MYbank, a digital bank in China and an affiliate of Ant Group, introduced its AI-driven "Cuckoo System" at the 2024 INCLUSION·Conference in Shanghai. This system is designed to help small and micro-sized enterprises (SMEs) manage their money more effectively by predicting cash flows across different industries.
The Cuckoo System allows bank-affiliated investment management companies to better anticipate when SMEs will subscribe to or redeem investment products. This helps align financial offerings with SMEs' operational cycles, making cash management more efficient and boosting returns from idle funds.
MYbank President Feng Liang highlighted the liquidity challenges faced by SMEs, explaining that while high returns may not be their priority, they need secure investment products that match their fluctuating cash flow. The Cuckoo System meets this need by offering stability and security.
Powered by Ant Group's BaiLing foundation model, the system uses AI to develop cash flow prediction models with over 95% accuracy in industries like e-commerce and agriculture. These insights allow investment managers to optimize resource allocation, improving returns by 10%.
As of September 2024, MYbank has partnered with 23 bank-affiliated investment firms, with five already using the Cuckoo System in SME-focused products. A McKinsey report predicts the bank-affiliated investment market will reach 50 trillion yuan by 2030, with SMEs becoming a key growth area.
