Over a quarter of financial services firms expect to save more than $4m annually in compliance operations by adopting agentic AI, according to new research from Fenergo.
The report reveals that the majority of financial institutions are actively exploring or already implementing the technology to enhance compliance efficiency and reduce costs.
The study, produced in partnership with Chartis Research, surveyed 90 risk, compliance and technology leaders across asset management, commercial, investment, and corporate banking sectors in the US and UK. The findings show that 93% of financial institutions plan to adopt agentic AI within the next two years, with 6% already having systems in place.
Fenergo’s research highlights that fraud detection is the leading driver behind agentic AI adoption, cited by 36% of respondents. This was followed by KYC maintenance (19%) and transaction monitoring (16%)—all high-risk, high-value functions where automation can deliver significant impact. The shift to AI comes amid growing frustrations with outdated manual compliance processes, with 67% of firms reportedly losing clients due to inefficient onboarding and KYC procedures.
The anticipated financial benefits of adoption are significant. According to the report, 26% of financial institutions forecast annual savings exceeding $4m. These efficiencies are expected to come from reduced manual labour, quicker decision-making, and fewer compliance violations.
However, US financial institutions are proceeding cautiously, with 44% citing data privacy and 36% citing regulatory concerns as key barriers to adoption. At the same time, scalability emerged as a top priority, with 71% of firms identifying it as the most critical factor when assessing new technologies—signalling an ambition to roll out AI capabilities across multiple compliance workflows.
Fenergo chief product officer Keith Redmond said, “Rising financial crime risks and outdated onboarding processes are forcing firms to rethink compliance from the ground up. As operational inefficiency continues to drive up costs, financial institutions are turning to agentic AI as an intelligible, efficient and value-driven compliance assistant – and rightly so. Those that embrace agentic AI now will no doubt be the ones defining the future of financial crime prevention, realising its profound implications for productivity, competitive differentiation, and client service well ahead of the curve.
“Yet concerns around data privacy and regulations have the potential to stall adoption. By selecting software solutions with built-in governance and control frameworks, financial institutions can reap the benefits of agentic-AI while meeting global regulatory obligations.”
The report, Agentic AI in Compliance: From Concept to Operational Reality, provides detailed insights into how global financial institutions are transforming their compliance operations through the implementation of agentic AI technologies.
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