FREE ENBIS Webinar by Arianna Agosto and Paolo Giudici "Fintech Risk Management"

23 November 2020; 13:00 – 14:00

Fintech Risk Management

The rise of technologically enabled financial innovations ("Fintech") has resulted in new financial services, with increased opportunities for consumers and investors. These developments lead to the emergence of new risks, which can affect consumer and investor protection, as well as financial stability. For example, differences in risk ownership between traditional and peer to peer lending may lead to biased credit scoring algorithms, which might in turn lead to bad credit allocation and debt accumulation. Wider use of algorithms in financial decisions may violate risk preferences and increase vulnerability to IT risks and cyber-attacks. New means of payment, such as stablecoins and crypto currencies, may lead to significant increase in the speed and volume of transactions, which might result in greater volatility and worsen market integrity. Currently, supervisors, financial companies and technological providers do not have a common framework to understand the opportunities/risks balance related with the application of innovative technologies in the financial industry context.  

In the talk we will focus on Fintech Risk Management,  providing a kick-off for the  activities of the Enbis SIG on risk management, aimed at discussing research solutions that efficiently automatize both fintech compliance (RegTech) and supervisory monitoring (SupTech). Doing so, the SIG aims at building uniform data-driven risk management procedures common to supervisors and supervised entities, encouraging a regulatory environment and a business environment which encourages innovations in big data analytics, artificial intelligence, and blockchain technologies while, at the same time, allows authorities to ensure consumer/investor protection and resilience of the overall financial system.

We acknowledge support of the FIN-TECH Horizon2020 European project, in which use cases can not only be read but also reproduced, by means of  open access papers and R software codes. See https://www.fintech-ho2020.eu.

Short Bios

Arianna Agosto is a post-doctoral researcher in Statistics at the Department of Economics and Management of University of Pavia, where she teaches Data Science. She is member of the coordination team of the H2020 FIN-TECH project, financed by the European Commission, and member of the Fintech Laboratory of the University of Pavia. She is author of several scientific publications on international journals concerning statistical and econometric models for credit risk, financial risk and contagion. She also has professional experience in bank risk management.

 

Paolo Giudici is Professor of Statistics and of data science. Supervisor of about 180 Master's students and of 16 Phd students, currently working in the financial industry, in IT/consulting companies or as academic researchers.

Author of several scientific publications (90 in Scopus, with 1316 total citations and an h-index of 21).

The publications have appeared in: Journal of the Royal Statistical Society, Biometrika, Journal of Business and Economics Statistics, Journal of the operational research society, Computational Statistics and data analysis, Journal of Computational and graphical statistics, Expert systems with applications, Machine Learning, Neurocomputing, Journal of Banking and Finance, Journal of Financial Stability, Finance research letters.

Coordinator of 12 funded scientific projects, among which the European Horizon2020 projects “PERISCOPE: Pan-European response to the impacts of covid-19 and future pandemics and epidemics (2020-2023)”, “FIN-TECH: Financial supervision and Technological compliance" (2019-2020).

Editor of "Artificial Intelligence in Finance", Frontiers. Associate Editor of “Digital Finance”, Springer; and of "Risks", MDPI . Member of the National committee for the career progression of statistics professors (ASN 2018-2020).Member of the HR committee of the Department of Economics and Management, University of Pavia.

Research fellow at the Bank for International Settlements and at the University College London center for Blockchain technologies. Expert at the European Insurance and Occupational Pensions Authority (EIOPA). Expert at the Italian ministry of development for the National AI strategy.

Member of the steering committee of the Italian Statistical Society (SIS), of the Association of Italian Financial Risk Managers (AIFIRM) and of the European Network for Business and Industrial Statistics (ENBIS). Member of the European Big Data Value Association (BDVA) , the International Society for Bayesian Analysis (ISBA), the Italian Econometric Society (SIDE),’ the International Association for applied econometrics (IAEE), the Cryptovalues association, AssoFintech.

Principal investigator of research, training and consulting projects for: the Italian Banking Association, Intesa SanPaolo, Unicredit, UBI, BancoBpm, MPS, BPS, Creval, Accenture, KPMG, SAS, Mediaset, Sky.