Archive for the 'Uncategorized' category

Protecting Your Personal Financial Information (PFI)

Jul 14 2020 Published by under Uncategorized

Individuals and SMBs (Small/Medium Businesses) look to the Financial Services Industry to help them invest in their economic futures. Managing funds and controlling monetary risk are what these financial professionals do, yet sharing your information with a financial specialist has an amount of risk itself.

What types of information are shared? When accounts are opened or transferred as an individual or SMB, personal identifying information is inevitably transmitted between you and your financial services representative (and sometimes their support staff). This information includes and is not limited to:

  • Name
  • Address
  • Social Security Number
  • Account Numbers (e.g. when doing a rollover or transferring banks or credit cards)
  • Date of Birth
  • Employment History and Income
  • Current Assets and Portfolio information

Much of this information is done in person or online via a secured website, but often SMBs and individual clients look to their brokers, account representatives and customer service personnel to answer specific questions to their accounts. More and more, these information transactions take place electronically.

How can client information be at risk if the paperwork is taken care of safely in person or via a secured web process? Personal financial information (PFI) can be compromised as a one-on-one relationship with your financial services professional grows and builds. Sometimes connecting with a financial services firm is done on the phone, other times via email. It’s the security of email communication between client and firm/organization where your PFI is put at risk.

A quick question or message sent off to a financial services organization appears to instantaneously pass from your computer to the recipient’s inbox. In reality, email messages make transitory stops along the way. As emails are directed by proprietary servers to their final destination, messages which arrive at each of these stops are often stored, and sometimes copied or even scanned before being sent on to their final destination. Email security goes beyond being aware of the current phishing scheme, where unscrupulous data thieves pose as someone from your trusted financial institution. Information interception isn’t just about who forwards your message on, but is also about who may seize that message when it’s en route.

Financial firms though guided by government acts, restrictions and guidelines sometimes don’t appear to have concrete policies when dealing with email between client and the firm’s employee. Compliance and risk officers to who manage the firm’s policies must deal with nuances outlined by Sarbanes-Oxley, Gramm-Leach-Bliley Act, and Securities and Exchange Commission (SEC) regulations. Each of these governmental mandated policies dictate how your personal financial information (PFI) is handled digitally, but don’t delineate the best method of PFI protection.

Andy Purdy, acting director of the National Cyber Security Division of the Department of Homeland Security in a February 2006 interview with CNet/News.com identifies the importance in protecting PFI and other important digital assets:



“I think consumers and small businesses and large enterprises and the government are all important when trying to reduce the cyber-risk. We’re trying to raise awareness with partners of the responsibility and techniques consumers can use to help secure their systems.” (1)

A client’s PFI is a commodity which can be bought and sold on black market data warehouses. Digital thugs look to harvesting email information in a variety of means. What can individual clients and SMBs do to ameliorate the situation while staying connected to their financial services firm? Data encryption easily facilitated process of securing sensitive information like PFI. If one of these black market digital thugs happens to intercept an encrypted message (unless they have somehow gotten the encryption keys) they will not be able to decipher the message. If the email thug attempts to break any one of the commonly used encryption algorithms, they likely wouldn’t be able to do so within their lifetime.

Business owners and individual investors can work a lifetime to become financially successful and stable. Having sensitive information like one’s PFI at risk via email can shatter that financial stability.

Risk in communicating with these services can be contained through being aware of email risks, phishing scams and using encryption tools to secure financial communiqué. Though quite broad in nature, Financial Services in each of its facets as lender, investment manager or funding arm can take an additional step in their client’s economic success. Using encryption tools enables the individual client or SMB to stay in close contact with these stewards of their financial future.

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End Notes:

1.) Joris Evers, “Newsmaker: Locking down America’s Net defenses” 16 February 2006, CNet New.com – http://news.com.com

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Things You Must Know About Financial Services

Jul 14 2020 Published by under Uncategorized

Financial services refer to the services provided by the finance industry. Also, this term is used to describe organizations dealing with the management of money, like credit card companies, insurance firms, investment banks, stock brokerages, and banks. These are the types of firms that compromise the market, providing a wide range of investment and money-related services. In terms of earnings, financial services are considered the largest market resource in the world.

