OpenAI Launches Financial Services-Specific ChatGPT, Replacing 100-Hour Wall Street Banker Tasks

[By Myungjeong Seon, Block Media] OpenAI has launched 'ChatGPT for Financial Services', a version specialized for investment banking (IB) and stock research tasks. This service is designed for AI to perform core tasks of Wall Street financiers, from searching corporate materials and analyzing financial statements to creating financial models and pitchbooks for mergers and acquisitions (M&A).

As AI moves beyond being a simple document summarization tool and delves deeply into the actual work processes of financial companies, changes in Wall Street's working methods are anticipated. In particular, there are predictions that the roles of junior bankers and analysts, who spend significant time on data collection and financial model creation, may change drastically.

According to reports from Reuters and others on the 10th (local time), OpenAI unveiled the ChatGPT for Financial Services tailored for financial companies. Morgan Stanley and Evercore participated as design partners in its development, which is based on OpenAI's latest AI model, GPT-6 Astra.

Direct Search of LSEG and Pitchbook Data... Pitchbook Creation

The most significant feature is that data used by financial professionals can be utilized directly within ChatGPT.

Data from Daloopa, LSEG news, PitchBook, Crunchbase, and Quartr is included in the service. The AI can search and analyze materials necessary for investment analysis, such as earnings call transcripts and financial statement fundamentals. Financial companies that already have subscriptions to services like FactSet and S&P Global Preqin Datasite can also connect these to ChatGPT.

OpenAI has indexed financial data on its own infrastructure to enhance search speed and accuracy of source display. A detailed citation feature has also been implemented to allow users to verify which original materials the numbers and analysis results provided by the AI originated from.

It does not stop at simple data searches. It can analyze companies by investigating data from multiple sources simultaneously and create financial models. It is also possible to produce presentation materials such as pitchbooks tailored to the forms used by banks for clients.

In a demonstration of M&A tasks, the AI analyzed potential acquisition candidates and retrieved financial data, then created PowerPoint materials tailored to the bank's existing style.

Nick Tully, OpenAI's VP of Product, explained, "We are teaching ChatGPT to research like an analyst and present the basis for conclusions like an analyst."

Will AI Take Over 'Junior Banker Tasks'?

The financial sector's interest is focused on whether AI will change the workforce structure of investment banks.

Junior bankers on Wall Street invest considerable time in tasks such as collecting corporate materials, analyzing financial statements, comparing companies, updating financial models, and preparing pitchbooks. This service focuses on automating these repetitive and time-consuming tasks.

Tully emphasized that the introduction of AI is a tool to enhance productivity, despite concerns that it may lead to a reduction in junior banker hiring.

He stated, "Depending on the industry, analysts or bankers can work up to 100 hours a week," explaining that just as Excel transformed the financial industry to enable faster and better analysis, AI will bring about similar changes.

The adoption of generative AI in the financial sector is already progressing rapidly. According to OpenAI, over 98% of the financial advisory team in Morgan Stanley's wealth management division is using its own AI tools. The rate of searching internal documents has also increased from about 20% before AI adoption to 80%.

OpenAI and Anthropic Intensify 'Wall Street AI' Competition

Given that the financial industry deals with sensitive corporate information and customer data, security and regulatory compliance are key variables in AI adoption.

OpenAI has applied role-based access control and encryption features from its existing ChatGPT Enterprise to financial services. Regulatory compliance departments in financial companies can export workspace logs to audit systems. Data shared with ChatGPT Enterprise by companies is not used for training OpenAI's models by default.

This launch is expected to intensify competition among AI companies surrounding the financial industry. Anthropic has already released 'Claude for Financial Services' tailored for financial companies and is expanding collaborations with financial data firms. PitchBook is also providing its financial data to Anthropic's financial-specific services.

OpenAI plans to continuously expand financial data while broadening its application scope beyond investment banking and stock research to encompass the entire financial services sector.

As the competition in generative AI shifts from general-purpose chatbots to industry-specific professional tasks, the financial sector is emerging as a major battleground. Just as Excel and Bloomberg terminals changed the working methods on Wall Street in the past, it remains to be seen whether AI, which can perform everything from corporate analysis to financial model creation and investor material production, will become the new working tool for finance professionals.