Digital Finance Analytics (DFA) Blog
"Intelligent Insight"
A useful speech by Dr Andreas Dombret, Member of the Executive Board of the Deutsche Bundesbank in which he explores the impact of digital on banking. He looks at potential scenarios based on the use of mobile devices, and explores the cultural and structural issues emerging, and the impact of fintech. He concludes: Can banks … Continue reading “Banks spellbound by innovation?”
From Smart Company. Small business lender Prospa is gearing up to hire an additional 100 employees in its next stage of expansion, after this week securing a $25 million cash injection in what is believed to be the largest fintech venture capital investment in an Australian business. The 2016 Smart50 winner says the investment round, led by … Continue reading “Prospa Seeks $500m in SME Loans After Raising”
Speaking today at the A50 Australian Economic Forum in Sydney, APRA Chairman Wayne Byres reaffirmed the 10% speed limit for investor loans. Sort of makes sense given the CBA slowing of investor loans we discussed yesterday, but 10% is, in our view too high, given current salary growth and inflation rates. This is what he … Continue reading “APRA Reaffirms 10% Investor Loan Growth Cap”
New research from Juniper highlights the challenges and opportunities facing retail banks as digital migration moves fast, and branches become less relevant. “Mobile first” strategies are developing. Juniper has analysed some of the leading Tier 1 banks from different parts of the world to evaluate their digital transformation readiness score and show their positioning to … Continue reading “Which Tier 1 Banks are Leading in Digital Transformation?”
From Australian Fintech. Apple says three of the big four banks are pushing to pass the costs of Apple Pay on to their customers as a way to “condition the market” into paying extra fees when using a mobile phone to make a ‘tap and go’ payment. One of the issues in the long-running battle … Continue reading “Apple claims banks want digital wallets as a new revenue source”
From Australian Fintech. The potential for distributed ledger and associated technologies has fundamental, long-term ramifications for financial planning businesses. Planners need to be across these innovations now so that when commercial solutions that use these technologies hit the market, their businesses are ready to embrace them. Distributed ledger technology is a way of recording information … Continue reading “Blockchain and others will transform financial advice”
From Fintech Business. Credit providers will need to embrace newer technologies and real-time data processing in order to meet changing client needs, writes Experian’s Suzanne Steele. Over the last decade, the digital transformation of the banking sector has accelerated dramatically, and the pace of change is showing no sign of slowing. Recent research data shows more … Continue reading “Faster credit decisions with real-time technology”
Dr Jens Weidmann President of the Deutsche Bundesbank spoke on “Digital finance – Reaping the benefits without neglecting the risks“, drawing important links to financial literacy, financial stability and fintech. More than 20 years have passed since Bill Gates famously said that “Banking is necessary, banks are not”. While banks still exist – and I am … Continue reading “Digital Finance and Fintch – Benefits and Risks”
Mckinsey in a new report “A brave new world for global banking“, says three formidable forces—a weak global economy, digitization, and regulation—threaten to significantly lower profits for the global banking industry over the next three years. Developed-market banks are most affected, with $90 billion, or 25 percent, of profits at risk, but emerging-market banks are … Continue reading “A Brave New World for Global Banking”
From Investor Daily. Robo-advice platforms’ capacities are expected to continue growing in the coming year, according to Finovate, expanding their functionality to include broader wealth management functions and cater to high-net-worth customers. The “myriad” financial needs facing Millennials, coupled with increasing longevity risk confronting older investors, has driven change in the robo-advice space, Finovate research … Continue reading “High-net-worth investors embracing robo-advice”