Important Things You Must Be Aware Of

Generally, these services are not limited to the field of deposit-withdrawal, investment, and loan services; but rather in the fields of estate, securities, insurance, trust services, and all forms of financial intermediation like the distribution of financial products as well.

Every day, the needs and expectations of consumers are growing. Hence, making the mark in boosting personal wealth becomes a necessity. Intense competition has cuddled market margins as well as forced plenty of companies to cut costs whilst improving the quality of customer choice and service.

As most organizations are striving to be more entrepreneurial and innovative, the war for talent is escalating. And as the products become more complex and the business environment more uncertain, the risks increase. At the same time, rules and regulation are the tightening highlight within the reach of government and public pressure for improved transparency, supremacy, and accountability.

Today, the winners are those firms transforming the challenges into opportunities to establish more enduring and stronger customer relationships, unlock creativity and talent, and to sharpen their process efficiency. Apart from that, these companies also view these challenges as a means to boost their risk management processes so they can deliver more sustainable returns. Furthermore, they use used regulatory demands as a catalyst for improving market confidence and strengthening the business.

The challenges in the financial services market are indeed forcing the participants to keep pace with technological advances, as well as to be more efficient and proactive whilst reducing risks and costs.

Today, there are already a lot of companies working hand in hand with reputable financial organizations around the world to develop a very sound networking strategy for connecting firms with suppliers, employees, partners, and customers.

Indeed, the financial services market is dynamic and diverse. There are plenty of important things you must be aware of to better understand how such industry operates. It is certainly an ever-changing, high-growth, and versatile market. Businesses with various needs must know that such market offers several selections of suitable financial services.

To have a clear understanding of what financial services your business need now, consider hiring the best financial advisor now.

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5 Ways to Promote Your Financial Services Blog

Jul 14 2020 Published by under Uncategorized

Wouldn’t it be nice if all you had to do was post great content and then let the internet do the rest? Yes. But it wouldn’t it be convenient for your competitors, too?

Because successful promotion takes time, effort, and skill, developing superior promotion skills is another way to get ahead of the competition.

If you’ve worked hard on your content strategy and content creation, it makes sense to shout it loud and proud. How you do this depends on a number of factors, including how much time you can dedicate to promoting your blog and what industry you are in. As a general rule of thumb, you should spend at least as long promoting your blog posts as you spend creating them.

How do you do this? Here are some of our favorite and best ways to promote your financial services blog.

1. Find the Players in Your Niche

If you can associate yourself with the top people in your field, this improves your perceived authority and how likely people are to trust you. It also makes a good impression on Google and other search engines. Ideally, you want to get a link to your site from a top site on the web.

Ask an influencer for a quote – this is a good way to make contact with the top players in your field. They become aware of you and, if they agree, their followers become aware of you too because they are very likely to link to you whether on their site or via social media.

Mention your expert sources – When you create content, make sure to mention any experts whose work was influential. Tell them that you mentioned them and they are likely to re-share the content to their network.

Direct message influencers – the bigger they are, the more email they will get. To make you and your business stand out, offer something that they will find helpful. You don’t need to feel awkward about contacting someone when you are helping them or their business.

2. Post Content on Social Media

Social media promotion is a cost-effective way to increase leads. According to a LinkedIn study, 63% of mass affluent customers said they acted on a financial product or service after learning about it on a social media platform. And according to HubSpot, lead conversion rates are 13% above average through social media.

By being active on social media, you can increase brand awareness. Engaging with your chosen platforms also gives you the opportunity to manage negative comments promptly. With skill, businesses turn negative comments into opportunities to demonstrate their integrity and professionalism.

