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Claim · 2019-06-30 · publication · Stated in source · Supported

The BIS Annual Economic Report 2019 (chapter III) states that an internal rating system based on machine learning and platform data can outperform simple models based on bureau scores in predicting defaults, while it is an open question whether it outperforms bank models and holds over full cycles.

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III. Big tech in finance: opportunities and risks → articulates → AI can improve financial firms’ risk management

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