Citisoft's Steve Young recently penned a piece for Global Investor on the adoption of fintech in the investment management industry. Although the banking industry has been more proactive in leveraging fintech, "fintech is still in its infancy as a real catalyst for change" in asset management.
Commenting on why this is the case, Steve elaborates, "To a large extent this situation is due to the ultra conservative and risk-averse nature of the investment management sector. To fully embrace fintech, early adopter firms need to develop their operating models, recognise technology as a key element and create an agile environment that supports change and a continually improving customer experience. As these more progressive investment managers evolve and become more successful, so they will influence other organisations as their ideas and models become increasingly widespread."
Other contributing factors to the industry's slow pace of fintech adoption include increased regulation and a lack of agility.
For more of Steve's thoughts on where the investment management space can gain an advantage from fintech and how to do so, read the full article.