Generative AI for Risk Assessment and Scenario Analysis

Risk assessment is evolving rapidly as generative artificial intelligence introduces new ways to analyze complex financial and macroeconomic data. This text-based course helps you understand how to safely and effectively integrate AI models into your risk management workflows. By reading through our comprehensive explanations and analyzing practical scenarios, you will transition from a traditional risk analyst to an AI-informed professional. You will learn to draft precise prompts and structured queries that extract deep risk insights from complex documents and financial reports. What you'll learn: Understand the fundamental concepts of generative AI and how Large Language Models process financial text; Analyze credit risk profiles by prompting AI models to extract key indicators from financial statements; Generate diverse macroeconomic scenarios to stress-test market assumptions; Apply basic prompt engineering techniques to ensure accurate, repeatable, and bias-reduced risk outputs; Explore Retrieval-Augmented Generation concepts for searching and synthesizing internal risk reports; Evaluate ethical considerations, data privacy, and model limitations in AI-driven risk assessment. The course begins with essential terminology and the foundational mechanics of generative AI before moving into practical, step-by-step written walkthroughs for credit, market, and macroeconomic risk analysis. This course is designed for beginning risk managers, finance professionals, and business analysts who want to modernize their skills; no prior programming or AI experience is required. Start reading today to build a forward-looking approach to risk assessment.