Intro to Fintech

Financial Technology (FinTech) is a rapidly evolving industry that brings together traditional institutions within finance to undergo transformation and innovation by leveraging tech-enabled solutions. With the aim of improving end-user experience and delivery, the emergence of FinTech has sparked a shift in mindset about how consumers access financial services.

Traditionally, consumers have relied on larger financial institutions for products and services related to personal banking, insurance, superannuation, credit, and investments. Deep with expertise and years of financial experience, a key problem that has arisen over the years is linked to accessibility.

This issue takes many forms including high barriers to credit and lending to access and usability of platforms as more individuals move to online and digital banking.

However, one characteristic stood clear as the world moved step by step towards a digitised economy: technology. This meant that companies whose key revenues were driven through financial products and services had to adapt to the changing climate. This created a playing field for innovation, experimentation, and competition. In comparison to its counterpart industries who have adopted and benefitted from software and hardware technologies, financial services was perhaps the next area that was conducive to innovation. Enter, then, the emergence of Financial Technology companies, or in other words: the “FinTechs”.

While the industry is mainly driven by start-up companies and individuals on the entrepreneurial pursuit, traditional financial institutions, such as banks, also participate through the creation of a dedicated tech team in developing new FinTech-related products and services.