In case you missed it... the bobsguide articles that have generated the most interest in 2017 to date.
According to KPMG’s Pulse of Fintech report, fintech VC activity in Europe has hit a historically high level for successive quarters. In Q1 2017, global investment in fintech companies hit $3.2bn across 260 deals. Q1 2017’s total capital invested soared to $610m, which was noted as the highest tally in years.
VC investment in fintech remains high, with transaction volume also remaining healthy. Murray Raisbeck, who presented the KPMG report findings at Money 20/20 Europe, stated that stated that while VC investment in Europe had hit new records, the US still ahead of VC investments for the year.
According to the report, in Q1 2017, US fintech companies received investments of $1.5bn across 124 deals. In the same period, investment in fintech companies in Europe hit $880m across 89 deals.
London still leads the fintech industry for both start-up and regular corporate fintech companies. The British capital is holding its dominance for being the hub of the fintech industry, which may be due to the UK always benefitting from a strong FS industry and it’s well functioning ecosystem. The industry has evolved beyond simply accommodating financial services and banks and now holds an array of services aimed at all generations who can benefit from the fintech space.
“The UK is the home of fintech- the powerbase of the City of London fused with the entrepreneurial energy of the capital, is proving a potent combination”, states Raconteur.
It’s clear that artificial intelligence (AI) is already one of the defining trends in fintech in 2017 and an increasingly popular buzz word in the industry.
Businesses are gradually understanding the importance and benefits of machine-learning technology. Self-made billionaire Mark Cuban has boldly claimed that the “the world’s first trillionaire will be an AI entrepreneur.” He goes on to say that faster computer processers and large data sets have the ability to push AI into a wealth of industries and services.
He has a point. We have access to more data today than ever before, and with the increase of solution-finding apps that help consumers find patterns in their habits, businesses and start-ups, the bars are now high for the fintech industry.
As computers and robots begin to replace human efforts, even the most desirable jobs could be at risk. The financial services sector has been integrating machine learning into its practices primarily to cut time, cost and energy.
Blockchain has created a huge amount of buzz in the financial services industry since its official debut into the market in 2009. The question of when blockchain will go mainstream is yet to be answered, but there is constant speculation around the topic. However, the technology has been widely recognised by financial services and industries are slowly coming around to the idea of moving to a decentralised consensus system.
The Second Payment Services Directive (PSD2) is a fundamental piece of payments legislation in Europe, which entered into force in January 2016. The regulation is set to drastically impact the infrastructure for banks, fintechs and businesses using payments data by opening up access to third party providers. The regulation requires that all member states implement these rules by 13 January 2018.
Whilst the regulation has been a popular topic over the past few months, is the industry as knowledgeable about PSD2 as perhaps we expect it to be? We’ve broken it down to the basics to explain what PSD2 really is, what it means for banks and who the regulation will primarily affect.
Vista Equity Partners' agreement to purchase Canadian lending, payments, and financial solutions software supplier D+H for C$4.8bn including debt would have made headlines in its own right, after all billion dollar deals aren’t exactly ten a penny. In a market which has been predicted to accelerate its M&A activity in 2017, the D+H acquisition is by a distance the most significant development we have seen this year to date.
But the development is perhaps much more significant than the value of the deal. That’s because Vista Equity partners already owns one of the biggest banking software development companies in the UK, Misys, and has made clear that it intends to fully integrate the two companies.
The rise of artificial intelligence (AI) is set to change the way banks and financial services operate, as well as the way consumers approach their personal banking. Powerful AI can replace humans with machines, improve customer experience and provide simplified cost-effective solutions for businesses.
bobsguide recently spoke about AI’s impact on the fintech sector, today we’re digging deeper to find out how AI could transform banking by speaking to Tom Blomfield, Brett King and Spiros Margaris to discuss their views on AI and machine learning.