A quarter of bank revenue may be lost to disrupters: PwC
Incumbent banks throughout the world are bracing for the loss of almost a quarter of their revenue to financial technology disrupters during the next five years, a global survey by PwC has found. PwC’s global fintech report, published on Tuesday, finds 95 per cent of bankers believe at least some of their business will be given up to fintech players in the coming years. PwC’s Asia Fintech leader, John Shipman, said he was surprised the number wasn’t 100 per cent. “Almost all of the financial services clients I’ve spoken to acknowledge that fintechs either now or very shortly will have the ability to disrupt the majority of their business,” Mr […]
Fintech the next wave of growth
This is an interesting opinion piece by Australia’s Treasurer, Mr Scott Morrison who says that Australia’s fintech sector can play a vital role in aiding the positive transition that is occurring in the national economy. “At the recent World Economic Forum it was noted that 90 per cent of the data we use today has been created in the past two years. The ability of new technology to capture and process data, in real time, is changing how business is done, how products and services are conceived in the new economy and the way consumers participate in this process. Financial technology, or fintech, is lubricating this transformation. The catalytic impacts […]
SocietyOne sees potential to work with banks
The new chief executive of SocietyOne, Jason Yetton, says there is potential for the peer-to-peer lender to work with a big bank such as Westpac, his former employer, as it tries to distribute loans to a wider range of customers. SocietyOne is one of the emerging group of “marketplace lenders”, which are eyeing off the profits that banks make from unsecured lending, by using online platforms to allow investors to lend directly to borrowers. P2P lenders typically promote themselves as a lower-cost option for borrowers, prompting banks to consider their defences against the new online threat. Mr Yetton, who previously ran Westpac’s retail and business bank, will also use his […]
Macquarie considers US fintech deals, but ‘risk retention’ a worry
Macquarie Bank is looking at a host of possible new online lending partners globally, but is worried regulators are closing in on the new players. Ben Perham, head of strategy and corporate development at Macquarie, said like most banks, it is exploring deals with the various new lenders, including the many small business lenders and P2P lenders. “We are [looking at] collaborating with US lenders and on the equity side as well,” he said. “We are hoping to partner with them and get some of their activities into Australia.” But he pointed out that many originate and make the risk assessment on loans, but then sell them off completely, and […]
ANZ boss Shayne Elliott hot for start-up investments as it partners with Honcho
ANZ Banking Group has partnered with Sydney-based Honcho to fast-track customer small business registrations, as new boss Shayne Elliott drives the bank to work more closely with technology start-ups. ANZ’s managing director of corporate and commercial banking, Mark Hand, says ANZ is open to investing equity into fintech start-ups. It could establish a referral relationship with an online business lender, similar to the arrangement Westpac has with Prospa and Commonwealth Bank of Australia has with OnDeck. After Mr Elliott said he wanted his legacy to be defined by digital banking and criticised ANZ’s siloed approach to technological innovation in an interview with BOSS magazine earlier this month, Mr Hand said […]
Reserve Bank says Australian dollars could come in digital form in future
Death of the cheque and the rise of Bitcoin? FinTech is certainly gaining momentum in Australia with the RBA hinting at digital dollars, or a form of Bitcoin, in the future is quite a possibility. It is entirely possible that Australian dollars will come in digital form in the future, breaking the link entirely between material notes and coins, the Reserve Bank says. In a speech where he also flagged the end of the cheque, Mr Richards said the RBA had been watching the growth in demand for privately-established virtual currencies like Bitcoin, and believed there was a place for a central-bank-issued digital currency in Australia. It thinks digital […]
Samsung Pay goes with Amex first
The race for digital wallets is heating up in Australia and it’s great to have giants like Apple and Samsung battling it out. This can only mean one thing – great results and products for consumers! Samsung has confirmed it will join the re-boot of the digital wallet race in Australia in 2016, becoming the fourth country to get Samsung Pay after South Korea, the US and China.Like Apple Pay, Samsung will be going with American Express first and add other cards later. American Express payments have been available on Apple Pay since November. Bank issued Visa and MasterCard will initially only work on Android Pay, which is understood to […]
Westpac looks to blockchain, robots and drones in fight for the future
“Blockchain is a technology that is clearly disruptive, but what it will be we don’t know. We do know that $970 million has been spent on blockchain by fintechs,” Curran said. Right now he likens blockchain to Napster – pioneering technology – not necessarily the end point. The tech expo and board update is part of Curran’s bid to ensure he and his team are recognised by the bank as “game-changing technologists”. But it’s not all toys and what-ifs. Tess (Test Enabling Super Simulator) developed in association with tech firm Infosys, is testing new systems and updates – making sure human interfaces such as ATMs, keyboards, note counters and the […]
