As financial institutions navigate 2025, the risk landscape is changing quickly. The latest Executive Perspectives on Top Risks Study from Protiviti and NC State University surveyed more than 1,200 board members and executives to identify the biggest challenges in financial crime compliance, AI adoption, and regulatory scrutiny.
At Quantifind, we work closely with risk and compliance teams, including our partners at Protiviti, to help financial institutions manage these challenges with AI-driven risk intelligence. Here are our six key takeaways from the report, along with insights on how financial institutions can prepare.
1. AI Adoption is Under More Regulatory Scrutiny
AI is transforming financial crime compliance, but regulators are paying closer attention to its risks. According to Protiviti’s report, “the emergence of new risks from implementing AI” is now a top 10 concern for businesses in the near term.
New regulations such as the EU AI Act and upcoming U.S. state laws will determine how AI can be used for transaction monitoring, sanctions screening, and fraud detection. Financial institutions will need AI models that are transparent, auditable, and aligned with compliance standards to stay ahead of new rules.
2. Compliance Pressures and Regulatory Uncertainty are Increasing
Protiviti’s study ranks “heightened regulatory change, uncertainty, and scrutiny” as a top-six risk for 2025. Institutions are bracing for stricter anti-money laundering (AML) enforcement, sanctions compliance, and data privacy laws. New regulations such as AML6 in the EU and the UK’s ECCTA will add to the complexity.
As regulations evolve, compliance teams will need faster, AI-driven solutions that can adapt quickly, reduce manual work, and help meet regulatory requirements.
3. Cyber Threats and Third-Party Risks Remain Major Concerns
Cybersecurity is the second biggest risk for financial institutions in Protiviti’s study. Cybercriminals are using AI to create more sophisticated fraud schemes, making real-time fraud detection more important than ever.
The study also highlights third-party risks, which rank seventh overall. Many financial institutions rely on external vendors for data and technology, creating potential security gaps. Organizations need real-time risk intelligence tools that detect emerging threats and strengthen cybersecurity defenses to reduce these risks.
4. The AI Talent Gap is Slowing Compliance Innovation
Many financial institutions struggle to keep up with AI advancements because they lack skilled talent. The shortage of AI and data science experts is a top 10 risk in Protiviti’s survey.
Without in-house expertise, teams may struggle to develop AI solutions, ensure regulatory compliance, and improve risk detection. More institutions are turning to AI-powered platforms that automate compliance tasks and make AI easier to use.
5. Geopolitical and Economic Uncertainty Are Reshaping Risk Strategies
Protiviti’s study ranks economic conditions, including inflation, as the number one risk for 2025. Geopolitical tensions, trade policies, and changing sanctions rules add another layer of complexity.
With more than 50 global conflicts affecting financial crime regulations, organizations must stay on top of real-time risk intelligence to remain compliant.
6. Balancing Privacy and Data Sharing in AI-Driven Compliance
AI-powered compliance tools rely on large amounts of financial data, but privacy regulations are becoming stricter. Protiviti’s report highlights that privacy and identity protection risks are a major concern for financial institutions.
To meet compliance requirements, many organizations are adopting privacy-preserving AI techniques like federated learning and secure entity resolution, which help protect sensitive data while ensuring effective risk detection.
How Quantifind Can Help You Prepare
The challenges outlined in the Protiviti report require advanced technology solutions that can adapt to evolving risks, regulatory changes, and operational demands. Quantifind’s AI-driven risk intelligence platform is designed to help financial institutions address these issues head-on.
Regulatory-Ready AI with Explainability
With increasing regulatory scrutiny on AI, financial institutions need transparent and explainable AI models. Quantifind’s risk intelligence platform is built with auditable AI that regulators can trust, ensuring compliance while maintaining the speed and accuracy institutions need.
Automated Compliance That Keeps Up with Change
Regulatory frameworks like AML6 and ECCTA demand scalable compliance solutions. Quantifind automates entity resolution, adverse media screening, and sanctions compliance to help institutions stay ahead of evolving regulations without overburdening compliance teams.
Proactive Cyber and Fraud Risk Detection
Cybercriminals are using AI to launch more advanced attacks. Quantifind’s platform leverages real-time entity resolution and AI-powered risk monitoring to detect threats early, reducing fraud risks before they escalate.
Bridging the AI Talent Gap with Easy-to-Use Technology
With AI expertise in short supply, compliance teams need AI tools that are intuitive and effective. Quantifind’s platform automates complex risk analysis while providing clear, actionable insights that compliance professionals can use without needing deep AI expertise.
Real-Time Risk Monitoring for Geopolitical and Economic Shifts
Sanctions programs and economic risks are evolving rapidly. Quantifind provides up-to-the-minute risk intelligence, helping financial institutions stay compliant with global sanctions laws and geopolitical changes.
Privacy-Preserving AI for Secure Compliance
Data privacy concerns are growing, but compliance teams still need access to the right data for risk analysis. Quantifind’s platform is designed with secure, privacy-preserving AI, allowing institutions to analyze risk while protecting sensitive information.
Partnering for Success in 2025
Financial institutions face more risks than ever, but the right technology can turn challenges into opportunities. Quantifind helps organizations strengthen compliance, improve risk detection, and stay ahead of evolving regulations.Want to learn how AI-powered solutions can complement your existing compliance framework? Explore Quantifind’s approach.