Wall Street Is Gaining Access to New Catastrophe Models to Help Predict Wars (opens original article in a new tab)

Wall Street is developing new catastrophe models to predict wars and their economic impacts, with firms like Verisk Maplecroft and RAND Corporation creating machine learning-based tools to assess geopolitical risks and their effects on global finance and trade.

• Wall Street is adopting new catastrophe models to predict wars and their economic impacts
• Verisk Maplecroft developed Predictive War Index and Geopolitical Relations Index using machine learning and historical data
• New models help insurers and investors assess war risks and their effects on global trade and finance
• RAND Corporation uses AI to estimate probabilities of regime change and policy impacts
• Citi and Morgan Stanley highlight the need for updated risk models due to increasing geopolitical volatility