Abstract
Purpose
In today's advanced economy, there is a broader presence of information revolution, such as artificial intelligence (AI). AI primarily drives modern banking, leading to innovative banking channels, services and solutions disruptions. Thus, this chapter intends to determine AI's place in contemporary banking and stock market trading.
Need for the Study
Stock market forecasting is hampered by the inherently noisy environments and significant volatility surrounding market trends. There needs to be more research on the mantle of AI in revolutionising banking and stock market trading. Attempting to bridge this gap, the present research study looks at the function of AI in banking and stock market trading.
Methodology
The researchers have synthesised the literature pool. They undertook a systematic review and meta-synthesis method by identifying the major themes and a systematic literature review aided in the critical analysis, synthesis and mapping of the body of existing material.
Findings
The study's conclusions demonstrated the efficacy of AI, which has played a robust role in banking and finance by reducing risk and operational costs, enabling better customer experience, improving regulatory complaints and fraud detection and improving credit and loan decisions. AI has revolutionised stock market trading by forecasting future prices or trends in financial assets, optimising financial portfolios and analysing news or social media comments on the assets or firms.
Practical Implications
AI's debut in banking and finance has brought sea changes in banking and stock market trading. AI in the banking industry and capital market can provide timely and apt information to its customers and customise the products as per their requirements.
Keywords
Citation
Mer, A., Singhal, K. and Virdi, A.S. (2024), "A Review of the Role of Artificial Intelligence in Banking and Stock Market Trading", Taneja, S., Kumar, P., Sood, K., Özen, E. and Grima, S. (Ed.) Finance Analytics in Business (Emerald Studies in Finance, Insurance, and Risk Management), Emerald Publishing Limited, Leeds, pp. 175-198. https://doi.org/10.1108/978-1-83753-572-920241009
Publisher
:Emerald Publishing Limited
Copyright © 2024 Akansha Mer, Kanchan Singhal and Amarpreet Singh Virdi. Published under exclusive licence by Emerald Publishing Limited