I had the opportunity to be on a panel at an event hosted by IBM in New York last week focused on emerging fraud issues. Participants ranged from fraud managers at financial institutions to data scientists from various vendors. It was a fantastically open and interactive dialogue that brought up many issues, none of which we easily resolved. One of the really interesting conversations was around the use of biometrics and their impacts on privacy.
New-account risk assessment is an increasingly challenging proposition for financial institutions of all sizes. Opportunities for new-account fraud are exacerbated by the growing number of consumers who prefer to conduct commerce in the higher-risk online and mobile channels. Additionally, Dodd-Frank dramatically changed the economics of retail banking in the United States, while the Consumer Financial Protection Bureau (CFPB) is intensely scrutinizing new-account risk assessment practices, pushing FIs toward greater financial inclusion.
Change is happening all around the life insurance industry, and unless carriers have the tools necessary to make changes or even keep up with the change, they will fall behind. Their legacy systems are preventing them from moving into the next generation of life insurance and stressing a market that is prime for innovation.
A new policy administration system can be the key to a carrier’s successful navigation of these shifts. While the thought of implementing a new system can be daunting and goes against a life insurance company’s need to avoid risk, it doesn’t have to be that way. PAS vendors understand carriers’ concerns, and many of them have invested in the technology, infrastructure, and integration to help carriers get past these concerns.
My first impression upon reading about another bank fine is surprise that these two words are not a bigger trending topic in social media. After more than seven years of watching headlines with the words “bank” and “fine,” I suspect readers’ eyes glaze over and move on to the latest, truly disruptive news. But the latest news on the bank-fine front caught my eye, and for good reason.
The Wall Street Journal reported this Monday that State Street Corporation is nearing a settlement with federal authorities and clients to end civil lawsuits originating from alleged infractions executing FX client trades between 1998 and 2009. The settlement figure being floated is “more than US$500 million.”
Here‘s our takeaway from this latest story:
Over two days last week, more than 70 financial technology companies presented hands-on demos of their latest solutions in San Jose, California. The companies that demoed their products varied by geographical location, experience, technology, and area of application, which always adds to the conference's appeal. I’ve attended quite a few Finovate shows before and have often wondered if having more fintech developments also means more financial inclusion. I did get the answer last week with two solutions that stood out. First, BanQu: the only humanitarian fintech solution, to my knowledge, with a very memorable presentation.