The Securities Exchange Commission (SEC) in the Philippines is bound to transform the financial ecosystem. With the new leadership of SEC Commissioner Rogelio Quevedo, the SEC is focusing on deeper innovation and digitization.
The commissioner has a long history working in both corporate law and telecommunication services, marking him as a renowned figure both in the public and the private sector. He worked as a Government Counsel in the Philippines, served in the Office of the Government Corporate Counsel (OGCC), PLDT-Smart, as well as a commercial and civil law professor at the University of the Philippines (UP) College of Law.
At a press conference on May 15, SEC Commissioner Quevedo hopes to bring necessary changes, including innovation with practicality. He saw that innovation is not a buzzword or a new concept to begin with. The commission introduced innovation and has continued to this path since 2021.
“It is always innovation rooted on practicality. It will always be service rooted in compassion. You have to make sure that your innovation is what your clients need,” the SEC commissioner said.
These changes are necessary, especially when it comes to improving regulation and the financial landscape. One technological innovation that he emphasized is the use of artificial intelligence (AI) at SEC. Currently, AI is advancing at an incredible pace, further boosting efficiency and financial inclusion in the sector.
“AI, as I said, is not really a technology. AI is a tool; it is a process. AI can only be as effective as the data it relies on, and the competence of the people feeding the data, and who are running the process itself,” he said.
AI is many things for SEC. It is responsible for automating repetitive process, retrieval of information in real-time, SEC registration, and monitoring borrowers to ensure unfair collection practices are prevented.
However, while digitization advances, it still poses risks. Among these include human biases that can be derived from the use of AI or cybersecurity threats like stoppage of services and identity thefts. To address this, the SEC Commissioner advised approaching AI with caution, as well as leveraging the most recent cybersecurity measures from other established companies. Commissioner Quevedo cites his training as intelligence officer in countering cybersecurity threats to national security as one of his main assets in performing his functions at the SEC.
With AI and cybersecurity in play, players should be able to maximize this to their advantage. The SEC has acknowledged it and has put this into their favor. Commissioner Quevedo believes in the importance of technological innovation in improving regulation and customer experience.
“I believe AI is the answer to the future, but do not maintain that AI is the future. The future is in the human inputs. As Steve Jobs said, jobs will not be taken over by AI but your job will be taken over by another person who knows how to use AI. That’s why it’s important that we embrace AI,” he said in mixed Filipino and English.
The SEC Commissioner also highlighted the need for financial literacy in the Philippines. While financial activities continue to drive the economy, there is a need for better knowledge and education among Filipinos, especially in financial management, spending, saving, and budgeting. This way, it will help them make sound financial decisions in everyday life.
For the SEC, it stressed the need of financial literacy in high school levels in efforts to boost financial literacy in the country. The commissioner said financial literacy can also be included in computer literacy, which can be done in one- or two-day orientations or seminars.
The SEC Philippines is now on track as a forefront player in innovation and digitization. “The SEC today has already grown by leaps and bounds from where it first innovated on digitization.” The commission is kicking off with technological innovation like never been before — more advanced, efficient, and one that champions the ease of doing business.
For more information about the Securities Exchange Commission, visit their website: www.sec.gov.ph.
Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by publishing their stories on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.
Join us on Viber at https://bit.ly/3hv6bLA to get more updates and subscribe to BusinessWorld’s titles and get exclusive content through www.bworld-x.com.
