Document Analysis Streamlined by Structure, Tagging, and Artificial Intelligence

Abstract

Systems for creating and attaching metadata tags to document segments in structured finance transactions can allow for faster, more efficient, and less expensive review, analysis, and processing of those documents. Those systems can facilitate both the initial marketing of transactions and secondary trading.

Metadata tags can be created and applied either manually or using artificial intelligence technology. In either case, once the tags have been applied, they can help every subsequent user of a document to understand its content more quickly and more thoroughly.

Ultimately, open-access libraries of tagged documents may allow investors and other market participants to perform comparisons and cross-sectional analyses of deal attributes across whole categories of structured finance transactions. This has the potential to improve transparency while preserving a main benefit of securitization: providing creative and flexible solutions to turn relatively illiquid assets into tradable securities.