The Cross Market Operational Resilience Group’s AI Taskforce has published its AI baseline guidance review which aims to support the financial sector in responding to risks posed by artificial intelligence.

CMORG and its member firms, in conjunction with City of London Corporation, Financial Services Information Sharing and Analysis Center, and UK Finance, conducted a baseline review of existing GenAI risk mitigation guidance specific to the financial services sector and developed best practices for GenAI risk management.

The review provides insight on managing AI risk in the financial services sector, with a focus on GenAI and includes guidance on government and regulatory approaches, risk management principles and frameworks, technical implementation, third-party and legal considerations, as well as education and awareness.

Amanda Creak, CIO forum co-chair, CMORG said: “This resource is the collective insight of a diverse group of experts and is firmly grounded in real-world application. It is intentionally designed to be both adaptable and forward-looking, allowing organisations to tailor it to their own unique needs and enabling responsiveness to emerging challenges and the evolving nature of threats.”

The AI baseline guidance review also provides key takeaways for firms to consider within their own organisational context and provides a reference section as a resource for deeper understanding.

Jana Mackintosh, managing director, payments and innovation, UK Finance, added: “As the financial sector increasingly leverages GenAI, firms must take a range of considerations into account to ensure risks are appropriately addressed.

“While there is not a one-size-fits-all solution, firms can adapt this resource to their risk appetite and leverage it in conjunction with other frameworks to achieve effective management of GenAI risks. This will help firms make the most of the opportunities these technologies offer.”

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