by Douglas K. Yatter and Hanyu (Iris) Xie
Douglas K. Yatter and Iris Xie (Photos courtesy of Latham & Watkins LLP)
With the sudden arrival in the public consciousness of generative artificial intelligence (AI) tools like ChatGPT, it has become commonplace to observe that the rapid advancement and adoption of AI has the potential to reorder large portions of human economic, social, and artistic activity. The ability of AI technologies to analyze, learn from, and utilize vast amounts of data with less and less human intervention or control may create opportunities and challenges in equal measure. In the financial services industry and financial markets, where use of code has long been essential for data analysis and automation, AI is an evolutionary next step that may test the limits of our existing framework for compliance and enforcement.