It’s worth regularly crafting content specifically for social media, rather than only ever posting links back to the content that’s on your blog. Provide compelling, tailored content, and show your social media followers that you care. The result will be increased shares and better brand awareness.

3. Use Social Media Targeting

Via platforms like Facebook and Twitter, your business can use algorithms to target your ideal customers.

This means that you don’t need to go wide with your promotional material, which risks irritating people for whom this material is irrelevant. By using social media’s advanced targeting capabilities, your content will not only reach the people who need it, but they will also be grateful to you for providing it.

While advertising via platforms like this amounts to paying for traffic, this is not to be confused with buying an email list or buying leads. These latter activities are likely to end in loss of money with very little return because the overwhelming majority of people who would receive these mailings won’t want them. Paying for targeted ads on social media platforms, however, allows you to take relevant, targeted traffic from the big players and diverts it to you.

4. Remember that Social Media Works Two Ways

To get ahead, it’s critical to remember that social media is social. It’s not just a place to post promotions and advertisements. Engage with your customers. By being personable, you differentiate your product from your competitors and build trust, which is so important in the financial services sector.

Monitoring and engaging with social media also gives businesses an invaluable opportunity to learn about their customers and how to serve them better.

If you’re not yet getting comments on your blog, don’t worry. This is not so unusual. Wherever you do get customer engagement, however, make sure you are there.

And remember that you can start conversations. Ask questions and be interested in your customers. A lot of what you will be doing to promote your website is learning about your customers to satisfy them better.

5. Become a Thought Leader

Becoming a thought leader doesn’t happen overnight. Success will be one step closer, however, if you start now.

How to do it?

Share information that your online community needs to know. This includes industry updates and advice, demonstrating that you are informed, but also authoritative and helpful. It’s best if you generate most of this content yourself, but you can also curate content from other sources and create useful resources too.

Thought leaders use their experience and expertise to make insightful predictions about the future of their industry. When something new happens, make sure that your business expresses an opinion or explains and analyzes what is going on.

Follow the blogs of other thought leaders and make valuable comments on their posts. Over time, they will be checking out your blog to see what you have to say on important matters.

If you can be controversial or say something that everybody else has either overlooked or is afraid to say, this will help your business get noticed. By being bold and pushing conversations into new territories, you can earn a reputation as a player with something to say.

Find an influential community and join it. Answer group questions to establish yourself as an authority and to make waves with other influencers and followers. Quora is also a good place to establish yourself as an authority and build your reputation and trust.

Promoting your financial services blog is much more than just promotion. Done right, it will help you to learn more about your customers, develop your brand’s authority and trust, and differentiate your offering from everybody else in the market.

If you’re blogging, make sure that you are also promoting and make the most of your opportunities to connect with customers.

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Banking and Financial Services – Essential Part of Everyone’s Life

Jul 14 2020 Published by under Uncategorized

Banking and Financial Services

Nowadays, Banking and Financial Services are an essential part of everyone’s life. Every day people use different types of banking and various financial services. Some examples include paying utility bills or insurance premiums, shopping online or through Debit/Credit Cards. These technology driven banking and financial services have simplified transactions and made life easier.

Why Banking and Financial Services?

No one is left untouched by the impact of money. We all have to rely on banking and financial service providers for effective use of our money. Be it lending, investment, or insurance, people need to depend on banking and financial service providers.

Life in the digital age has become somewhat more secure and simpler through the implementation of beneficial banking and finance practices. Different banking services provided by major banks like personal banking, enterprise banking solutions, and investment consultancy help investors properly utilize their money with the aim to grow and gain future financial benefits. There is protection which consumers may be able to obtain to ensure that your investments are protected. Insurance companies provide protection from several uncertainties that may come without notice. Life and non-life insurance covering all kinds of emergencies give people peace of mind.

Apart from that, several financial institutions provide consultancy for the right of investment so that your money is invested in the right place and your can enjoy the maximum possible benefits on your invested money. Your investments may also help in tax savings and other economic benefits.

