I am so happy that this group is being formed. It is about time the banks got together to innovate. It's been 40 years since I've seen this type of collaboration. I wish you much success.
19 Nov 2015 15:54 Read comment
Wow. This is really a low blow for financial executive integrity. He broke the rules knowingly and now wants money. No wonder the public does not trust financial providers. Greed breeds greed. This guy should be in jail and barred from further employment. I hope the Board does not give in to a bunch of lawyers. Let this guy bleed out!
10 Nov 2015 19:52 Read comment
I can see a big reduction in overall staff. But, it will come from a number of different things. The first will be the fact that people are not going to branches. I envision a 50% decrease in the number of branches in the next 10 years. The second is substantial productivity improvements caused by new technologies. For example, I envision substantial consolidation from a processing and an operations in the area of payments. If banks were to architect their payments today, they would look much different than today's systems. Predictive analytics will enable a much smarter bank which will improve overall productivity and provide a higher level of productivity. The apllications themselves will materailly change how business is conducted especially as the industry takes advantage of shared ledger technology. All in all it is not one thing that will drive bank productivity. Robtics is just one of many things. I think the projections that were cited are quiet lofty.
09 Nov 2015 20:27 Read comment
Maybe someone who develops the algoritms will become a CEO.
06 Nov 2015 14:18 Read comment
FinTechs are much more in touch with consumer needs than the banks. History has proven that the banks have not done a good job in providing a value proposition where everone wins. Just look at how banks price their services. They charge $35 for an overdraft that costs less than $1; $30 for stop payments and credit card late payment fees in excess of $30 too. These high fees are representative that the banks are irrationally creating revenue. This same logic can be applied to foreign exchange too. Banks markup these fees by over 200%. Fintechs will attack these pricing weakness with better value propositions leaving the banks with a lot of loss leading products that do not pay for themselves. It is time for banks to change since the status quo is not promising.
03 Nov 2015 16:14 Read comment
I've been in the banking innovation business for 40+ years. I can attest that today's banking leadership in the U.S. is asleep at the wheel when it comes to innovation. They are concerned about disintermediation from existing competition, regulatory compliance, and next Quarter's profits. They lack vision and the fortitude to make the really difficult decisions to make sure they are in business 10 years from now. If U.S. banks continue their no risk no innovation posture Fintechs will continue to win. Banking leadership please wake-up!
03 Nov 2015 15:07 Read comment
Take the money and run. But, a few of the European banks should start their own payments company with a new global brand once their non-compete clause ends. Why pay Visa when you can pay yourself. Also, potential changes in the EU's intercange rules substantially decrease Visa's value proposition.
02 Nov 2015 14:22 Read comment
What about freight payments as a canadidate for blockchain technology -- lots of paper, limited number of players?
22 Oct 2015 17:08 Read comment
Square is a Fintech. I am sure Square will get a higher than deserved market cap when they IPO. The big question for them is "how" can they reach profitability and substain high revenue growth. Square will need to do something radically different than just leveraging the old legacy payment rails of Visa, MasterCard and Amex.
20 Oct 2015 17:06 Read comment
Maybe I do not understand this. The big banks still need to fund estimated clearings on a daily basis, but the little guys do not. Something sound fishy here.
05 Oct 2015 22:23 Read comment
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