Standard Chartered & A*STAR launch S$15 million AI lab

Standard Chartered and A*STAR have agreed on a three-year partnership on artificial intelligence research for financial services, investing SGD$15 million in a new AI for Banking Innovation Lab in Singapore.

The lab will bring together technology scientists and researchers from A*STAR's Institute of High Performance Computing and the bank's internal data and AI teams. Their work will focus on applied projects including portfolio optimisation, fraud detection and natural language processing.

The partnership builds on earlier work between SC Ventures, the bank's innovation and investment arm, and A*STAR IHPC. Under the new structure, A*STAR IHPC researchers will work closely with Standard Chartered teams on live projects to translate research into day-to-day banking operations.

One project already underway is a natural-language interface for querying structured databases. The aim is to help relationship managers retrieve insights without writing code, thereby shortening analysis time and improving productivity.

An early-stage effort is also examining data-led methods to improve asset valuation and forecasting. These projects sit within a broader push by banks to use AI to improve efficiency, strengthen controls and reshape how staff interact with internal systems.

Shared research

The partnership reflects a broader trend in financial services, with banks working with research institutes and technology groups to test AI tools in practical settings. The lab is intended to support multidisciplinary teams and closer on-site collaboration between banking staff and external scientists.

"This partnership with A*STAR represents a significant step forward in our collaboration, as we advance the intersection of AI research and financial innovation. Digital-first banking models have reshaped client expectations across all segments, underscoring the need to enable seamless connectivity with growth opportunities, while equipping our workforce with future-ready skills. By deepening the connection between research and real-world applications, we are investing in safe, responsible and scalable AI applications to deliver enhanced cross-border capabilities and affluent banking experiences for our clients and drive sustainable growth," said Patrick Lee, Chief Executive Officer, Singapore and Chief Executive Officer, ASEAN and South Asia, Standard Chartered.

The work will be carried out through A*STAR IHPC, which specialises in applied AI and high-performance computing. For Standard Chartered, the tie-up provides direct access to that research base while linking it to product and operational priorities across the business.

Dr Su Yi, Executive Director, A*STAR IHPC, said, "This partnership reflects our shared goal to bridge advanced AI research and real-world banking impact. By working closely with Standard Chartered's teams, we aim to translate AI innovation into deployable, responsible solutions with potential for broader application over time."

Banking uses

The initial areas of work point to two of the most common uses of AI in banking: improving internal decision-making and strengthening risk controls. Portfolio optimisation and asset valuation relate to investment and treasury functions, while fraud detection remains a priority as banks face rising volumes of digital transactions and increasingly sophisticated criminal tactics.

Natural language processing, another focus area, has become central to efforts to simplify access to data across large organisations. In banking, these tools are often aimed at staff rather than customers first because they can be tested in controlled environments before broader deployment.

Successful projects could move beyond the lab and become spin-offs. That suggests the partnership is designed not only as a research programme but also as a path to developing commercial applications for financial services.

SC Ventures is expected to play a role in that process through its own AI Lab.

"As we move from banks adopting AI use cases to AInative organisations, the A*STAR-SCB partnership will leverage SC Ventures' AI Lab to create new business models running on AI, fundamentally a different way of delivering financial services,"  Alex Manson, Chief Executive Officer, SC Ventures, said.

"This partnership marks an exciting evolution in how we advance AI research for financial services and ultimately, for our clients. Research and experimentation are core to harnessing AI's transformative power responsibly," Alvaro Garrido, Chief Operating Officer for Technology & Operations and Chief Information Security & Data Officer at Standard Chartered, said. "By working directly with A*STAR IHPC's scientists, we're building safe, scalable AI capabilities that enhance how we serve clients' cross-border and affluent banking needs grounded in rigorous testing and real-world application from day one."