KPMG is set to acquire a minority stake in AdviceRobo, a Dutch fintech firm that predicts financial risks associated with disbursing loans to consumers and companies.

AdviceRobo utilises artificial intelligence (AI) analysis to assess non-financial data and determine the potential risks of lending.

The service enables its clients, which includes banks, to mitigate lending risks as well as bolster their customer base.

Through this acquisition, KPMG intends to to help its clients enhance their existing risk-management system.

KPMG head of advisory Rob Fijneman said: “We are very pleased that the alliance with AdviceRobo will enable us to add these types of AI-based predictive behavioural models to our services for lenders.

“AdviceRobo’s models will enable lenders to improve their credit risk models and thus reduce costs, especially in areas where data is the limiting factor. In addition, it allows lenders to considerably increase their acquisition of new lending clients.”

The deal is also expected to enable AdviceRobo to access KPMG’s global network as well as strengthen its expertise in risk management, regulation, data and analytics.

AdviceRobo CEO Diederick van Thiel opined that around 4.5 billion people across the globe do not have access or very limited access to loans.

Thiel stated: “Our software enables lenders to target these underserved customers and streamline their credit processes.”

Following the deal, Van Thiel and company CCO Rosali Steenkamer will continue to lead the company.

KPMG Financial Services partner Erik Rood will lead the cooperation between the two companies.