THE BANK OF NOVA SCOTIA | Advanced Generative AI Systems and Code of Conduct at The Bank of Nova Scotia

Status
Filed
AGM date
Previous AGM date
Proposal number
3
Resolution details
Company ticker
BNS
Resolution ask
Adopt or amend a policy
ESG theme
  • Social
ESG sub-theme
  • Digital rights
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Financials
Company HQ country
Canada
Resolved clause
Be it proposed that the bank adhere to the Voluntary Code of Conduct on the Responsible Development and Management
of Advanced Generative Artificial Intelligence (AI) Systems.
Supporting statement
Over a year ago, the federal government published the Voluntary Code of Conduct on the Responsible Development and
Management of Advanced Generative AI Systems15. This Code specifically addresses systems such as ChatGPT, DALL E 2 and
Midjourney. While these systems offer many benefits – such as drafting emails, answering complex questions, generating images,
and producing realistic videos – they also pose significant risks to health and safety, have the potential to spread bias, and could
lead to serious social consequences, particularly when misused by malicious actors.
It is telling that even the pioneers of artificial intelligence have expressed concern about its risks. By early 2023, over 350 AI
leaders have signed a declaration16 urging the international community to prioritize mitigating the existential risks posed by AI,
equating these dangers with those of a pandemic or nuclear war. As this moratorium has yet to be implemented, it seems the
urgency to act has only grown. Joshua Bengio, one of the signatories of the moratorium petition, emphasized this point in a
recent interview with Les Affaires17.
Recognizing the importance of robust oversight to manage and mitigate these risks, the federal government has invited
companies to adopt to the Code, which describes:
• the measures that should be applied in advance of binding regulation pursuant to the Artificial Intelligence Act;
• as well as additional measures that should be taken by firms developing or managing the operations of these systems
that are made widely available for use, and which are therefore subject to a wider range of potentially harmful or
inappropriate use.
The purpose of this proposal is to encourage the Board of Directors to approve the company’s adherence to this Code of
Conduct.

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