Introduction to AI and Systemic Risk Analytics
AI (Artificial Intelligence) is a transformative technology that has shown its potential in recent years. The rapid development of AI methods and data centricity in finance provides opportunities, but it also poses new challenges to our economies. Specifically, there has been significant growth in language technology and LLMs (Large Language Models), which could profoundly change our societies. Therefore, well-planned and targeted policies are key to developing a safe and sustainable society with AI.
Focus of the Systemic Risk Analytics Conference
This year’s Systemic Risk Analytics conference has a strong focus on AI and systemic risk, similar to last year. The conference aims to adopt methods and techniques from other disciplines, such as computer science, engineering, biology, and physics, that use computer-intensive approaches, novel data sources, and AI. Examples of possible topics include how LLMs can detect systemic risk, how AI can change interdependencies in financial markets, and whether AI and quantum computing can pose new sources of systemic risks, such as operational risks and cyber risks.
Conference Topics and Format
Beyond the focus on AI, the conference welcomes submissions on traditional tools of systemic risk analytics and macroprudential policy, such as early-warning indicators, network and contagion analysis, macro stress-testing, and tools for big data analytics. The conference will be held in a hybrid format, allowing virtual participation, and will take place on June 27-28, 2025, at the Bank of Finland in Helsinki. The conference includes keynotes, panel discussions, presentations, and poster sessions.
Conference Program
The conference program is divided into two days, with the following sessions and topics:
- Day 1: June 27, 2025
- Session 1: Gaming the Test? Window-dressing and portfolio similarity around the EU-wide stress tests, and Cassandra: an automated AI-based surveillance system to forecast bank distress from financial news.
- Session 2: Conditional Forecasting of Margin Calls using Dynamic Graph Neural Networks, and Trusting Deep Learning Networks for Credit Default Predictions under Imbalanced Data: Investigation of Potential Bias.
- Session 3: Decomposing Systemic Risk: The Roles of Contagion and Common Exposures, and Can Large Language Models Trade? AI Agents Competing in Stock Markets.
- Keynote speech by Simon Johnson, 2024 Nobel Laureate in economics.
- Day 2: June 28, 2025
- Keynote (virtual) by Gaston Gelos, Deputy Head of the Monetary and Economic Department and Head of Financial Stability Policy, BIS.
- Expert Brief Speech by Iman van Lelyveld, Professor, Vrije Universiteit Amsterdam.
- Presentation by Janna Salokangas, Co-Founder, CEO, Themia World.
- Sessions 5 and 6 will cover topics such as Beyond the Balance Sheet: The Role of Social Sentiment in Financial Contagion, Risky Words and Returns, NBFI Sentiment Analysis and Negative News Monitoring using Generative AI Technology, and Navigating the Digital Frontier: Unraveling the Impact of Bank Technology Innovations on Idiosyncratic and Systemic Risks.
Registration and Participation
Conference participation requires pre-registration and is free of charge. However, participants are expected to pay their expenses for travel and accommodation. Registration can be done using the provided link, and more information can be requested from fs.events@bof.fi.
Conference Organisers
The conference is organised by:
- Kaj-Mikael Björk (RiskLab at Arcada, Centre for Intelligent Computing)
- Tuomas Peltonen (European Systemic Risk Board)
- Katja Taipalus (Bank of Finland)
Conclusion
The 10th RiskLab BoF ESRB Conference on AI and Systemic Risk Analytics 2025 offers a unique opportunity for experts and researchers to discuss the latest developments in AI and systemic risk. With its hybrid format and diverse program, the conference aims to provide a comprehensive understanding of the challenges and opportunities posed by AI in finance. By attending this conference, participants can expect to gain insights into the latest research and advancements in AI and systemic risk analytics, and contribute to the development of a safe and sustainable financial system.
