RBC Forms New AI Team for Capital Markets Unit
By Nivedita Balu
TORONTO () – The capital markets division of Royal Bank of Canada has formed a dedicated Artificial Intelligence and Digital Innovation team, aiming to leverage AI for driving future expansion, according to the Canadian bank’s statement on Wednesday.
The team, which has bases in New York, Toronto, and London, will be reporting to the recently named Chief Strategy and Innovation Officer, Lindsay Patrick.
RBC has named Bobby Grubert as the leader for AI and Digital Innovation, with him reporting directly to Patrick. Grubert was instrumental in developing Aiden, which is RBC’s inaugural generative AI tool, along with RBC Elements, their data-driven research platform.
The new group will come together through selections of talented individuals drawn from RBC’s international market operations, according to the bank.
In March, RBC stated that it anticipates earning as much as approximately CAD 1 billion ($722.02 million) through its artificial intelligence initiatives, highlighting the crucial part this technology will have in driving the expansion of Canada’s biggest banking institution in its upcoming development stage.
In March, CEO Dave McKay informed investors that the financial institution’s technological advancements have garnered favorable feedback from prominent figures such as NVIDIA CEO Jensen Huang. The company is placing significant faith in artificial intelligence to accelerate training times, improve process efficiency, and enhance various operations.
Derek Neldner, who leads RBC’s capital markets division, highlighted that the unit has been expanding and utilizing Aiden, RBC’s GenAI product created in collaboration with research organization Borealis AI. This tool is being applied to electronic trading, automating processes from the frontend to the backend, as well as enhancing data-driven research and analysis.
Artificial intelligence is emerging as an essential instrument for financial institutions worldwide, helping them to simplify interactions with customers, manage document processing, detect suspicious activities, and automate various routine tasks.
The Royal Bank of Montreal has similarly appointed a Chief Artificial Intelligence and Data Officer, whereas other financial institutions have mentioned that they are investing resources to enhance their capacities.
(1 USD equals 1.3850 Canadian dollars)
(Reported by Nivedita Balu in Toronto Editing by Matthew Lewis)