Credit Services – Economic Relief When You Are in Need

Credit/lending services are among the most popular segment of modern banking and finance industry. We come across several situations in life when we face some sort of cash crunch at a crucial moment in life. Its times like these when banks and lending institutions come to the rescue by offering various credit schemes and loans. In addition to this consumers may also need credit to turn their dreams into reality (like buying a luxury vehicle or a dream house). This is where banking institutions can also assist us.

Credit services may help people by increasing our quality of living. Banks and lending agencies provides credit for almost every need. You can get loans not only to purchase a dream house, or luxury vehicles, but also for emergency medical treatments, higher education, or even a loan for a wedding.

In summary, different types of banking and financial services are an essential need for everyone. One cannot expect to live a comfortable financial life without the right banking and financial services assistance and security.

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Do Financial Services Agents & Brokers Need Wakeup Advice?

Jul 14 2020 Published by under Uncategorized

Agents in the financial services sector play a crucial role in sustaining the business. Financial services encompass broad sub verticals like – banking, insurance, and investment funds companies where their crucial role like building relationships and getting business volumes cannot be underestimated.

Personalized sales are the approach set by agents and brokers for decades. They carry a lot of information on products, markets, and prices. But after the IoT, big data and analytics came to the center stage, it became imperative for agents and brokers to stay relevant. The mobile customers supported by mobile workforce of businesses are posing existential threats to agents and brokers. Many may wonder – is this the end of the road for brokers and agents?

Financial services honchos may consider eliminating the role of agents attracting new prospects with reduced premium or discounts. But wait a bit more before you send the execution order as they have the firepower still. It is into this area focused study is required.

Can Agents Stay Relevant?

Now the question before us is, are agents and brokers relevant? First of all they have time tested relationship with a large number of accounts whom they assiduously nurtured. Today, the brokers themselves are mobile and know the IT tools to nurture their audience. With the help of IT apps on their mobile they go for client acquisition faster. In this process, they:

• Contact their prospects and educate them about the products.

• Provide valuable pieces of advice on most feasible product for them.

• Evaluate the performance of securities.

• Build relationship after gaining an understanding on every aspect of customer relationships.

We are coming to the important aspect. Today technology obsolescence is making the role of agents irrelevant. To some extent it is true if the mobile customers make a total shift from agents and have direct interaction with the company. But the question is how feasible is that idea. We all know in our busy schedules, giving priority be it paying premium or buying stocks may not be appealing to all with a few exceptions. The reason behind this is people are not that self motivated and agents step into this gap with their relationship nurturing skills.

In areas like spending money people are little scary as well as slow decision makers. This cannot be construed as weakness but in fact it is wisdom as sensible ones do lot of research and thinking before they take the plunge. What does this mean for the financial services sector? Financial sector services may be enthusiastic about IT tools which helps the customers to take informed decisions. But what is the exact scenario? People will do all research with the tools on mobile but many will be unlikely to take the final purchase decision because there is a need for a resource person to give relevant and contextual information on products and services. This should be followed by the ability to close the deal once the curiosity level is raised to the highest. Who can replace agents or brokers who had been doing this for decades?

So, now the readers might have understood the value of agents in clinching the deal. Getting business is not an ordinary deal. It requires a lot of effort, constant follow up on clients to arrive at a decision. Just SMS alerts won’t do the trick. Having said this, let us consider how the agents can be used creatively with technology in this era of technology disruption. We also need to consider how agents can be empowered with technology and how.

Agents Can Be on Survival Mode with IT Tools

To survive in today’s volatile markets, what is most needed is actionable information. Agents who are working overtime in building relationships and closing deals definitely require latest IT tools, to be specific BI, big data and analytics tools to take key decisions. In the case of insurance, BI tools can help the agents and brokers to derive key insights on customers and understand their inclination to offer customized products or solutions. BI dashboards will help them to manage relationships effectively. So is the case with banking and investment companies who hire third parties for business development.

