Results tagged “banks”

Five Ways in Which AI Is Changing Banking As We Know It

Sense, Analyse, Engage: How to Successfully Monetize Your Fan Ecosystem (Part 1)

There was a time when every neighborhood bank in North America and Europe was acquired by or merged with a larger institution. By 2000, global mega-banks offered fewer choices to consumers looking for competitive interest rates and other services. But the too big to fail banks are now facing competition because of a resurgence of customer-friendly, local banks. There is an even bigger challenge: Technology companies have been applying for financial licenses that would allow them to enter the digital payments space.

As traditional banks grapple with the challenges posed by FinTechs, legacy constraints and traditional operational models, artificial intelligence (AI) is emerging as the savior. In a recent survey that Infosys commissioned on AI adoption across industries, 23% of the nearly 250 respondents, in the financial services sector, confirmed that AI technologies have been fully deployed in their organizations, and these are also delivering up to expectations; 47% of the respondents view AI as being fundamental to the success of the organization's strategy.

Powering New Digital Business Models in Banking

Powering New Digital Business Models in Banking

Innovative digital models are making their way into banking and the recently launched Marcus by Goldman Sachs is one such example. A subsidiary of the investment bank, Marcus will offer customers a fixed-rate, no-fee, unsecured personal loan, which enables customers to personalize monthly payments and thus better manage their finances.

Marcus marks Goldman Sachs's digital shift from Wall Street to Main Street, and is an example of how banks are rapidly adopting new technologies. Another example of progressive incumbent banks going digital is India's ICICI Bank which has continually transformed itself to keep pace with changing customer requirements. Since 2015, the Bank has refreshed its core banking platform, launched #icicibankpay - a comprehensive Twitter based banking service, Pockets - India's first Visa-based open digital wallet, iWear - the country's first multi-platform smartwatch app, SmartKeys - a smart keyboard for banking where one can chat and pay, and most recently, a pilot on Blockchain based remittances and trade finance. All these initiatives are designed to comprehensively transform the bank to fulfil emerging customer expectations.

Welcome the Robots Among Us

Welcome the Robots Among Us

You've heard the saying that it takes money to make money. Nowhere is this maxim truer than among bond trading desks at the world's largest banks. Even when the global economy went south, banks could rely on the lucrative activities of their traders. But now there's talk of robotics coming to Wall Street in what some might think of as quite a radical way: the bond desk.

Goldman Sachs Algorithm is more than just an algorithm. It's the name of an entire program that the bank is using to execute bond trades. What's so interesting about this particular "bond bot" is that bond trading was always said to be the undisputable job of humans because of the nuances involved. Well, this particular program appears to be so good that it can learn from human traders and augment the already lucrative trade they make.

How Banks and FinTech Start-Ups Can Work Together

How Can Banks and FinTech Start-Ups Work Together

Ever after the global economic crisis of a decade ago, the world's largest banks have continued operating much like they always have because of the belief that they were "too big to fail." Governments for the most part seemed to go along with this reasoning. Then came the rise of the financial technology start-ups.

One can compellingly argue, that FinTechs grew so fast and offered such innovative and groundbreaking products and solutions simply because of the vacuum that existed from 'banking-as-usual'. If there is one thing the world's consumer's desire, it is a new and more convenient way by which they can use digital devices to pay for goods and services. My favorite example of this completely new paradigm involves telecommunications companies, which realized that they controlled an infrastructure that could not only be used for telephone calls but for financial transactions as well.

Money Goes Around The World in New Ways



Biometrics for Convenient yet Secure Payments [Source: https://www.youtube.com/watch?v=obggR1jlw-4]

The lyrics to that old song are true: 'Money makes the world go round'. But did you ever wonder how in the era of digital devices and (potential) payments how money gets around the world? If you want a sense of just how important instant money transfers are to the economic health of the planet, head down to any remittance storefront in a Gulf country like the U.A.E. or Qatar. In those countries, where millions of people from North America, Western Europe, and South Asia, go to find jobs, an important part of the process is sending some of that hard earned cash back home. There, money transfer agents skim a healthy commission off the top of the transaction to ensure that people thousands of miles away will receive the cash in a matter of minutes.

The remittance business in countries that host a significant percentage of foreign workers has been a staple for decades. Even with the global economy stalled and with oil prices plummeting, economists at the World Bank estimate that next year the global remittance business will grow by a respectable 4 percent. But disruption can come along and affect even the most simple of businesses - which is exactly what's happening to the remittance industry.

New Credit Union Survey Highlights Digital Readiness

New Credit Union Survey Highlights Digital Readiness

Slow and steady wins the race. Nice advice and an old maxim. But does it really apply to the digital age and especially to the financial services space? That's what we at Infosys Finacle wanted to find out when we collaborated with Cornerstone, a financial services and technology consulting firm. The study focused on a small corner of the vast financial services world that is often under-reported and under-represented when it comes to surveys: the credit unions.

For the uninitiated, credit unions are hybrid institutions. Like banks, they give loans and take deposits from customers. But they're not open to simply anyone who has the money to bank there - at least, that's how they were born. Credit unions are members-only financial institutions that revolved around a certain segment of customers, so the idea was that the loan officers and bank tellers who worked there knew more about the needs and concerns of, say, a construction worker or a telephone company employee.

IT Powers a Financial Services Revolution


Mohit Joshi talks about the scope for digital transformation in the financial services industry

There's perception and then there's reality. Walk into any bank and you'll notice that there are probably no less than six teller windows. But even in the busiest of cities in the middle of a weekday, there are at most two or three windows manned by a teller. The perception is that the bank is ready to serve customers at a moment's notice. The reality is that there are never more than a couple of tellers on duty.

The automated teller made it so that customers wanting to deposit or withdraw cash - functions that account for 80 to 90 percent of a teller's duties - could swipe their ATM card and be done with the transaction in a minute or two. No waiting in lines at the bank. Yet for the better part of 35 years, banks continued to design their branches with spots for multiple tellers. It's not that someone forgot to tell the architect; banks intentionally wanted to appear to have a sizeable, physical customer service force by having all those teller windows.

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