Fincite and ABN AMRO showcase their successful cooperation at Finovate London

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How will Investment Advice and Portfolio Management in a digital age look like? Based on Fincite.CIOS, ABN AMRO and Fincite have implemented an Automated Advice Engine that empowers investment advisors to work more efficiently.

How will Investment Advice and Portfolio Management in a digital age look like? Based on Fincite.CIOS, ABN AMRO and Fincite have implemented an Automated Advice Engine that empowers investment advisors to work more efficiently, follow compliance requirements but above all offering more time to give the best advice to their clients. The solution had its Go-Live end of 2018 and will be rolled out in several countries within the ABN AMRO Group.

As the leading FinTech Conference in Europe, the Finovate is an excellent platform to showcase leading innovations. Maarten Heyboer (Business Developer for Investments at ABN AMRO) points out: “Automated Advice allows our investment advisors to quickly provide accurate financial advice and individually optimise portfolios providing a completely new User Experience for our Advisors and Customers. Further, the partnership with Fincite is an exemplary showcase of how cooperation with a FinTech and agile development processes leads to fast and high-quality outcomes for a large corporate like us; ABN AMRO.”

Friedhelm Schmitt (Co-CEO of Fincite GmbH) states: “Financial Advice is becoming more and more complex by the day. Financial Advisors spend more time on regulatory and compliance tasks instead of doing what they can do best: giving advice. This leads to the situation where people end up being, what we call, “financially under-advised”. Technology can help to solve some of the biggest financial problems we as a society face. Well-used it can improve portfolio performance and diversification, increase individuality in advice, ensure compliance and close retirement gaps. ABN AMRO is sharing this vision. Thus, our successful partnership is an amazing case of product innovation based on our CIOS-Engine.”

Here the full demo of Fincite.CIOS:

Beyond PSD2 – Why Europe needs a better data infrastructure for Robo Advice

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Innovation requires Infrastructure

Innovations require infrastructure. Transportation services need streets. Software innovations need devices. Uber needs mobile internet. Intelligent Software needs Data.

As you might know we at Fincite are providing an Investment Software enabling financial institution to provide digitally-empowered advice to their customers.

 

Digital Financial Advice requires data

To provide best quality advice, a 360° view on the customers financial is a great benefit. And times are good for this. Based on technology, market data available and regulation (PSD2), it became possible to connect (almost) all financial assets & positions digitally.

So, we incorporated Accounts, Real Estate, Pensions and Insurances into our Investment Software.

2017, we went beyond Germany and started in several further European countries. Here’s what we learned.

 

Europe is not Europe (yet)

First thing you learn: Each country in Europe is different. While often, the same regulations such as PSD2 and MiFiD II are in place, the historic evolution of the technologies are way different.

Take account aggregation. You are tempted to think: “It’s PSD2. So, it’s all the same for EU Countries, right?” A clear: “No!”. Next to different technology interfaces, many countries differ in their 2-Factor-Authentifications (2FA). Different aggregation vendors such as our partners of figo are solving the challenges resulting from different techniques. From screen scraping to API to App disintermediation, the approaches vary largely.

When It comes to Pension even regulatory implementations vary largely. In the UK, the Nordics but also the Netherlands you can see your current corporate and state pension on websites – often called Pension Dashboard. Digital. This can be a great start to advice. a customer on his retirements. In Germany, there is no API, no Dashboard, in sight.

Real Estate is again a different issue. Countries are following different price evaluation standards in different countries. Transmitting a valid pricing estimation on real estate can help, to provide a more holistic advice.

And, let’s not start with Insurances and standards like BiPro. This blog post would get too long. 🙂

 

So… How to move on?

We learned fast, that while our Technology is scalable beyond borders, different data infrastructure demands different processing. So, we decided to take this as a challenge to reduce our onboarding time for each country by professionalizing the country-specific Data Source Selection & Onboarding Process.

Last year we started in the Netherlands. This year in Belgium, Switzerland and Austria. We are working with local customers and partners on enabling the fundament holistic financial advice in these countries. For Q4, we are currently in talks with customer at 3 further European countries.

If you are a customer or partner in the countries mentioned above or in another European countries… let’s get in touch.