Financial services are facing a new reality: generative AI is transforming the industry. While closed-source models offer powerful capabilities, they can raise concerns about transparency and control. That’s where open-source LLMs come in. Now more advanced than ever, these models provide a flexible and secure foundation for building AI-powered solutions. With open-source, financial institutions can embrace innovation while maintaining control over their data and algorithms.
Gaurav Sharma, Client Partner, Financial Services at Fractal, spoke with AIM to explore this shift and explain how open-source LLMs are used in financial services.
Sharma emphasized the critical importance of data protection when deploying open-source LLMs. Businesses must ensure strict adherence to data privacy laws and regulations. This includes minimizing data collection, filtering content appropriately, and deploying models locally whenever possible. Techniques like anonymization, serialization, and differential privacy are essential tools for safeguarding sensitive information.
He elaborated on a framework for managing data privacy: detect, …