Application of analytics comes in different areas like content analytics, context analytics and business analytics. In content analytics unstructured data like call center logs, sensor data, audio, video data can be analyzed to track trends, customer responses, etc. In context analytics data is analyzed to understand the context which is vital to take context based decisions. In business analytics patterns, behaviors or trends are discovered through statistical analysis. Last but not least is predictive analytics where application of techniques like statistical analysis, regression analysis, correlation analysis, cluster analysis, social media analytics etc., are applied for new product development.

Agents are catalysts in information gathering as they move with people and trigger discussions on products and services. Because of this stronger reason, one cannot conclude that agents are on their way out in the disruptive technology era. But at the same time agents should take recourse to IT for their survival as well as the survival of financial services businesses. Let time tell the rest.

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De Lage Landen Financial Services

Jul 14 2020 Published by under Uncategorized

DeLage Landen Financial Services, Inc. (DLL) is currently involved in several lawsuits filed in the courts of Chester County, Pennsylvania. If you are the victim of one of these DeLage Landen lawsuits, there are some things that you should be aware of in regard to DeLage Landen’s business practices and how they relate to the lawsuits being filed.

DLL is a “lease financing” company based in Wayne, Chester County, Pennsylvania. Normally in a lease financing deal, the lessee, typically a small business or non-profit, contacts a local vendor to lease a piece of equipment – be it an office copier, or piece of medical equipment – and the vendor then shows the lessee the equipment and describes its features. When the lessee decides that they are interested in purchasing the equipment, the vendor uses the lessee’s credit score and credit rating to obtain financing, in this case from DeLage Landen Financial Services. This is not “financing” in the strictest sense of the word in that DLL actually buys the equipment and immediately leases it to the lessee. The problem is that often times the lessee often does not realize that they are not dealing solely with the vendor. If fact, it is possible that DLL will use the assumed name of a different financing company which may be very similar to that of the vendor and DLL’s name does not appear anywhere on the leasing documents signed by the lessee.While this practice may seem deceptive, it is actually quite common in the lease financing industry.

When a company or non-profit is sued by DLL for non-payment, this may be the first time they aware that their contract is with DLL. Many of the companies sued by DLL are not based in the state of Pennsylvania, have never done business in Pennsylvania and never transacted with an entity in Pennsylvania. They are surprised to learn that they can be sued in the Chester Court of common pleas, usually due to “floating jurisdiction clause” which customarily appears in the lease. While these clauses have routinely been upheld by the judges of the Chester County Court of Common Pleas, it is possible, depending upon the lease to have the case dismissed by the Pennsylvania Courts.

The lawsuits DeLage Landen Financial Services files in the Chester County Court of Common Pleas are usually based on Breach of Contract, Conversion, Replevin – also known as claim and delivery – a way for a person or company to recover goods unlawfully withheld from their possession, and other various claims. If you have been sued by DeLage Landen Financial Services, Inc. in the Chester County Court of Common Pleas, it is important that you speak to an attorney who is experienced in defending these suits. The leases used by DeLage Landen Financial Services, Inc. are usually structured in such a way as to be favorable to DLL; there are still viable defenses that can be used, including claims against the vendor who helped structure the transaction.

If you are involved in a lawsuit brought by DeLage Landon Financial Services, Inc., contact a competent Chester County Lawyer to discuss the facts of your case and prepare a defense against the claims that you face.

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Will FinTech Bring Revolution in the Financial Services Industry?

Jul 14 2020 Published by under Uncategorized

When it comes to customers, experience is everything. Customers don’t differentiate between small organizations or larger ones, nor differentiate between channels, once they enjoy the best level of satisfaction and best quality service then, they expect same kind of experience from a small firm as they do a larger one. While larger organizations with deep pockets can afford digital transformation initiatives but not all businesses enjoy such luxury.

For such organizations that are constantly looking for ways to turn business dream into a reality, FinTech is a beacon of hope that opens the door to new business possibilities and elevates customer experience with high end solutions that they could only dream of before.

