FinTech in Financial Inclusion: Machine Learning Applications in Assessing Credit Risk - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook FinTech in Financial Inclusion: Machine Learning Applications in Assessing Credit Risk write by Majid Bazarbash. This book was released on 2019-05-17. FinTech in Financial Inclusion: Machine Learning Applications in Assessing Credit Risk available in PDF, EPUB and Kindle. Recent advances in digital technology and big data have allowed FinTech (financial technology) lending to emerge as a potentially promising solution to reduce the cost of credit and increase financial inclusion. However, machine learning (ML) methods that lie at the heart of FinTech credit have remained largely a black box for the nontechnical audience. This paper contributes to the literature by discussing potential strengths and weaknesses of ML-based credit assessment through (1) presenting core ideas and the most common techniques in ML for the nontechnical audience; and (2) discussing the fundamental challenges in credit risk analysis. FinTech credit has the potential to enhance financial inclusion and outperform traditional credit scoring by (1) leveraging nontraditional data sources to improve the assessment of the borrower’s track record; (2) appraising collateral value; (3) forecasting income prospects; and (4) predicting changes in general conditions. However, because of the central role of data in ML-based analysis, data relevance should be ensured, especially in situations when a deep structural change occurs, when borrowers could counterfeit certain indicators, and when agency problems arising from information asymmetry could not be resolved. To avoid digital financial exclusion and redlining, variables that trigger discrimination should not be used to assess credit rating.
Artificial Intelligence, Fintech, and Financial Inclusion
Artificial Intelligence, Fintech, and Financial Inclusion - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Artificial Intelligence, Fintech, and Financial Inclusion write by Rajat Gera. This book was released on 2023-12-28. Artificial Intelligence, Fintech, and Financial Inclusion available in PDF, EPUB and Kindle. This book covers big data, machine learning, and artificial intelligence-related technologies and how these technologies can enable the design, development, and delivery of customer-focused financial services to both corporate and retail customers, as well as how to extend the benefits to the financially excluded sections of society. Artificial Intelligence, Fintech, and Financial Inclusion describes the applications of big data and its tools such as artificial intelligence and machine learning in products and services, marketing, risk management, and business operations. It also discusses the nature, sources, forms, and tools of big data and its potential applications in many industries for competitive advantage. The primary audience for the book includes practitioners, researchers, experts, graduate students, engineers, business leaders, and analysts researching contemporary issues in the area.
FinTech in Financial Inclusion: Machine Learning Applications in Assessing Credit Risk
FinTech in Financial Inclusion: Machine Learning Applications in Assessing Credit Risk - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook FinTech in Financial Inclusion: Machine Learning Applications in Assessing Credit Risk write by Majid Bazarbash. This book was released on 2019-05-17. FinTech in Financial Inclusion: Machine Learning Applications in Assessing Credit Risk available in PDF, EPUB and Kindle. Recent advances in digital technology and big data have allowed FinTech (financial technology) lending to emerge as a potentially promising solution to reduce the cost of credit and increase financial inclusion. However, machine learning (ML) methods that lie at the heart of FinTech credit have remained largely a black box for the nontechnical audience. This paper contributes to the literature by discussing potential strengths and weaknesses of ML-based credit assessment through (1) presenting core ideas and the most common techniques in ML for the nontechnical audience; and (2) discussing the fundamental challenges in credit risk analysis. FinTech credit has the potential to enhance financial inclusion and outperform traditional credit scoring by (1) leveraging nontraditional data sources to improve the assessment of the borrower’s track record; (2) appraising collateral value; (3) forecasting income prospects; and (4) predicting changes in general conditions. However, because of the central role of data in ML-based analysis, data relevance should be ensured, especially in situations when a deep structural change occurs, when borrowers could counterfeit certain indicators, and when agency problems arising from information asymmetry could not be resolved. To avoid digital financial exclusion and redlining, variables that trigger discrimination should not be used to assess credit rating.
Powering the Digital Economy: Opportunities and Risks of Artificial Intelligence in Finance
Powering the Digital Economy: Opportunities and Risks of Artificial Intelligence in Finance - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Powering the Digital Economy: Opportunities and Risks of Artificial Intelligence in Finance write by El Bachir Boukherouaa. This book was released on 2021-10-22. Powering the Digital Economy: Opportunities and Risks of Artificial Intelligence in Finance available in PDF, EPUB and Kindle. This paper discusses the impact of the rapid adoption of artificial intelligence (AI) and machine learning (ML) in the financial sector. It highlights the benefits these technologies bring in terms of financial deepening and efficiency, while raising concerns about its potential in widening the digital divide between advanced and developing economies. The paper advances the discussion on the impact of this technology by distilling and categorizing the unique risks that it could pose to the integrity and stability of the financial system, policy challenges, and potential regulatory approaches. The evolving nature of this technology and its application in finance means that the full extent of its strengths and weaknesses is yet to be fully understood. Given the risk of unexpected pitfalls, countries will need to strengthen prudential oversight.
The Promise of Fintech
The Promise of Fintech - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook The Promise of Fintech write by Ms.Ratna Sahay. This book was released on 2020-07-01. The Promise of Fintech available in PDF, EPUB and Kindle. Technology is changing the landscape of the financial sector, increasing access to financial services in profound ways. These changes have been in motion for several years, affecting nearly all countries in the world. During the COVID-19 pandemic, technology has created new opportunities for digital financial services to accelerate and enhance financial inclusion, amid social distancing and containment measures. At the same time, the risks emerging prior to COVID-19, as digital financial services developed, are becoming even more relevant.
