Disruptive technology in financial services come with challenges that need time to solve. The financial sector is increasing its investments in Fintech firms as the research suggests that customers go for the idea of on-demand finance.
This is to challenge the agility and flexibility afforded by the Fintech firms that make them lethal to the traditional structures.
According to the Goldman Sachs equity report, these young Fintech firms are expected to eat away $4.7 trillion in revenue and $450 billion in profit from the traditional financial services firms.
Future Fintech trends
In this regard, the Deloitte’s report highlights the following present and future trends:
- Trend 1: Financial firms are taking the role as venture capitalist for the new Fintech firms
- Trend 2: The potential benefits of blockchain technology continue to grow.
- Trend 3: Regulator are also heeding to these Fintech companies, but they are giving them enough laxity so that they can solve their problems on their own.
- Trend 4: The executives are beginning to understand the challenges associated with the technology.
- Trend 5: The industry is realizing that the implementation of the technology will take time.
Disclaimer: The information on this site is provided for discussion purposes only, and should not be misconstrued as investment advice. Under no circumstances does this information represent a recommendation to buy or sell securities.
