CFA Institute and IFRS Foundation discuss technology’s impact on financial information
Jun 26, 2018
On June 26, 2018, the International Accounting Standards Board (the Board) released a summary of their June 5 event, where the CFA Institute and the IFRS Foundation hosted a joint investor event, "Transforming the impact of financial information—the role of technology," where they discussed the benefits of technological advancements as well as its fears.
The panel discussed how technological developments in the collection and analysis of data has create an era of systematic investing which can search past price correlations and predict future changes in price. In addition, technological developments in AI are assisting auditors by flagging anomalies that may need to be investigated. Further, the automation of some task eliminates some of the human error that occurs during the collection of data.
The fears of technological advancements discussed by the panel included price crashes of exchanges within the highly automated trading environment; loss of jobs due to automation, and the loss of skepticism in the algorithms used (the human element).
Review the event notes on the Board's website.