Mutuals looking to fintech: KPMG
Australian mutuals are embracing innovation and fintech start-ups at an elevated pace, with 62 per cent indicating a willingness to invest in new technologies to improve their business, says KPMG.
A recent KPMG survey, Mutuals Industry Review 2015: Time to take off, found that 62 per cent of Australia’s credit unions, building societies and mutual banks (or ‘mutuals’) are inclined to invest in new technologies.
KPMG Australia national mutuals leader Peter Russell said: “Because the price of new technologies has come down dramatically due to the lower costs of starting new businesses, good ideas can be turned into business applications at a fraction of the cost of five years ago.”
“Mutuals have the advantage that they don’t have to deal with as many challenges as their bigger competitors. They can move more quickly to embrace disruptive fintech solutions.
“Customer-owned institutions are well placed due to their size and nimbleness to seize a competitive advantage by implementing new technologies and ideas, collaborating with fintechs,” Mr Russell said.