They say technology is a great leveler and there can’t be a better example than FinTech because banking services what was once a domain of banking and financial institutions has seen much start-up players in this space competing with the large and established banking corporations. But this isn’t to say the traditional banking institutions are falling behind in the digital race, because they certainly in the race. But banks because of their legacy systems and regulatory frameworks are slow to change and can’t leverage emerging technologies as quickly as FinTech companies. Here are some of the ways technology brings revolution in the financial services industry:

Go where your customers are:

No one took this more seriously than FinTech companies because they knew the present day generation is online all the time, thanks to smartphones that have completely changed their expectations. Online, social and mobile technologies have created new opportunities for FinTech companies to engage with their audience and digitally handle interactions more effectively, with personalized services and relevant information delivered directly to devices. Traditional banks should pick up fast, when it comes to attracting customers because consumers are expecting a lot, and they want the same kind of experience they are getting from Amazon, Facebook etc.

Digital Wallets: Money exchange never got this easier

What is common among PayPal, Paytm, GooglePay and ApplePay allow you to send any amount to anyone with the click of a button without visiting bank, something not possible few years ago. Mobile payments or peer-to-peer apps have completely changed the way users handle money today. No wonder most smartphone users regularly use mobile payments apps because they are simple to use, offer convenience, flexibility and much needed security. What more, these P2P apps have brought anytime, anywhere banking services to its consumers and in a cost effective way.

Reaching unbanked and under banked

Don’t have time to go to the bank or tired of standing in long queues outside ATMs, then you have a good reason to use mobile money apps. But there are many people, especially those in rural areas; access to banks and ATMs is a remote possibility. For such mobile money apps offers tremendous opportunities to make cashless transactions and enjoy banking services from the comfort of mobile. FinTech is bridging the gap by helping unbanked and under-banked gain access to banking services.

Disrupting traditional lending

For several decades the traditional lending process was characterized by filling up loan applications forms, submitting a variety of documents, and there’s little chance of a swift response, and even after all this time there’s no likelihood that you will get a positive response. And even if everything goes right, you’re unlikely to receive the funds anytime sooner.

But all this is a thing of past, thanks to FinTech solutions borrowing money got easier and quicker. No more do you have to visit the bank, do a lot of paper, and wait for days to listen the good news. Borrow money in hours what used to take weeks or even months without all that stress and tension, all from the comfort of home. The digital technology is at the heart of peer-to-peer lending success and that has enabled FinTech players to keep costs to a minimum and offer products and services tailored to meet the needs of specific target groups. P2P lending is one such solution that promises to provide a lot of benefits for both for both borrowers and lenders.

Financial technology is a new kid in the financial industry block but it has already become changing face of the financial industry. But as with any technology FinTech is far from perfect and there are several factors like security that will determine its growth trajectory.

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5 Tips to Choose the Best Financial Services Company

Jul 13 2020 Published by under Uncategorized

Investing in numerous financial instruments is regarded as a good way of generating income every year. But it is sensible to get proper guidance from financial companies prior to taking any decision in financial and investment instruments such as mutual funds, stocks or bonds. These days, you can come across lots of professional companies offering financial services. They offer feasible and expert advice to people in matters of financial planning. You can use the following tips to choose the best financial company.

Look for a strong local presence

Before you enlist the services of a specific firm, you need to ensure that it has a strong presence in the city that you live in. Make sure that it has been practicing for many years. If it has been in practice for quite a few years, you can be more or less sure that its financial advisors have enough experience and knowledge. It is also important for you to take the vision, leadership, integrity and experience of the management team into account. This will ensure that you are going for a company with a proper direction and foundation.

Check whether it is a licensed operator

You should also make sure that the agency has got license from the concerned government as well as permits from relevant regulatory authorities in the nation. Ask for recommendations from friends and known ones in the city to verify the authenticity of the company. Go through reviews in trustworthy magazines or search for information about the firm in online blogs and discussion forums. You should also go through the company portfolio and find out about its present and past clients. You may call up a few of these clients and get their feedback about the services of the firm.

