Session: RAG is not Enough! Consider CausalRAG
In the rapidly evolving financial technology landscape, Retrieval-Augmented Generation (RAG) has emerged as a powerful tool for enhancing Large Language Models (LLMs) with domain-specific knowledge. However, as financial decision-making becomes increasingly complex, RAG fails to capture the intricate causal relationships crucial for accurate predictions and robust strategy formulation. This talk introduces the concept of using causal AI with RAG, it integrates causal inference techniques such as do-calculus, counterfactual reasoning, and causal discovery algorithms into the RAG pipeline. By incorporating these methods, this methodology improves the accuracy of financial models. It enhances their interpretability, allowing for better identification of key market drivers and more reliable predictions of economic policy impacts.
Transparency and explainability are the two major areas of critical concern in the finance sector. By explicitly modeling cause-and-effect relationships, this combined framework could provide clearer insights into the reasoning behind financial predictions and recommendations. This approach enables financial analysts to better understand systemic risks, optimize portfolios with greater confidence, and make more informed decisions in areas such as risk assessment, algorithmic trading, and economic forecasting. Moreover, the enhanced explainability of these models aligns with increasing regulatory demands for transparency in AI-driven financial systems, potentially reducing legal and reputational risks associated with "black box" AI models. Through real-world applications and quantitative improvements, this talk will demonstrate how Causal AI + RAG represents the next frontier in AI-powered financial analysis, offering a powerful toolkit for more accurate, interpretable, and actionable insights in an increasingly complex financial landscape.
Bio
Jayeeta is an award-winning Lead Data Scientist and Director at Fitch Ratings, specializing in NLP and Generative AI. Her diverse career path from Economics to Data Science has equipped her with technical expertise and strong business acumen. At Fitch, she develops scalable Generative AI solutions while exploring open-source models. Her achievements include the AI100 award in Generative AI (2024), recognition among Top 25 Visionary Women in FinTech AI, and selection as one of 33 global advisors for NVIDIA's Enterprise Platform Advisor Program. Her research on AI for financial inclusion has been presented at prestigious conferences like ACM's ICAIF and AAAI-25, and she serves as a technical paper reviewer for NeurIPS and COLING.
Beyond her technical accomplishments, Jayeeta champions diversity in tech as NYC Chapter Lead for Women in AI and ambassador for Stanford's Women in Data Science. She has conducted over 40 free tech talks, mentored 100+ individuals, and was featured on a Times Square Billboard by Topmate as among North America's Top 1% mentors. She has spoken at major conferences (ICML, ODSC, CDAO), judged prominent competitions (AI Journal Awards, NeurIPS 2024, Congressional App Challenge), and guest lectured at Columbia, NYU, and PACE University. At Fitch, she actively participates in 100 Women in Finance and serves as a Shadow Board Member for Fitch Women's Network, championing a more inclusive tech community.