Penny Crosman highlights 8 areas — insurance, blockchain, online lending, process automation and AI, robo advisers, non-robo-investing, real estate, and the underbanked — where VCs will put their money next year. It appears that above all, the trend is toward using data to improve the banking experience on a range of fronts.
Kimberly Long of EuroMoney says that many financial institutions don't invest in digital innovation because they don't see how it will immediately generate returns. To fix this problem, financial institutions need to have a more trust in the ability of digital offerings to produce ROI down the road. Jurgen Vroegh, global head of payments at ING, says, "We see that with each improvement we offer our customers that customer satisfaction is rising. That will be our main driver for the coming years, to keep investing in digitalization." In short, investing in digital pays off in the long run. Financial institutions need accept that innovative is a risk that will bring dividends.
New evidence suggests that more than 10,000 small businesses were affected during the past few years as Wells Fargo employees created fake accounts.
Jeff Gido, Goldman Sachs's Global Head of Fintech, says the future of financial services hinges on the ability of financial institutions and fintech companies to work together to produce something that can better serve consumers.
Chris Myers says that Jeff Gido also talked about the third wave of fintech. The first wave came in response to the financial crisis. The second wave came when the big players took notice and created innovation centers. The third wave will come when the collaboration flourishes.
American Banker's Robert Barba shows what financial institutions are planning to spend their money on.