Coming off of news about an artificial intelligence update that shook up equity markets, almost half of finance chiefs in a recent study said they feel like they are under intense and increasing pressure to deploy the technology at their firms.
The recent survey by AP automation firm Basware, AI to ROI: Unlocking Value with AI Agents, found that nearly half of the finance chiefs who participated felt pressured by boards of directors and executive leadership "to do something" with the technology.
Securitization experts say industry professionals are also feeling the AI heat—but in a distinctly different way.
AI adoption isn't about novelty; it's about speed, transparency, and control.
David Johnson, CEO and founder of the servicing company Vervent, said that yes, asset-backed securities (ABS) professionals are feeling the pressure.
The industry demands performance, transparency, and speed, which means faster tape-to-trade timelines, tighter surveillance, better exception management, and more scalable compliance, he said.
"In ABS, AI adoption isn't about novelty; it's about speed, transparency, and control," Johnson said. "If you can't explain it, you can't scale it."
AI helps servicers, for instance, deliver cleaner data, faster analytics, and better decision-making without adding headcount or experiencing processing delays when volume moves, he added.
Embracing the possibilities
Digital mortgage exchange MAXEX is embracing the possibilities of AI, said CEO Tom Pearce, who says the tool improves the company's operational efficiency and allows it to support a larger client base than it had before, all without engaging clients one-for-one at every level of service.
It enables faster reconciliations, cleaner variance narratives, and better surveillance.
"There have to be reps and warranties made by the originator that the data is valid," Pearce said. "When originators sell a loan, they are validating that the data is true and correct … and if they made an error, they are on the hook for it."
AI is used in this loan audit process, and the market is becoming more comfortable with that. As AI gets smarter, Pearce said, the costs associated with that audit should decrease.
There are also many immediate advantages to using AI. Vervent CFO Joel Soltman lists a few.
"The near-term win is AI [adds] productivity and governance enhancements," Soltman said. "It enables faster reconciliations, cleaner variance narratives, and better surveillance, all without bloating frictional costs and overhead."
The Advantages Outweigh Obstacles
Headwinds exist for AI adaptation, says John Levonick, MAXEX general counsel, like for credit decision-making and consumer-facing engagement.
Organizations are opting to use AI in their internal operations, a much less risky way to apply the technology, he said. In-house AI use allows MAXEX to exclude the error-prone human element while establishing trust in the data's veracity.
On top of these, securitization professionals focus on efficiency and productivity, and AI provides a clear path to both.
Stakeholders now expect near-real-time answers, not 'we'll revert next week after we scrub the tape.
Securitization workflows tend to be data-heavy, repetitive and deadline-driven, Soltman said. As professionals manage reporting cycles, reconciliations, variance explanations, investor questions, and rating agency requests, all within reporting cycles, AI is increasingly viewed as a productivity layer across those workflows, he said.
"The pressure is … real because stakeholders now expect near-real-time answers, not 'we'll revert next week after we scrub the tape,'" Soltman said.
Indeed, the pressure is coming from all sides of the market—clients, investors, and governance. There is also obvious competitive pressure: platforms that can move faster and run leaner win mandates.
"Client and investor pressure show up as increased expectations for responsiveness and transparency," Johnson stated. "Governance expectations are rising, too." He explained that AI deployment should be done responsibly, with controls, documentation, and "human-in-the-loop" processes.
