apidays LIVE LONDON - How APIs are changing the fintech world by Chirine BenZaied - Bourgerie

Editor's Notes

• #3: Open banking via PSD & global trends Banks opens services via secure APIs, consent mgt, etc to fintechs Replacing webscrapping Gain in sophistication with BaaS and embbeded finance 11:FS report Brand, service provider and license holder MODULARITY: from monolith to more granular architecture, service, agility, flexibility, etc. Let’s look at some examples
• #4: Granularity in services that fintechs now provide replacing the traditional monolith Some BaaS service providers Bit techs players also entering the space, as brands or service providers – watch that space!
• #5: Now this is very interesting, though I’m sure you’ve noticed this only on consumer space (+ some players operating/entering the SME space) 2nd D is verticals – corporate banking & capital markets here it’s just the beginning of « Open Finance », We’ll see more about it with the Finastra experience in that space Now the 4th quadrant???? Watch out this space! ;)
• #6: Now let’s take a look at the Finastra experience!
• #7: But first, do you know Finastra? Have you heard the name before? used to be software provider for FI – technolofy for finserv Now this is called « fintech », and we’re one of the largest in the world 10k people 8k clients $2bn revenue Global presence Serving almost all segments that a traditional bank would serve
• #8: More on these segments: Retail US community mkt (10k credit unions and community banks) – consumer & SME banking & lending Retail row Corporate banking: commercial & syndicated loans trade finance, cash mgt Payments TCM: buy side (hedge fund, asset managers) and sell side (investment banks) Enterprise risk
• #9: A data perspective to it (that illusitrates better the benefit in opening the systems with open apis: daily trade, daily fx, more dramatic global syndicated loans!
• #10: So here is what we’ve done – started a couple of years ago opening the systems used by our customers, x these segments Enabling fintechs, startups and other innovators to access the APIs and connect their apps – dev portal Help them collaborate/GTM with banks - mktplace
• #11: On the devportal side: - APIs enable 3rd party connectivity to our core solutions eg read and write information – so whether a financial institution or bank, you can access and leverage capabilities and services from our core solutions to enhance and accelerate your own innovations and application - A subset of API includes Service APIs - core agnostic APIs eg Libor Transition Calculator or IBAN Validation to enhance app functionality or extend a core service regardless of core product being used - SPIs (Service Provider Interface) are like a reverse API – enables an out-going request, eg NetGuardians relies on our Fraud Risk Analysis SPI to notify them of a Finastra transaction taking place - Event – enables push notifications/messages to the app developer of an event or update - Data Share – facilitates connections using data sets, access to synthetic or real data sets from Finastra solutions to enable data use-cases and data-share capabilities
• #13: Interesting drill down by LoB
• #14: LIVE NOW: We now have over 24 live apps available on the FusionStore, among those include many of our own apps such as: - Fusion Credit Connect – Links SalesForce to Fusion Credit Management Enterprise and Fusion LoanIQ with to provide a powerful data dashboard, supporting RM’s with actionable insights - Fusion Analytics – which aggregates account holder behaviors to help account managers identify opportunities for engagement and growth. The is also a growing number of Fintech apps on the store, the currently include ones like: Allied Bill Payment – which allows consumers to pay bills from thousands of companies within their banking app Robosave from Monotto – which is an analytics based automated savings tool Certified Fed is a US based credit union who is using Allied Bill Payment. Their CIO said it was the easiest integration in all his 20 years with the Credit Union – taking days rather than the usual months. APPS COMING SOON: But expect to see many more apps launching onto the FusionStore over the coming months – we are aiming for over 50 new apps this year, a couple to call out: Net Guardians – AI based fraud detection across multiple types of fraud in all areas of banking Active AI – AI based virtual assistant to provide insights and engagements for Corporate Banking users Kore.ai - Conversation AI chatbot app for basic banking transactions and customer queries Raise Partner – Portfolio optimization for investment management clients
• #15: NOW how did we get there?? - But even before recent changes, the way Financial Institutions were approaching software was already changing… - Organizations of any size can now select the technology model that best suits their business, from building custom infrastructure and software through to differentiation and focus via buying products or connected solutions, through to a model based on collaboration using sandboxes, open APIs and third party capabilities.
• #16: Key learnings for this journey: platforms are growth accelerators – we see that with Finastra, it’s a strategic move we’ve done a ocuple of years ago, and is still today the major transformation initiative we’re heavily investing in Corporate banking and TCM really require this open finance move to transform Key innovation blockers there SMExpertise – knowledge (fintech founder are older in that space!) Access to data OPEN finance will help address 2. and that will drive 1. Open is definitely the way forward in fintech, and though a couple f years ago, we’d still see a couple of reluctant players, today most banks/traditional players are open and collaborating with fintechs in different ways
• #17: Now one last example on the power of OPEN!
• #18: Hackathons!! At Finastra we run lots of these, here you see our Dec-19 global fintech hackathon (pre-COVID!!!) Open the industry data/APIs and challenges to the world – anyone can be a fintech innovator! 1000+ hackers, 38 countries, lots of ideas/projects, and great stories bringing together industry professionals & students
• #19: And now, it’s time for our 2020 hackathon! Looking again to open some of the most urgent challenges of the world (where the fintech industry can play a key role) Building on the success of our 2019 hackathon, with 1000+ hackers from 38 countries, we’re delighted to announce #hacktothefuture 2020 and to invite you to get involved. This year, we go GLOBAL! We go 100% VIRTUAL! And we’re hacking for GOOD. Today there are 1.7 billion unbanked, an SME funding gap of over $5trn and 45 million student loan borrowers facing $1.56 trillion of debt in the US alone Hack to the Future 2020 is all about hacking for good – and we’ve got three major themes. Hacking systemic inequalities, such as removing bias from financial services, Embracing technology innovations that are transforming the financial services industry, like AI/ML, DLT, etc. and hacking through the pandemic, focusing on risk management and growth amid uncertainty.
• #20: Its easy – simply visit www.FusionFabric.cloud, take a look at our API catalog and sign up for a free account to start developing and innovating today. (This would be a good time to switch over to show how easy it is to look at the API catalog and FusionStore on FusionFabric.cloud)