AI, ML, Blockchain, Crypto and CBDCs: Risks and Opportunities of Disruptive Technologies

GARP Risk Podcast

Hear from Wall Street veteran and author Aaron Brown about the impact of fast-evolving technology on risk management.

Financial institutions are now using everything from machine-learning modeling and generative AI to blockchain and public-key cryptography for risk monitoring, measurement and mitigation. What’s more, we can see on the horizon the development of other tools – like central bank digital currencies – that could further alter the landscape.

However, each of these technologies present their own set of challenges, and it’s important for risk managers to understand both their advantages and potential drawbacks.

Aaron Brown, a renowned author and former CRO of AQR Capital Management, has had a front-row seat to the evolution of technology in financial risk management.

He joins GARP editorial director Robert Sales to discuss the pros and cons of technological innovations, and to explore what’s on the horizon, drawing on his previous work as a trader, portfolio manager, head of mortgage securities and risk manager for several global financial institutions.

SPEAKER'S BIO

Aaron Brown teaches finance and mathematics as an adjunct at NYU and writes Risk Intelligence’s monthly “Tech Perspectives” column. He is a distinguished risk manager who has held a variety of high-level positions on Wall Street, dating back to the early 1980s. Most recently, he served for 10 years as chief risk officer of the large hedge fund AQR Capital Management. His books on risk management include The Poker Face of Wall Street, Red-Blooded Risk, Financial Risk Management for Dummies and A World of Chance. In 2011, he was named GARP’s Risk Manager of the Year.