Takeaway from Finovate and Next Money: Ditch the Humans

The Rise of ‘Regtech’

Reg: Regulatory technology – be created to address regulatory challenges in the financial services sector through innovative technology.

Innovation in Small-Business Lending

Emphasis on Artificial Intelligence

Expanding Social Commerce
source: https://www.americanbanker.com/news/takeaway-from-finovate-and-next-money-ditch-the-humans

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How Could Artificial Intelligence Improve API Design?

Defining AI

the state of being in which a machine is able to ‘learn’ and ‘think’
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Potential Benefits for AI/Deep Learning in the API Space

user behavior prediction – (1) long-term data present macro trends (2) deep learning and predictive systems

APIs and Artificial Intelligence

eg. Watson and Bluemix, Dynatrace, Buzzlogix, Soshio

 

 

source: http://nordicapis.com/could-artificial-intelligence-improve-api-design/

 

Mobile banking surges as security issues are addressed

Top 10 Mobile Vulnerabilities

lack of binary protections (19%), insecure data storage (17%), insufficient transport layer protection (16%), unintended data leakage (13%), weak server side controls (6%), poor authorisation and authentication (6%), client side injection (4%), broken cryptography (3%), improper session handling (2%) and security decision via untrusted inputs (1%)

‘Reverse engineering’ is your enemy

Self-protection explained

  • planning
  • designing, building and testing
  • protection
  • test & deployment

source: https://www.finextra.com/blogposting/13506/mobile-banking-surges-as-security-issues-are-addressed

How Digital is Redefining the Banking Experience

Reshaping the customer journey: mobile banking. personalised and on-demand access to services

Internet and mobile banking is preferred: shut branches caused by customers managing banking through the internet and on mobile phones

Four ways to improve the customer journey

(1) Improve new account opening and on-boarding experience

(2) consider user-friendly authentication

(3) Embrace the rise of the bots

(4) Embrace cross selling

*cross selling: selling to an existing customer

source: https://www.finextra.com/blogposting/13719/how-digital-is-redefining-the-banking-experience

Robo Advisors sweep Europe as UK consumers bank on robots

According to a report by Accenture, over two-thirds (68%) of UK consumers would use robo-advice to aid traditionally complex banking decisions, including how to allocate investments (74%), the type of bank account to open (68%) and retirement planning (60%).

Consumers from across Europe are prepared to use robo-advice: France (67%), Spain (78%), Italy (79%), Germany (60%), Sweden (68%), Ireland (66%),

source: http://www.cbronline.com/news/verticals/ebanking/robo-advisors-sweep-europe-uk-consumers-bank-on-robots/

The Digital Banking Evolution: From Transactions to Relationships

Unique Insights into A Digital Evolution within Financial Services

add real value to the customers’ lives

delivering platforms that advise the customer based on all available data, making the user journey smarter and more rewarding.

Customers Hold the Secret to Your Success

Creating a Win-Win Proposition

banks to automate experiences and use customer data and insights to deliver personalised touch points -> personalised transactional experiences

 

source: https://thefinancialbrand.com/63360/digital-banking-design-relationship-experience/

Blockchain: Everybody calm down

Common misconception

a. block chains are the future of databases

no, it’s good for sharing.

b. smart contracts will nullify the law profession

They are great for automating run-of-the-mill rules-based repetitive tasks but not for negotiating the legality of company scale mergers

*smart contracts: protocols that facilitate, verify or enforce the negotiation or performance of a contract, or that make a contractual clause unnecessary.

c. blockchain is the solution to all the world’s problems

blockchain should be viewed as ‘an enabling tool’ and not as a solution.

 

source: https://www.linkedin.com/pulse/blockchain-addressing-misconceptions-michael-yorke?trk=v-feed&lipi=urn%3Ali%3Apage%3Ad_flagship3_detail_base%3BIiGWkBadGsgJnC78VXmftQ%3D%3D

Fraud, Friction, Risk & Reward … Is your company prepared to fight online fraud?

Risks/threats: organised crime, cause-motivated hacktivists, rogue nations, internal (e.g. rogue employee), hackers

stats: (1) every single minute, over 600,000 phishing emails are sent (2) fraud is moving to card not present (CNP). 59% of global fraud in 2015 (3) us accounts for 61% of global fraud

to combat:

  • staff training
  • selecting the right processing partner
  • refining your own offering (policy, service)
  • internal fraud prevention
  • use of scheme tools (3ds)
  • strict adherence to PCI DSS
  • use of fraud screening tools (device fingerprinting)
  • use of self-learning (machine learning) fraud mngm algorithms
  • outsorting for manual review of certain transaction
  • monitoring of chargebacks for any unexpected spikes

source: https://www.linkedin.com/pulse/fraud-friction-risk-reward-your-company-prepared-fight-kornitzer?trk=mp-author-card