November 20, 2016
With close to $14 billion in venture capital invested in a range of FinTech companies globally in 2015, and ~$19 billion in the first nine months of 2016, the industry is expected to blossom beyond expectation and have a transformative effect on traditional financial institutions. Over time, the race for a market share only gets more interesting, since banks are not waiting to part with their customers and value streams, and are noticeably active in innovative projects and initiatives.
However, there is a particular sector where traditional institutions don't have much experience innovating - digital banking. Meanwhile, challenger banks are getting licenses one after another not mentioning their outstanding UX, increasing the pressure for incumbents. With accelerating pace of innovation in the financial services industry and ever-consolidating efforts of FinTech in dethroning banks, what can banks do to respond?
At the end of September, The Development Bank of Singapore (DBS) made an attempt to answer that question in the report called