ORNL) have announced that the first of those... Read more…

AMD/Xilinx Takes Aim at Nvidia with Improved VCK5000 Inferencing Card

March 8, 2022

AMD/Xilinx has released an improved version of its VCK5000 AI inferencing card along with a series of competitive benchmarks aimed directly at Nvidia’s GPU line. AMD says the new VCK5000 has 3x better performance than earlier versions and delivers 2x TCO over Nvidia T4. AMD also showed favorable benchmarks against several Nvidia GPUs, claiming its VCK5000 achieved... Read more…

Top500: Exascale Is Officially Here with Debut of Frontier

May 30, 2022

The 59th installment of the Top500 list, issued today from ISC 2022 in Hamburg, Germany, officially marks a new era in supercomputing with the debut of the first-ever exascale system on the list. Frontier, deployed at the Department of Energy’s Oak Ridge National Laboratory, achieved 1.102 exaflops in its fastest High Performance Linpack run, which was completed... Read more…

Newly-Observed Higgs Mode Holds Promise in Quantum Computing

June 8, 2022

The first-ever appearance of a previously undetectable quantum excitation known as the axial Higgs mode – exciting in its own right – also holds promise for developing and manipulating higher temperature quantum materials... Read more…

Nvidia Launches Hopper H100 GPU, New DGXs and Grace Superchips

March 22, 2022

The battle for datacenter dominance keeps getting hotter. Today, Nvidia kicked off its spring GTC event with new silicon, new software and a new supercomputer. Speaking from a virtual environment in the Nvidia Omniverse 3D collaboration and simulation platform, CEO Jensen Huang introduced the new Hopper GPU architecture and the H100 GPU... Read more…

PsiQuantum’s Path to 1 Million Qubits

April 21, 2022

PsiQuantum, founded in 2016 by four researchers with roots at Bristol University, Stanford University, and York University, is one of a few quantum computing startups that’s kept a moderately low PR profile. (That’s if you disregard the roughly $700 million in funding it has attracted.) The main reason is PsiQuantum has eschewed the clamorous public chase for... Read more…

Leading Solution Providers

Contributors

ISC 2022 Booth Video Tours

AMD
AWS
DDN
Dell
Intel
Lenovo
Microsoft
PENGUIN SOLUTIONS

Intel Reiterates Plans to Merge CPU, GPU High-performance Chip Roadmaps

May 31, 2022

Intel reiterated it is well on its way to merging its roadmap of high-performance CPUs and GPUs as it shifts over to newer manufacturing processes and packaging technologies in the coming years. The company is merging the CPU and GPU lineups into a chip (codenamed Falcon Shores) which Intel has dubbed an XPU. Falcon Shores... Read more…

AMD Opens Up Chip Design to the Outside for Custom Future

June 15, 2022

AMD is getting personal with chips as it sets sail to make products more to the liking of its customers. The chipmaker detailed a modular chip future in which customers can mix and match non-AMD processors in a custom chip package. "We are focused on making it easier to implement chips with more flexibility," said Mark Papermaster, chief technology officer at AMD during the analyst day meeting late last week. Read more…

India Launches Petascale ‘PARAM Ganga’ Supercomputer

March 8, 2022

Just a couple of weeks ago, the Indian government promised that it had five HPC systems in the final stages of installation and would launch nine new supercomputers this year. Now, it appears to be making good on that promise: the country’s National Supercomputing Mission (NSM) has announced the deployment of “PARAM Ganga” petascale supercomputer at Indian Institute of Technology (IIT)... Read more…

Nvidia Dominates MLPerf Inference, Qualcomm also Shines, Where’s Everybody Else?

April 6, 2022

MLCommons today released its latest MLPerf inferencing results, with another strong showing by Nvidia accelerators inside a diverse array of systems. Roughly fo Read more…

AMD’s MI300 APUs to Power Exascale El Capitan Supercomputer

June 21, 2022

Additional details of the architecture of the exascale El Capitan supercomputer were disclosed today by Lawrence Livermore National Laboratory’s (LLNL) Terri Read more…

Nvidia, Intel to Power Atos-Built MareNostrum 5 Supercomputer

June 16, 2022

The long-troubled, hotly anticipated MareNostrum 5 supercomputer finally has a vendor: Atos, which will be supplying a system that includes both Nvidia and Inte Read more…

Industry Consortium Forms to Drive UCIe Chiplet Interconnect Standard

March 2, 2022

A new industry consortium aims to establish a die-to-die interconnect standard – Universal Chiplet Interconnect Express (UCIe) – in support of an open chipl Read more…

Covid Policies at HPC Conferences Should Reflect HPC Research

June 6, 2022

Supercomputing has been indispensable throughout the Covid-19 pandemic, from modeling the virus and its spread to designing vaccines and therapeutics. But, desp Read more…

  • arrow
  • Click Here for More Headlines
  • arrow
HPCwire