Is FinTech King?

FinTech’s here to stay and it’s becoming integral to current and future success. How are people and businesses affected?

Is FinTech King?


Technology is driving, formula one style, the financial services industry. There are a few key themes that are going to affect 2020 and beyond.

  • Blockchain is becoming pivotal for structure and strategy
  • Cybersecurity will need ever increasing investment and power to deal with the increasingly sophisticated hacks
  • The cloud will be the top method individuals and companies use to back up their product
  • FinTech will drive start-ups
  • AI and robotics will invoke banks to “re-shore” due to lack of human involvement

These themes not only underpin the financial services but they infiltrate all levels – right down to Mr Smith sitting at home banking on his mobile phone without ever going into a high street branch. Financial services companies are in the midst of a massive idea overhaul and change in how business is run. For example, if a bank foresees the robotic structure change, they can decide to lead by example, making sure they have the right evaluation capabilities and agile infrastructure to be ahead of the game, or do not move with the times and have to suffer others’ successes with the shift.

The pace of the race in 2020 is ramping up and this upwards trend shows no signs of slowing. Financial institutions have a responsibility to batten down the hatches and ensure their vehicle is fit for future purpose.

Mr Financial opinion is that there are three priorities for the FinTech industry in 2020 and beyond.

  • Invest in, and respect, cyber security
  • Adopt robotics and AI to both learn about customers and simplify systems
  • Ensure your workforce can work from anywhere

This is the recipe for success in this fast changing landscape. IT, management teams and communications teams all need to agree on priorities and move forward together.

We at Mr Financial, think the industry will become far more collaborative with start-ups building the best segmental technology and we will see a marked shift with how they pay attention to their customers. Putting the individual customer first.

FinTech disruptors / start-ups are fast paced and centred on one thing at which they are excellent. They are knocking incumbents out of their seats and keeping everyone on their toes.

Industries are reporting across the board that approximately 25% of their business may be at risk of being lost to independent FinTech start-ups within five years.

Also venture capitalists are heavily swayed towards supporting FinTech start-ups as the returns on investment speak for themselves over the past decade. FinTech has developed ways of targeting customers and offering services at lower prices but this is taking its time to infiltrate because regulatory bodies have not kept up with the leaps in progress. From the regulatory bodies’ perspective though, you can understand them wanting to encourage movement and innovation but also needing to regulate and ensure oversight is complete and meaningful.

Without even knowing it a lot of the time, we’re all succumbing to FinTech and those who get on board the fastest, will be the most successful and ahead of the curve. Are you on board?

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