HSBC warns AI could trade bonds prompting 10% job cuts
HSBC's Michael Roberts thinks AI, especially when powered by quantum computing, could increasingly trade bonds from humans in just two to four years, with humans still "in the loop."
Speaking at an IMF event in Bangkok, he pointed out how fast AI can process data and how quantum tech can handle complex markets.
With these changes, HSBC is also looking at cutting about 10% of its global jobs (that's around 20,000 roles) as automation ramps up.
Investors demand bigger AI returns
The boom in AI companies means investors now want bigger returns and tighter deal structures.
Meanwhile, PwC expects Asia to spend a massive $8.2 trillion on AI infrastructure by 2050.
Roberts noted that with rising costs for developing this tech, banks are focusing more on smart financial planning and making sure their investments really pay off.