This TMU prof helps shape Canada’s AI rules for the financial sector

When Canada’s Department of Finance sought expertise on artificial intelligence (AI) in the financial sector, they turned to TMU math professor, Alexey Rubtsov. 

Now, he contributes to the development of AI-related policies that affect Canada’s financial institutions, including banks and insurance companies.

Rubtsov was first approached in 2022 after his work with the Financial Industry Forum on AI. His mix of skills in math, computer science, finance and policy made him the perfect fit to cut through the AI buzz and focus on what’s real.

“Understanding the underlying reality is where my knowledge of mathematics and technical background helps,” says Rubtsov. “When the Department of Finance has conversations with financial institutions, they can get technical.”

What he actually does

Rubtsov plays a leading role in the federal government’s work on AI in the financial sector, contributing to initiatives with national and international impact.

Rubtsov compares AI to cars: building technology is only the first step. To use it safely, society needs clear “traffic rules”. His job? Providing advice in the development of policies that ensure AI’s benefits are realized while managing its risks.

He engages with banks and insurance companies to understand how they’re using AI and what challenges they face. He also helps the Department of Finance assess how existing rules, policies, and guidelines can influence adoption and address AI-related risks. 

“There are certain problems that can arise if AI is adopted recklessly,” says Rubtsov. “You can expose a company’s or bank’s systems to risks and create vulnerabilities that are hard to detect because the technology is not yet fully understood, and that’s where my role at the department comes in.” At the same time, AI offers significant potential for productivity gains, which makes a balanced and carefully managed approach essential.

Why his background matters

The use of AI in finance sits at the intersection of computer science, math, finance and policy. Rubtsov brings expertise in all four.

That unique skillset is rare – and valuable.

National and international impact

Rubtsov's work will help inform policies that ultimately affect every Canadian. The Department of Finance plays a key role in guiding the country’s financial system.

“The impact of this work is immediate and visible, " says Rubtsov. “Canada’s policy response is being informed by engagement with international peers in Singapore, the U.S., the U.K., and the European Union.”

In Canada the work involves close engagement with key regulators, including the Office of the Superintendent of Financial Institutions, the Financial Consumer Agency of Canada, the Financial Transactions and Reports Analysis Centre of Canada.

One major result has been the creation of the Financial Industry Forum on Artificial Intelligence (FIFAI). It’s Canada’s first national platform bringing together government, regulators and industry to discuss AI adoption in the financial sector. 

The interim report, based on the forum’s first workshop on security and cybersecurity, is now public (external link) . Three more high-profile workshops are scheduled this year, covering financial crime, consumer protection and financial stability. 

“Few universities can point to this kind of engagement,” says Rubtsov. “It makes me proud that TMU was approached to contribute to this work, and that I can help shape policies with real impact.” 

What students gain

Rubtsov brings this high-level experience directly into his TMU classroom.

“When you teach math, students often ask, ‘Why do I need it?’” he says. “To motivate them, you need to show how it’s applied in real life. Once they realize that you can’t really regulate what you don’t understand—and that math is at the core of AI—they start paying more attention.”

His students aren't just learning theory – they're learning from someone directly involved in shaping how AI is governed in Canada's financial system.