Detecting Risk Through Firms’ Emails

Recent advances in financial technology (FinTech) have dramatically transformed the financial landscape with respect to the way we access, invest, and transfer financial capital. In our recent article, we explore a promising avenue for the use of natural-language processing in an effective yet non-invasive method by which to monitor the health and integrity of financial institutions and corporations in general.

Specifically, the continuous flow and abundance of corporate emails makes them a far more prevalent and timely indicator of escalating risk or malaise than the numbers in quarterly financial statements. However, difficulties lie in systematically and efficiently drawing inferences from … Read more