Course objective

AI can drive operational and cost efficiencies, as well as strategic business transformation programmes, including better and more tailored customer engagement. However, limited availability of the right quality and quantity of data, insufficient understanding of AI inherent risks, a firm’s culture, and
regulation can all act as real, and in some cases, perceived barriers to widespread adoption of AI in FS firms.

AI and risk management involves integrating concepts from artificial intelligence with principles of risk management to prepare students to handle the complexities and opportunities of AI in various domains. 

Course content

1. Understanding AI Fundamentals – Brief overview of AI, Risks and dangers of AI, Famous AI disasters, How can AI promote ESG.
2. Regulatory and ethical considerations – What are regulators looking for?, Regulating AI, How can AI make the environment more sustainable?, How can AI potential be unlocked for the social good?, How can AI benefit governance, Leading practices to mitigate AI’s environmental impact.
3. AI risks and ESG – Risk appetite, How AI models contribute to the carbon footprint, Framework design.
4. Risk Mitigation Strategies – COSO and AI, Leveraging COSO, Steps towards trustworthy AI based on the COSO ERM framework.
5. Non-human identities – Why do hackers go after Non-Human identities?, The holy grail of non-human identities – databases, Top non-human identity (NHI) issues.