The Financial Markets Standards Board has published a Spotlight Review, AI in trading: A practitioners’ view of the current landscape, examining how artificial intelligence is being used in electronic trading systems and what this means for risk and governance in global wholesale markets. The review describes AI adoption in market-facing trading as still relatively early-stage, with greater computational power and wider access to sophisticated tools driving experimentation. It concludes that AI in trading does not currently operate autonomously, but is embedded within existing trading infrastructure and remains subject to direct and indirect human supervision, supported by established algorithmic trading and model risk controls. While existing control frameworks address many AI-related risks, they may need to be kept up to date as the scale and complexity of AI applications increase, with clear human accountability remaining essential. FMSB’s AI Working Group plans to continue its work, with a view to developing specific good practice guidance on model risk management and trading controls for AI models.
Financial Markets Standards Board 2026-02-13
Financial Markets Standards Board publishes Spotlight Review on AI in trading and governance expectations
The Financial Markets Standards Board published a Spotlight Review on AI in trading, highlighting its early-stage adoption in electronic trading systems and implications for risk and governance in global wholesale markets. AI is integrated within existing infrastructure under human supervision, with current controls addressing many risks but needing updates as AI complexity grows. The AI Working Group aims to develop guidance on model risk management and trading controls for AI models.