Dow Jones & AI in Risk and Compliance with Joel Lange
Joel Lange shares how Dow Jones is leveraging AI and analytics to evaluate the risk of companies and combat finance crimes and money laundering.
Fresh out of the studio, Joel Lange, executive vice president & general manager of risk and research from Dow Jones, discussed how the company is leveraging artificial intelligence and data analytics to help companies tackle risk and compliance and combat financial crimes and money laundering. Joel also explored generative AI's role in risk management and concluded by envisioning the future of Dow Jones Risk & Compliance and what great would look like in the Asia Pacific.
"And so what we do at Dow Jones, very specifically, is look at - What are the regulators demanding? What do they want you to do? What are the specific data points that you require? And which workflows do you want to use them in? And, there are very different workflows, which within, for example, a financial institution. You have the onboarding of your new customers, and in those situations, you may have a little bit more time. Obviously, there's the service level in terms of opening a bank account is faster and faster. But you have a little bit more time in that regard. You want to look at potentially more data. Then once you are a customer of a bank, you're gonna be amongst millions of customers. How do banks can then adapt to check additional data points? And, today the customer may be clean and have no adverse media, may not be sanctions, but that could change." - Joel Lange
Introduction
- Joel Lange, Executive Vice President and General Manager, Risk & Research for Dow Jones (Linkedin, Dow Jones Profile, @JoelLangeRnC)
- Support for freeing Evan Gershkovich from Wall Street Journal on his 32nd birthday.
- Let’s start with your origin story, how did you start your career and eventually land your present role at Dow Jones?
- Can you share the important lessons you learned in your career journey?
Dow Jones and AI in Risk Management and Combating against Financial Crimes with Joel Lange
- To start and help my audience on the subject, can you share the global vision and mission of Dow Jones and what it does?
- Can you define what constitutes risk management, anti-money laundering and financial crimes to level set my audience in understanding this complex subject?
- What is the total addressable market opportunity specifically in risk management and mitigation against financial crimes for businesses? In other words, can you describe the financial and reputational impact on organizations if they did not manage their risk well or failed to catch financial crime happening within their organization?
- What is the role and perspective of the Dow Jones Risk & Compliance division, particularly in the realm of managing risk and combating financial crime and the challenges that you have seen organizations face specifically in this area?
- What is the one thing you know about risk management and combating financial crime that very few do?
- Can you elaborate on Dow Jones' newly announced RiskCenter Advanced Screening and Monitoring (ASAM) based on best-in-class risk data and cutting-edge machine learning algorithms?
- What makes it stand out from other risk management solutions in the market?
- How does the solution work, specifically using AI and machine learning capabilities to refine the process of identifying potential financial crimes or irregularities?
- How does the solution tackle false positives, given that machine learning tends to provide solutions that are probabilistic and have tradeoffs in the specificity and sensitivity of the data?
- Specifically in the Asia Pacific region, where the regulatory landscape is unique and challenging. From your perspective, how does the diversity of the region both economically and politically impact the complex AML processes?
- What is the mental model to strike the balance between economic recovery and anti-corruption efforts which affects the integrity of the financial sector in the countries which sometimes can be tricky with authoritarian governments in the region?
- What are your perspectives on generative AI given that it has the propensity to both augment or create misinformation in the context of financial crime and risk management?
- What would be your advice to C-suite executives in thinking about risk management with AI?
- Our traditional closing question: what does great look like for Dow Jones Risk and Compliance in the Asia Pacific region with respect to the ASAM solution and market expansion?
Closing
- Any recommendations that have inspired your life?
- Joel's recommendation: Gerard Baker, "American Breakdown"
- How can my audience find you?
Podcast Information: Bernard Leong (@bernardleong, Linkedin) hosts and produces the show. Proper credits for the intro and end music: "Energetic Sports Drive" and the episode is mixed & edited in both video and audio format by G.Thomas Craig (@gthomascraig, LinkedIn).
