JPMorgan last Monday, May 22, held an investor day, during which the vectors of further activities of the bank holding were outlined, including intentions related to the use of artificial intelligence were announced.

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CEO of the financial institution Jamie Dimon during the annual meeting with investors said that he was not going to resign from his position, and also noted that his intensity remains the same.

Dimon’s personal roadmap was drawn up taking into account the fact that many of the circumstances of the bank holding’s activities are no longer in the status quo zone. In recent years, the financial institution has had to face a challenge in the form of macroeconomic pressure. At the same time, the bank has successfully overcome this era barrier. The general world situation in the sense of a historical moment is not characterized by stability.

JPMorgan CFO Jeremy Barnum said that one of the most symptomatic signs of the new times in banking is the fact that system-wide deposits have increased significantly as a result of quantitative easing during the Covid-19 period. As a result, financial institutions found themselves in a situation of misunderstanding what to do with money.

The last inflow of deposits to JPMorgan amounted to about $ 800 billion. Part of this capital was used to help the First Republic to become a shareholder. As a result, according to Barnum, the net profit of the financial institution will increase by about $3 billion.

Currently, the growth of spending by the giant of the American banking sector on technology is being recorded. According to experts, this is evidence of dependence on data, analytics, and infrastructure modernization.

During Investor Day, the bank’s Global Director of Information Technology, Lori Beer, reported an acceleration in the pace of new products and the launch of new functions by 20% compared to a year ago. In 2022, the financial institution’s spending on technology amounted to $ 14.3 billion. This year, this expenditure item is expected to grow to $15.3 billion. Of these funds, $4 billion will be spent on products and platforms.

Bir said that the financial institution directs $ 300 million to improve the efficiency of design and labor, and $ 200 million to increase the level of infrastructure productivity. The bank stops the functioning of outdated applications.

In the field of payment functions, and especially in corporate and investment banking, a financial institution focuses on new opportunities for processing transactions and payments in real-time. The Bank has reduced the time required to launch a new real-time payments market from 18 months to 3-6 months.

Bir said that the financial institution is ahead of its plan to increase the value of the business through the introduction of artificial intelligence-based tools by $ 1 billion. The Bank has also increased the number of AI and machine learning use cases by more than 30%. More than 300 variations are being developed.

According to Bir, the use of artificial intelligence has helped personalize products and experiences for retail customers. This decision allowed the bank to increase its revenues by $220 million last year.

As we have reported earlier, JPMorgan Creates AI Model to Analyze Fed Speeches.