In light of the new UK FCA Consumer Duty policy, product development in the banking and asset management space is becoming increasingly complex and more tightly regulated. This has triggered the demand to invest in the technology able to support, automate and document the product/service lifecycle within a single framework.
Perhaps the most striking characteristic of today’s financial services landscape is its rapid expansion towards new technologies, new use cases and their implementations. The speed of innovation goes hand in hand with growing complexity: year after year, financial technology platforms become more sophisticated – multi-threaded, distributed, handling increasing volumes of data and aiming at faster processing speeds. A wide variety of emerging technologies creates a new reality, in which new approaches and technology solutions reshape existing subject domains and cause a significant requirements shift. To claim their place in the industry, fintech players – technology providers and end-user institutions alike – have to respond to this trend. On the one hand, they need to rapidly innovate in order to keep their competitive edge. On the other hand, organisations must fulfil their obligations to their clients by ensuring the reliability and robustness of the solutions they build.
DLT is rapidly claiming its place in the global fintech landscape, penetrating the most critical industry use cases. The multitude of DLT frameworks available brings not only the promise of more financial freedom, but also the challenge of harmonising them from the technical, as well as the regulatory standpoint, to truly guarantee transaction security and transparency. If not taken into account, these aspects could result in DLT jeopardising the payments ecosystems both nationally and internationally. Setting up a single inter-DLT framework seems like a viable solution to address the risks and allow more users to access the technology.
Exactpro is happy and honoured to help our clients on their innovation journey. In recent years, many technology transformation initiatives within financial market infrastructures have been undertaken based on Agile methodologies.
In this document, we outline the Exactpro team’s view on software testing services provided in an Agile environment.
Distributed ledger technology (DLT) innovation is an important trend shaping the financial services industry. It’s no surprise that under the pressure of ongoing overall digital transformation, many financial institutions are keen to adopt DLT in development of their platforms. However, when the innovation is introduced on a scale of a major capital market participant, its potential impact is likely to be shared by a larger financial services community. To facilitate the smooth transition towards the emerging technologies, the regulatory bodies require systemically important financial market infrastructures to ensure that while innovating, they also stay operationally resilient.
"Never invest in a business you cannot understand," – the famous quote attributed to Warren Buffett also holds true for fintech innovation and may suggest that lack of knowledge about your technology assets can put your digital transformation budgets at substantial risk.
