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The integration of AI into the workplace has become a focal point for organizations across industries, particularly within the financial services sector. Recognizing the growing importance and complexity of this topic, the Association of Corporate Counsel Hong Kong (ACCHK) organized a peer sharing session on Aug. 1, 2025, bringing together three experienced members from the financial services industry to share their experiences with the deployment of AI, addressing the benefits and pain points.
Objective of the peer sharing session
The primary goal of this session was to equip fellow legal counsel in Hong Kong with practical strategies for adopting, deploying, and managing AI within their organizations, with the aim of empowering HK members to stay ahead of the curve and lead AI integration efforts across the APAC region. The discussion emphasized the evolving role of legal counsel — not just as advisors keeping pace with technological change, but as key drivers of responsible and effective AI governance.
Key risks and challenges in deploying AI
The session highlighted several critical risks and challenges that organizations must consider when implementing AI solutions:
Data privacy and protection risks: The use of AI often involves processing large volumes of sensitive data, raising concerns about data privacy, integrity, and compliance with regulatory requirements.
Cybersecurity risks: AI systems can introduce new vulnerabilities, such as adversarial attacks or data poising, making robust cybersecurity measures essential to prevent unauthorized access and data breaches.
Ethical and societal risks: AI algorithms may inadvertently perpetuate or amplify biases, such as producing results skewed towards a particular gender or demographic, potentially leading to discriminatory outcomes.
Model risks: The reliability of AI-generated outputs can be compromised by poor data quality or flawed algorithms, resulting in inaccurate or misleading information, posing significant risks in decision-making processes.
The evolving role of legal counsel as AI gatekeepers
A key highlight from the session was the evolving and critical role of legal counsel as gatekeepers in the responsible use of AI. Legal professionals are increasingly tasked with managing AI risks, upholding ethical standards, and navigating the complex and rapidly changing landscape of AI laws across different jurisdictions. Their expertise is essential in ensuring that AI deployment aligns with both regulatory requirements and organizational needs.
Moreover, legal counsel who lead or front AI projects within their organizations demonstrate value by establishing clear and context-specific key performance indicators (KPIs) for AI deployment tailored to their industry. This involves a deep understanding of AI tools in use, recognizing their limitations, crafting precise and detailed prompts to guide outputs, and maintaining a high level of oversight to minimize errors. By doing so, legal departments can showcase the tangible benefits of AI adoption, such as improved efficiency and enhanced risk management, while maintaining robust oversight.
Moreover, legal counsel who lead or front AI projects within their organizations demonstrate value by establishing clear and context-specific key performance indicators (KPIs) for AI deployment tailored to their industry.
AI best practices, benchmarks, and new use cases
Throughout the session, various AI best practices and benchmarks were cited, including those issued by leading international bodies such as IOSCO, the Financial Stability Board (FSB), and the Bank for International Settlements (BIS). These references provided valuable guidance on responsible AI adoption, risk management, and regulatory compliance in the financial sector.
The discussion also highlighted that AI is increasingly being used to assist in trading cryptocurrencies by monitoring and collecting trade data for further dissemination, demonstrating the expanding role of AI in new and emerging areas of finance.
Practical tips for overcoming AI challenges
To address these risks, the panelists shared several practical strategies:
Developing an AI policy: Organizations should establish comprehensive AI policies to manage risks associated with monitoring, deployment, and use of AI technologies. Such policies should address data governance, ethical considerations, and compliance obligations.
Establishing an AI governance committee: Setting up a dedicated committee to oversee AI initiatives can help ensure accountability, provide oversight, and facilitate regular reviews of AI-related risks.
Reviewing vendor contracts: It is crucial to scrutinize vendor contracts for AI-specific clauses, ensuring that third-party providers adhere to the organization’s standards for data protection, risk management, and ethical AI use.
Organizations should establish comprehensive AI policies to manage risks associated with monitoring, deployment, and use of AI technologies.
Conclusion
As AI continues to evolve, legal professionals must remain vigilant, proactively addressing the associated risks while harnessing the benefits of this transformative technology. Legal counsel are at the forefront of AI deployment — acting as both gatekeepers and innovators — ensuring that AI is deployed responsibly, ethically, and effectively within their institutions, and positioning themselves as leaders in AI adoption across Asia.
Disclaimer: The information in any resource in this website should not be construed as legal advice or as a legal opinion on specific facts, and should not be considered representing the views of its authors, its sponsors, and/or ACC. These resources are not intended as a definitive statement on the subject addressed. Rather, they are intended to serve as a tool providing practical guidance and references for the busy in-house practitioner and other readers.
