Alphinity Investment Management has partnered with CSIRO, Australia’s national science agency, to forge a strategic alliance focused on creating a Responsible AI (R-AI) Framework tailored specifically for investors.
This remarkable collaboration aims to tackle the critical Environmental, Social, and Governance (ESG) considerations arising from the extensive adoption of AI technologies across diverse sectors.
Through their combined expertise, Alphinity Investment Management and CSIRO intend to develop a comprehensive framework that assesses and mitigates the risks associated with responsible AI implementation.
The forthcoming framework will provide investors with essential insights into the potential ESG implications of AI-driven practices and investments.
This partnership comes at a time when regulators and stakeholders are increasingly emphasizing the need for ethical and responsible AI utilization.
Their efforts will result in a forthcoming report, slated for release later this year. This report will assess responsible AI risks across various sectors and promote current best practices.
Through this initiative, Alphinity Investment Management and CSIRO aim to shape a responsible and sustainable future for AI integration in investment decision-making.
Mounting demands for AI regulation
Additionally, the Australian Information Industry Association (AIIA), the peak body for innovation technology in Australia, is calling on the Federal Government to work together with industry to establish a responsible and effective regulatory approach for the safe use and development of artificial intelligence (AI) in the country, all while fostering innovation.
The AIIA emphasises that knee-jerk reactions from regulators, detached from industry and academia, would be counterproductive, especially considering that generative AI has not yet reached its full potential, and its use cases are still not fully understood.
CEO of AIIA, Mr Simon Bush, stressed the importance of collaboration between the government and industry in developing regulations that are adaptable to the evolving landscape of generative AI technologies. He stated, “Strict regulation applied in isolation from industry stifles innovation. That’s why we call for meaningful participation from Government and industry to establish flexible guardrails as generative AI technologies evolve.”
The AIIA suggests that existing AI use cases in sectors such as transport and health can be effectively managed through self-applied frameworks. The organisation highlights the evolution of best-practice guardrails through collaborations between academics and industry leaders and urges the government to support such initiatives and involve industry in potential regulatory frameworks.