Artificial intelligence is poised to reshape virtually every sector of our lives to some degree, and financial services is near the top of that list.

From wealth management to fraud prevention to customer service, AI promises faster, more personalized, and more efficient solutions but, as the pace of change accelerates, Canadians will need to keep an eye on how these innovations affect the way they bank, invest, borrow, and protect their money.

Here are five key ways AI is expected to transform the financial services industry in Canada—and what consumers should watch for:

1. Hyper-personalized financial advice: AI is already being used to analyze consumer data to offer more personalized banking and investing experiences. In the near future, financial institutions and “fintechs” will be able to tailor recommendations for everything from savings strategies to investment portfolios, using real-time data from a consumer’s transactions, goals, and behaviour.

Impact on consumers: Personalized advice can lead to better financial outcomes, especially for those who might not have access to a human advisor. However, consumers should ensure that AI-driven advice aligns with their actual needs and values. It’s important to understand the........

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