Major financial market trends to look out for in what remains of 2017.
It’s always a risky business making predictions—especially when it comes to volatile financial markets.
Yet it’s important to consider both where your business has come from and what finance trends and influences will be shaping it by the end of the year.
Antiquated and perceivably unstable financial institutions are under threat from the new wave of entrepreneurial minds keen to change the status quo. With this, there is huge potential for change within the established market leaders and opportunities to invest in new start-ups.
The Challenger Banks
With many challenger banks trying to take a slice of the pie with better interest rates, low bank charges, and improved services, they can gain greater traction with consumers who have grave misgivings about the trustworthiness of the established finance houses.
Although the number of consumers switching to challenger banks remains low, the next months will determine the future of these contenders to the throne, as digital banking services and security become more fundamental concerns to the banking public.
Digital Payments
In spite of the increased awareness of digital payment methods and digital currencies usage remains stagnant. A visit to this exclusively bitcoin-oriented sports betting site is a strong indication that digital currencies are solidifying their place in the market
But is 2017 the tipping point for digital payments?
Consumers appear to be optimistic about the idea of using digital currencies, but this year will be found once again to be about steady growth rather than radical adoption.
Innovation of Technology
Banking has become more and more invisible to the naked eye as financial institutions explore more advanced technologies, and financial market trend seems destined to continue. With cloud technology, advanced data analytics and voice controlled devices, banks will become even less of a place that you go to, but more an integrated process of your daily life.
Financial Internet Warriors
Thanks to social media and growing distrust of the mainstream media, there is an opportunity for online contributors to gain influence within the financial market industry.
With non-aligned experts, analysts, and bloggers building relationships with consumers through trust and sound financial assistance, they could become the independent go-to source to discover the top financial market trends and advice.
Regulatory Change
There is a difficult balancing act for regulators to encourage innovation and competition by cutting costs of entry into the finance sector, while simultaneously ensuring that regulations are sufficient to protect investors.
The overall impression is that there will be fewer regulatory and compliance requirements allowing for more startup ventures and increased investment.
Shift to the East
Due to Brexit and the Trump administration, a continued shifting of financial services to China and other Asian investment companies is expected.
The long-time stable companies of the West continue to have an air of volatility about them that has thus far effected Asian markets to the same extent.
Growing Importance of the User Experience
Financial institutions are increasingly aware of the abhorrence consumers have for banking processes causing huge consternation and nuisance.
Look for financial institutions to be more focused on delivering solutions that address key consumer complaints by making the whole banking experience both digital and convenient.
Utilizing the IoT
The Internet of Things offers marketers an immeasurable insight into the consumer mind, and this insight will be made use of to provide a better and more personalized service. It will also likely be exploited in order to up-sell products and services, not just in the financial sector, but just about everywhere.
The Virtual Reality Experience
Similar to digital currencies, VR is taking a more prominent role in our activities. New generations will look to interact on different platforms and banking will no doubt look to engage with consumers wherever they may be. VR presents a tempting financial market trend with which to reach people.
Rise of the Machines
AI is already at the core of financial institutions planning with risk assessment and data analysis, but look for banks to start to employ AI in more consumer-based processes.
Virtual banking assistants are inevitable, and 2017 should be a year of gradual development of the technology rather than an AI revolution.
Change is always imminent in the financial market sector. Even though these predictions are coming late in the quarter—there is no doubt that we’ve missed something significant—but these insights can assist you in steering your company through the upcoming market changes and trends.