Look for one that offers multiple services

A good company usually offers a multitude of services to its clients. At anytime possible, you need to look for an agency which offers a plethora of services, such as auditing and tax consultation, investment banking, expert advisory services, asset management, research and advisory services, wealth management, business banking services, mutual funds investment and more. You can get a lot of convenience and huge cost advantages by availing varied services from one agency.

Trust your gut feeling

Above all, you should trust your own instincts and gut feeling. Talk to the company representative and financial advisors working in the agency. Do they seem interested to listen to what you have to say, or seem more eager to force their services on you? A good company never forces opinions but leaves the final decision on the clients, always. It only suggests and advices you about proper investments on the basis of the knowledge and past experience of its advisors.

Go through the contract properly

While choosing a financial services company, you should not sacrifice on the guarantees at any time. Always have a detailed contract that clearly underlines and details the expectations from your end, as well as that of the company. Go through the contract properly to avoid risks of hidden expenses in future.

To know more info log on to: http://www.ashikagroup.com

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Financial Investment Services

Jul 13 2020 Published by under Uncategorized

Financial Services

Financial Services is a term used to refer to the services provided by the finance market. Financial Services is also the term used to describe organisations that deal with the management of money. Examples are the Banks, investment banks, insurance companies, credit card companies and stock brokerages.

It is part of financial system that provides different types of finance through various credit instruments, financial products and services.

These are the types of firms comprising the market, that provide a variety of money and investment related services. These services are the largest market resource within the world, in terms of earnings.

The challenges faced by the these Services market are forcing market participants to keep pace with technological advances, and to become more proactive and efficient while keeping in mind to reduce costs and risks.

These Services have been able to represent an increasingly significant financial driver, and a significant consumer of a wide range of business services and products. The current Fortune 500 has listed 40 commercial banking companies with revenues of almost a $341 trillion, up a modest 3% since last year.

Importance of Financial Services:-

It serves as the bridge that people need to take better control of their finances and make better investments. The financial services offered by a financial planner or a bank institution can help people manage their money much better. It offer clients the opportunity to understand their goals and better plan for them.

It is the presence of financial services that enables a country to improve its economic condition whereby there is more production in all the sectors leading to economic growth.

The benefit of economic growth is reflected on the people in the form of economic prosperity wherein the individual enjoys higher standard of living. It is here the financial services enable an individual to acquire or obtain various consumer products through hire purchase. In the process, there are a number of financial institutions which also earn profits. The presence of these financial institutions promote investment, production, saving etc.

Characteristics:-

Customer-Specific: These services are usually customer focused. The firms providing these services, study the needs of their customers in detail before deciding their financial strategy, giving due regard to costs, liquidity and maturity considerations.

Intangibility: In a highly competitive global environment brand image is very crucial. Unless the financial institutions providing financial products and services have good image, enjoying the confidence of their clients, they may not be successful.

Concomitant: Production of these services and supply of these services have to be concomitant. Both these functions i.e. production of new and innovative financial services and supplying of these services are to be performed simultaneously.

Tendency to Perish: Unlike any other service, financial services do tend to perish and hence cannot be stored. They have to be supplied as required by the customers. Hence financial institutions have to ensure a proper synchronisation of demand and supply.

People Based Services: Marketing of these services has to be people intensive and hence it’s subjected to variability of performance or quality of service.

Market Dynamics: The market dynamics depends to a great extent, on socioeconomic changes such as disposable income, standard of living and educational changes related to the various classes of customers. Therefore financial services have to be constantly redefined and refined taking into consideration the market dynamics.

Promoting investment: The presence of these services creates more demand for products and the producer, in order to meet the demand from the consumer goes for more investment.

