According to an article by CNBC, Morgan Stanley has embraced the generative AI revolution on Wall Street, unveiling an AI assistant powered by OpenAI's advanced software. In a memo obtained by CNBC, the bank announced that this AI assistant is now fully operational, serving all financial advisors and their support teams.
Breaking boundaries: New ways of working in financial institutions
Morgan Stanley's co-President, Andy Saperstein, highlighted the enduring significance of financial advisors, foreseeing generative AI transforming client interactions, streamlining advisor operations, and allowing more time for client-centric activities.
This announcement builds on Morgan Stanley's groundbreaking introduction of an AI assistant based on OpenAI's GPT-4 technology in March. While other financial giants like Goldman Sachs and JPMorgan Chase have ventured into generative AI, Morgan Stanley stands out as the first major Wall Street firm to provide a customized GPT-4 solution to its employees, according to Jeff McMillan, head of analytics, data, and innovation at Morgan Stanley's wealth management division.
The "AI @ Morgan Stanley Assistant" offers financial advisors quick access to the bank's vast repository of approximately 100,000 research reports and documents. By streamlining responses to inquiries about markets, recommendations, and internal processes, the assistant empowers advisors and customer service teams to engage more effectively with clients.
Despite its seemingly simple text-based interface, developing this program was a complex undertaking. The bank invested months in curating content and enlisted human experts for rigorous testing. Notably, advisors must frame questions in full sentences, akin to human conversations, instead of relying on keywords used in traditional search engine queries.
The AI @ Morgan Stanley Assistant marks just the beginning of Morgan Stanley's exploration of generative AI, with the firm also piloting "Debrief," a tool designed to automatically summarize client meetings and generate follow-up emails.
Transitioning to OpenAI's software signifies a fundamental shift in the bank's technological approach. Instead of conventional coding, the system learns from examples of "good" responses, enabling it to reason and apply logic like a human.
The enthusiasm surrounding AI has significantly impacted financial markets and forced entire industries to confront its implications, with many experts viewing AI as the next foundational technology. McMillan encapsulated this by stating, "I've never seen anything like this in my career, spanning 20 years in artificial intelligence. We recognized a disruptive window of opportunity and were determined not to be left behind."
