AI agent
Software built on an AI model that pursues a set goal by planning steps and acting through tools or APIs, not only by answering.
An AI agent is software built on an AI model that pursues a goal set by a person or organisation by planning steps and taking actions through tools, APIs or other agents, rather than only returning an answer. There is no single legal definition: regulators generally treat an agent as an AI system or as part of one, and the firm that deploys it stays responsible for its actions. In finance, what matters is the authority an agent holds, the limits on that authority and the evidence each action leaves.
Agent Minute explains this term on 19 October 2026.
Related terms
AI systemA machine-based system that infers from its inputs how to generate outputs such as predictions, content, recommendations or decisions.Tool useA model asking its host application to run a named function with structured arguments, then receiving the result.PrincipalThe person or organisation on whose behalf an agent acts and whose authority the agent exercises.MandateA checkable statement of what an agent may do for a principal: which action, how much, with whom and until when.Know Your Agent (KYA)Checking which agent is acting, who operates it and whom it acts for, before letting it act.