Promoting savings: These services such as mutual funds provide ample opportunity for different types of saving. In fact, different types of investment options are made available for the convenience of pensioners as well as aged people so that they can be assured of a reasonable return on investment without much risks.

Minimizing the risks: The risks of both financial services as well as producers are minimized by the presence of insurance companies. Various types of risks are covered which not only offer protection from the fluctuating business conditions but also from risks caused by natural calamities.

Maximizing the Returns: The presence of these services enables businessmen to maximize their returns. This is possible due to the availability of credit at a reasonable rate. Producers can avail various types of credit facilities for acquiring assets. In certain cases, they can even go for leasing of certain assets of very high value.

Benefit to Government: The presence of these services enables the government to raise both short-term and long-term funds to meet both revenue and capital expenditure. Through the money market, government raises short term funds by the issue of Treasury Bills. These are purchased by commercial banks from out of their depositors’ money.

Capital Market: One of the barometers of any economy is the presence of a vibrant capital market. If there is hectic activity in the capital market, then it is an indication of the presence of a positive economic condition. These services ensure that all the companies are able to acquire adequate funds to boost production and to reap more profits eventually.

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How Artificial Intelligence (AI) Is Disrupting Financial Services

Jul 13 2020 Published by under Uncategorized

With big data software companies and cloud providers using up a large amount of data, there has been a substantial increase in the practical application of AI.

Artificial intelligence is already being applied in a lot of fields to perform a specific task such as medical diagnosis, remote sensing, electronic trading and robot control.

Financial institutions have longed used an artificial neural network to detect system changes and abnormal claims while alerting and flagging them for human to investigate.

Many banks are making use of artificial intelligence systems to maintain book-keeping, organize operations, manage properties and invest in stock.

Artificial intelligent defined as a theory and development of computer systems to perform tasks normally associated with humans such as decision-making, visual perception, and speech recognition has been in existence for a long time.

With advancements in computational hardware, big data, and machine learning, artificial intelligence is becoming more powerful and useful every day.

Recent advances in artificial intelligence have ushered in a new era in finance and within a short period of time, big data and machine learning have yielded breakthrough that resulted in improved customer experience and productivity.

Software plays a huge role in this breakthrough and there still remain a lot of challenges to solve. There is a need for software to be designed and optimized to fully take the advantage of the features of the underlying hardware to improve performance. There is also need for libraries, framework and other tools to be streamlined in other to accelerate the development process. Some of these problems have been solved because of the advance in GPU.

Here are a few areas in finance that artificial intelligence is already having an impact:

• Financial service providers and banks are deploying AI to help predict and plan the way customers manage their money and thus making AI an integral part of business development strategy.

• The capability of smart machines to turn data into customer insights and improve services is transforming the digital experience. By utilizing complex algorithms and machine learning, AI can process thousands of structured and unstructured data points and because finance professionals heavily depend on data, this capability can significantly impact how they do their jobs.

• Auditors feel freeing of responsibilities due to automation potential provided by artificial intelligence. They are using AI to automate time-consuming and manual activities, giving them time to focus on more important job. AI can help auditors to review contract and document faster by employing machine learning technology that can find key phrases from documents that take a lot of time to decipher or interpret. Currently, AI can process language in a document and produce relevant results, this has played a crucial role in improving productivity.

• Data-driven management decision at low cost is ushering in a new style of management and in the future, managers will able to question machines instead of human expert. Machines will analyze data and make a recommendation that team leaders will base their decision upon.

• Embedded application in end-user devices and financial institution servers can analyze a large volume of data, providing customized forecasts and financial advice. Applications like this can also help to track progress, develop financial plans and strategies.

• Personalization is a major area where many banks are already experimenting with various ways to match services and products for customers. AI can help customers to simplify money management process and make a recommendation for upgrade by matching algorithms.

In conclusion, financial service providers need to pay attention to AI as the technology continues to evolve and become more mainstream. The way businesses innovate and implement major strategies are shifting, corporate organization needs to embrace AI in other to fully take the advantage the trend.

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