The Financial Supervisory Commission (FSC) yesterday asked local banks and financial services providers to closely monitor their use of artificial intelligence (AI) tools such as ChatGPT, to protect data security.
The FSC told the Bankers’ Association (銀行公會) to investigate how many banks are using AI tools, how they use them and whether they have set risk controls, and to complete the review in two months.
Meanwhile, the Securities and Futures Bureau said it would investigate whether local securities companies have incorporated AI tools into their services, bureau Deputy Director Kao Ching-ping (高晶萍) told the Taipei Times by telephone yesterday.
Photo: CNA
Lawmakers on Thursday questioned whether the FSC was aware of the potential hazards involved in the use of large-language models, commonly referred to as AI.
No foreign financial regulator has taken a clear stance on the issue, although the Hong Kong Monetary Authority said the issue would eventually be discussed by international agencies, such as the Bank for International Settlements, FSC Chairman Thomas Huang (黃天牧) told legislators.
The FSC would research the risks to consumers first and decide how to set a framework, Huang said.
Banks seeking to use ChatGPT might risk data leaks, as they would be using customer information to interact with the software, which could incorporate that information into its own database, Banking Bureau Director-General Sherri Chuang (莊琇媛) said.
Even if banks use a special version of a large-language model for business, they should be aware of the data security risks and take precautions, Chuang said.
The Securities and Futures Bureau is unaware of any local securities company using ChatGPT as part of their equity research or customer service, but it would seek to confirm that, Kao said.
“There is no regulation banning securities companies from using new technology tools, but if the companies want to utilize the bot [ChatGPT], they must prevent data insecurity and be responsible for any financial advice they give to their clients, whether the advice based on their employees’ judgements or that of bots,” Kao said.
With ChatGPT gaining popularity worldwide, experts have been discussing whether it would replace financial services provided by humans, as the tool could analyze vast volumes of data quickly, and detect patterns and trends difficult for a person to spot.
However, when asked for advice on investing in local companies, the chatbot gave a neutral and conservative response.
It said that it cannot provide investment advice, which requires a thorough understanding of the investor’s financial situation, risk tolerance, investment goals and other factors.
Although some shares have performed well in the past, that performance is not a guarantee of future results, it added.
Tropical Storm Usagi strengthened to a typhoon yesterday morning and remains on track to brush past southeastern Taiwan from tomorrow to Sunday, the Central Weather Administration (CWA) said yesterday. As of 2pm yesterday, the storm was approximately 950km east-southeast of Oluanpi (鵝鑾鼻), Taiwan proper’s southernmost point, the CWA said. It is expected to enter the Bashi Channel and then turn north, moving into waters southeast of Taiwan, it said. The agency said it could issue a sea warning in the early hours of today and a land warning in the afternoon. As of 2pm yesterday, the storm was moving at
DISCONTENT: The CCP finds positive content about the lives of the Chinese living in Taiwan threatening, as such video could upset people in China, an expert said Chinese spouses of Taiwanese who make videos about their lives in Taiwan have been facing online threats from people in China, a source said yesterday. Some young Chinese spouses of Taiwanese make videos about their lives in Taiwan, often speaking favorably about their living conditions in the nation compared with those in China, the source said. However, the videos have caught the attention of Chinese officials, causing the spouses to come under attack by Beijing’s cyberarmy, they said. “People have been messing with the YouTube channels of these Chinese spouses and have been harassing their family members back in China,”
The Central Weather Administration (CWA) yesterday said there are four weather systems in the western Pacific, with one likely to strengthen into a tropical storm and pose a threat to Taiwan. The nascent tropical storm would be named Usagi and would be the fourth storm in the western Pacific at the moment, along with Typhoon Yinxing and tropical storms Toraji and Manyi, the CWA said. It would be the first time that four tropical cyclones exist simultaneously in November, it added. Records from the meteorology agency showed that three tropical cyclones existed concurrently in January in 1968, 1991 and 1992.
UPDATED FORECAST: The warning covered areas of Pingtung County and Hengchun Peninsula, while a sea warning covering the southern Taiwan Strait was amended The Central Weather Administration (CWA) at 5:30pm yesterday issued a land warning for Typhoon Usagi as the storm approached Taiwan from the south after passing over the Philippines. As of 5pm, Usagi was 420km south-southeast of Oluanpi (鵝鑾鼻), Taiwan proper’s southernmost tip, with an average radius of 150km, the CWA said. The land warning covered areas of Pingtung County and the Hengchun Peninsula (恆春), and came with an amended sea warning, updating a warning issued yesterday morning to cover the southern part of the Taiwan Strait. No local governments had announced any class or office closures as of press time last night. The typhoon
RSS