Contact Your Financial Adviser Money Making MC
29
October 2018
 |
Gartner (The Total Investment & Insurance Solutions)
Nearly 80 per cent of heritage financial
services firms globally will go out of business, become commoditised or exist
only formally but not competing effectively by 2030, Gartner said on Monday.
These
firms will struggle for relevance as global digital platforms, fintech
companies and other non-traditional players gain greater market share, using
technology to change the economics and business models of the industry, said
the market research firm.
"Established
financial services providers will have to move faster on digital business by
building digital platforms or finding niche products and services to sell on
others' platforms," said David Furlonger, Vice President and Distinguished
Analyst at Gartner.
Banks
face a growing risk of failure if they continue to maintain 20th century
business and operating models, he warned.
According
to Gartner's 2018 CEO survey, while financial services CEOs continue to
prioritise revenue growth, there has been a clear shift toward emphasising
efficiency and productivity improvements.
"The
future of the financial services industry is increasingly weightless, requiring
few physical assets to establish or maintain a presence. That makes the
industry especially vulnerable to disruption by digital competitors,"
noted Pete Redshaw, Practice Vice President at Gartner.
The
speed of digital transformation in financial services partly depends on
regulation.
"In
some nations, conservative regulations will inhibit innovation, while other
countries, such as Australia, Brazil, China, India and the UK, will use
regulation to speed transformation," said Gartner.The Total Investment & Insurance Solutions
No comments:
Post a Comment