21 July 2018
Alex Novik

Advapay

Alex Novik - Advapay

12Posts 40,448Views 0Comments

Large banks afraid of competition from financial Robo-advisors

09 February 2016  |  4022 views  |  0

Large traditional investment banks, like Morgan Stanley, Bank of America and Wells Fargo are under great pressure due to competition from financial Robo-advisors. In such a situation it becomes difficult to justify their fees, far exceeding the costs of services from cheaper investment platforms.

This opinion was expressed by Kendra Thompson, managing director of Accenture, reports Bloomberg.

In her opinion, the above-mentioned banks, which employ about 46 thousand financial advisors, have to respond fintech startups that offer new financial instruments based on the artificial intelligence technology.

Robo-advisers that use analytical programs to assess situations, usually take less than half the fees of traditional banks, which ask for a minimum of 1% of assets under management. Thus, according to Kearney, Robo-advisers by 2020 will manage the assets in the amount of 2.2 trillion US dollars.

According to Jay Welker, President of private banking at Wells Fargo, customers want everything at once, both technology and human communication.

Source: banks.eu advapay.eu

picture by Bloomberg LP TagsMobile & onlinePayments

Comments: (0)

Comment on this story (membership required)

Latest posts from Alex

API and EMI in European payments landscape of PSD2

26 April 2017  |  2168 views  |  0 comments | recomends Recommends 0 TagsPayments

Remote Identification of Customers for European Payment Institutions. Part 2

05 April 2017  |  4465 views  |  0 comments | recomends Recommends 0 TagsPaymentsRisk & regulation

Remote Identification of Customers for European Payment Institutions. Part 1

03 April 2017  |  4249 views  |  0 comments | recomends Recommends 0 TagsPaymentsRisk & regulation

Establishing a Payment Institution in Lithuania

14 March 2017  |  4751 views  |  0 comments | recomends Recommends 0 TagsPaymentsRisk & regulation

Reasons for creating a payment business in Europe.

21 September 2016  |  2003 views  |  0 comments | recomends Recommends 0 TagsPaymentsRisk & regulation

Alex's profile

job title Manager
location Tallinn
member since 2015
Summary profile See full profile »
Manager & PR at Advapay. Involved in marketing, public relations and working with clients in Advapay, Epaysuite, Cryptus.

Alex's expertise

Member since 2015
12 posts0 comments
What Alex reads
Alex's blog archive
2017 (4)2016 (5)2015 (3)

Who's commenting on Alex's posts