September 2015 - Fintech efficiencies

FinTech and fund industry efficiencies

The fund industry sees the importance of financial technology but is slow to adopt it

In September's Global Distribution Conference held in Luxembourg by ALFI, FinTech was a hot topic with a large number of speakers on this subject.

As a fund market and information exchange infrastructure, Fundsquare is very active in the financial technology and firmly believes that important savings and efficiencies can be achieved through technology and improved processes. It plays an important role in the FinTech ecosystem and  creates a link between new technologies and traditional organizational models used in the fund industry.

It is clear today that the industry is operating in low-tech environment and is still lagging behind compared to other financial sectors: for example, many orders are still manually processed and transmitted by fax.

However, moving to a more FinTech approach revolves around two axes: the changing needs expressed through customer service experience and the reduction of service costs. But there is an element to take into account is important, the cost of customer acquisition. The problem here is to convince actors to switch.

Time to move

Fundsquare is convinced that costs can be brought down and this year carried out a survey with Deloitte entitled Europe's fund expenses at a crossroads. In short, Europe’s cross-border fund industry could save nearly €1 billion with improvements to the fund distribution supply chain.

At the Global Distribution Conference, Fundsquare spoke on the digitalisation of the marketing and distribution of fund products and services and tackled the question of whether industry players can keep pace with rapid revolution.

Are distributors fighting against disintermediation? How? from ALFI on Vimeo.

_{Published on: 30 September 2015}

Fundsquare News 23 - September 2015