We sat down with Ratul Ahmed, Group Head Model Risk & Validation at Commerzbank AG and a contributor to The Future of AI Governance and Compliance in Financial Services research report, following the roundtable discussion at its launch in the House of Lords. Ratul reflects on the pressures shaping how firms adopt AI, why financial services must not lose sight of who they serve, and why collaboration and shared accountability are the only way forward.
1. Mindset and return on investment are shaping how firms adopt AI
Financial institutions are being pushed to recoup the investment they make in AI, and that pressure influences how quickly they adopt and who becomes responsible for the guardrails around it. When it comes to mindset, firms need to be clear about where the second line sits and how those controls are maintained as adoption accelerates, rather than letting the pace of investment decide it for them.
2. Responsible adoption means remembering who financial services are for
Financial services exist to serve clients, and adopting AI responsibly means holding onto that core purpose. That responsibility goes beyond a firm's own systems, and extends to supporting AI literacy across the other sectors, clients and communities that firms work with, so that everyone can realise the benefits and no one is left behind.
3. Collaboration is the only way to meet the challenge
One size does not fit all. Every organisation has a different setup, a different way of thinking, and a different regulatory environment and framework to work within. Working together, with peers, regulators and governments, is the route to shared solutions and the impetus to move forward with confidence.
4. Agency, trust and accountability need to sit across all three lines of defence
Adopting AI responsibly rests on three foundations. Agency, and a clear view of where decision-making power resides. Trust, both in one another across the industry and in the assurance that the work will get done. And accountability, which can no longer sit only within the second line, or at a further distance in the third. It has to sit across all three lines of defence.
