AI in Finance: The CFO’s Secret Weapon (Use It or Lose) 🚀

Inside: 2024 Finance Recap 🌟

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Hey there, CFOs! 💼

What if AI could predict your next financial move? What if 2025 was the year of record-breaking deals—or unexpected chaos? This week’s edition explores the cutting-edge trends redefining finance, from AI taking the CFO’s playbook to the talent crises and pricing puzzles of 2024. And the best part? We’re also peering into 2025’s crystal ball to uncover what’s next.

Get ready for insights that challenge the norm and keep you ahead of the curve. Let’s dive in.

📰 Upcoming in this issue

  • AI Joins the CFO’s Playbook — Adapt or Be Left Behind 🤖

  • 2025 Finance Forecast: Growth, and Deals 📊

  • 2024 in Finance: Fed Drama, Talent Gaps, and Pricing Puzzles 📅

AI Joins the CFO’s Playbook — Adapt or Be Left Behind 🤖 read the full 840-word article here

Article published: December 3, 2024

Artificial intelligence isn’t coming for CFOs—it’s coming for their competitors. In CFO Dive’s “AI is Becoming Part of the CFO’s Toolkit — Like it or Not,” Runway CEO Siqi Chen explains why CFOs who resist AI are risking irrelevance.

The catch? AI isn’t magic, and it won’t fix messy financial data or disorganized processes. CFOs need to lay the groundwork first: clean up data, standardize accounts, and consolidate systems. Once the foundation is set, AI becomes an unstoppable force, predicting cash flow, flagging risks, and uncovering hidden patterns that sharpen decision-making.

But here’s the twist: CFOs can’t treat AI as an autopilot. Over-relying on AI means losing human nuance and judgment. Instead, AI should work invisibly in the background—integrated, intuitive, and enhancing how teams operate without disrupting workflows.

The bottom line? AI won’t replace CFOs, but it will replace those who fail to embrace it.

Key Takeaways:

  • 💡 AI thrives on clean data: Without organized, accessible data, AI can’t deliver. Messy inputs will only result in junk outputs.

  • 📈 Start small, think big: Test AI on tasks like cash flow forecasting or revenue predictions to score quick wins and build confidence.

  • 🛠️ AI supports, not replaces: CFOs must validate AI outputs and avoid over-reliance to preserve critical human judgment and strategy.

  • 🔗 Make AI invisible: Seamless integration into existing systems ensures AI delivers insights without disrupting workflows or requiring constant prompts.

2025 Finance Forecast: Growth, and Deals 📊 read the full 882-word article here

Article published: December 11, 2024

Buckle up, finance pros—2025 is shaping up to be a rollercoaster. In CFO Brew’s “The Year Ahead in Finance,” we’re handed a cocktail of optimism and uncertainty: double-digit S&P 500 growth, 2.4% GDP gains, and, oh yes, new tariffs and tax reforms thanks to Trump’s return to office.

Wall Street’s crystal ball sees robust economic growth, but the Federal Reserve plans to slow rate cuts, keeping inflation at bay. Meanwhile, Trump-era tax policies are coming back with corporate-friendly twists, like slashing rates for domestic production.

And then there’s M&A. With financing options improving and markets stabilizing, dealmakers are salivating at the thought of 2025 being the second-best year for mergers in two decades. But here’s the plot twist: Big tech deals may hit turbulence under the Justice Department’s new antitrust hawk.

Welcome to the year where finance meets chaos—and opportunity.

Key Takeaways:

  • 📈 S&P 500 could soar 10%: Wall Street forecasts 2025 as a year of solid growth, with US GDP projected to hit or exceed 2%.

  • 📉 Fed slows rate cuts: Expect gradual quarter-point reductions, ending 2025 with a 3.5% benchmark—higher than earlier projections of 2.9%.

  • ⚖️ Tax reform shake-up: Trump’s agenda includes cutting corporate tax rates to 15% for domestic production and reviving 2017-era tax breaks.

  • 💰 M&A heats up: Deal activity is poised for a 10% boost, though big tech may face challenges from stricter antitrust scrutiny.

2024 in Finance: Fed Drama, Talent Gaps, and Pricing Puzzles 📅 read the full 468-word article here

Article published: December 10, 2024

If you thought 2024 was just another year in finance, think again. In CFO Brew’s “The Biggest Finance Stories of the Year,” the highlights read like a finance thriller: Fed rate cuts, a talent shortage crisis, and pricing strategies gone haywire.

The Federal Reserve dominated headlines, finally cutting interest rates for the first time since 2020, with a cautious half-point move in September. But with Trump’s re-election sparking inflation fears, the Fed’s November quarter-point cut hinted at more hesitation ahead.

Meanwhile, the accountant shortage hit “crisis levels,” with overworked teams stressed and prone to errors. And as inflation eased, companies like Target and McDonald’s played pricing games to lure back customers—sometimes at a cost, as Target lost wealthier shoppers to Walmart.

2024 was a year of challenges, adjustments, and lessons. The question is: What will finance tackle next in 2025?

Key Takeaways:

  • 📉 Fed finally cuts rates: September’s half-point cut and November’s quarter-point move followed years of rate hikes but signaled cautious optimism.

  • 👩‍💻 Accountant shortage worsens: EY called the talent gap “crisis levels,” with 83% of finance leaders struggling to fill roles amid mounting stress.

  • 🏷️ Pricing strategies failed some: Despite easing inflation, price cuts didn’t work miracles for Target or McDonald’s, hurting customer retention.

  • 📊 Inflation fatigue lingers: Finance teams recalibrated pricing in response to consumer exhaustion—but “lingering softness” could stretch into 2025.

Why It Matters

Finance isn’t just about numbers—it’s about navigating the forces that shape businesses, markets, and the future. AI’s transformative potential, the shifting tides of talent and policy, and the year ahead’s opportunities all underscore one truth: staying reactive isn’t enough.

Why does it matter? Because the decisions we make today define tomorrow’s success. Let’s stay curious, stay informed, and lead the way forward.

Vanessa Carter
Editor-in-Chief
CFO Executive Insights

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