In a Sector that loves acronyms, abbreviations, labels and generating “new” and exciting names for existing things, the most exciting thing for me is the rise in recognition of Tech and what a difference it can make for businesses and consumers alike.
At Worksmart, our organisation has been hard at it, building Tech for many years now, and as a result we like to think of ourselves of being those “Techies” (if that’s even a word) beavering away building solutions for financial services organisations even before the suite of Tech terms were ever invented.
But with all the jargon that seems to multiply year on year in the FS Sectors, let’s take a look at what the differences are in the technology currently available to firms, and how one might identify the ones more likely to be of benefit to your organisation.
If we consider the definition of those different technologies listed, as you would imagine at the highest level, tech seeks to improve processes within organisations, mitigate risk, improve outcomes for consumers, streamline MI and minimise the risk of manual interventions. But if we take them one by one, why are the Worksmart team so excited to have most recently announced their place in the FinTech Global WealthTech 100?
“Fintech is an emerging industry that uses technology to improve activities in financial services and is typically employed across all sectors in varying degrees. The purpose being to automate processes, reduce risks and improve outcomes for end consumers. FinTech comes in all shapes and sizes from enterprise solutions within large banking organisations to smaller niche products in start-ups.”
“RegTech’s is designed to enhance regulatory and compliance processes. With a particular emphasis on regulatory monitoring, and the standardisation of repeatable processes, allowing a greater level of consistency and transparency.”
“InsurTech is the use of technology innovations designed to make the current insurance model more efficient.”
WealthTech is the term used to describe the intersection of technology and wealth management and refers to any company that delivers technology-based solutions to the sector. This includes companies working to build new products or services that allow the wealth management sector to utilise tech most effectively and in a manner that is appropriate for their sector.”
Now in itself, you the reader might think that “WealthTech” does not sound like the most exciting new area, but from our perspective it is. For many years the Asset Management/Wealth Management sectors have service retail consumers well. From providing places where stocks and shares novices can purchase their first ISA’s all the way through to managing much of the UK’s personal pension plan funding. They are there in the background, delivering against the investment needs of the country. But whilst they are subject to very strict scrutiny from the FCA about the way they do business, it’s been interesting to note that they have in many instances been slower to embrace technology than their counterparts in other sectors.
No doubt there will be many representatives from the sector shouting me down here and telling me that’s not true. And I don’t seek to argue with that view, but I do want to share our experience.
My take on this is that there has been a greater interest from firms in the sector more recently once they have realised that there is Tech available and built specifically to satisfy the needs of the sector. Add to that, organisations such as ours who have blended technology experts with in-depth regulatory knowledge, then when firms and individuals are aware of this and the fact that they don’t have to make do with tech that was built from banking and then is bent into a shape that “sort of” suits their sector, then it really is game changing for many.
As the proud supplier of tech to the Asset Management/Wealth Management sector for many years now, it means a lot to know that our “Award-winning” technology has allowed us to secure a place in the WealthTech 100 which is the annual list of the world’s most innovative 100 companies selected by a panel of industry experts and analysts.
And if I round off this short blog by answering my own question posed in the title. Finding a tech firm that talks your language, is in tune with regulatory requirements, understands your sector and has built and/or builds solutions that are focused specifically for the needs of the sector is the holy grail in this particular scenario.
For those of you reading this blog trying to work out where Worksmart fit into the potential picture with regards to your organisations technology needs, then please either join us at one of our up-and-coming regulatory events or sign up for our regular digests that seek to inform and connect changes in the financial services sector with the long-term benefit that the implementation of technology can bring.