How to get a job in fin-tech, and what exactly is fin-tech? Part I
Before you decide you want to get a job in fin-tech, do you really understand what that means? Broadly speaking, it is the the innovative use of technology in the design and delivery of financial services and products.
Fin-tech is already widely used in areas such as lending, financial advice, investment management and payments. There are two types of companies most active in the fin-tech space: the disruptive fin-tech start ups who are using mobile technologies such as big data and superior analytics and the banks who are massive users of all types of technology.
Fin-tech is fundamentally changing the way in which banks and traditional financial institutions interact with their customers. Finance is considered to be one of the most vulnerable industries to disruption by technology because financial services consists of service offerings and information not tangible products. Tech start-ups can offer similar or better services to banks so there is far greater competition in what was previously a very closed marketplace. Banks, brokers and exchanges have been forced to reduce their prices and offer a wider ranges of services to customers who were traditionally under-served.
At Pathfinder we see four types of technology being most often used in the finance industry: Cloud Storage, Big Data / Machine Learning, Artificial Intelligence
The application of these technologies in the finance industry can loosely be categorized into:
- Bitcoin and Cypto-currencies
- Electronic Trading
- Algorithmic Trading
- Robo Advisory
- Mobile Payments
- On Line Banking
- Crowd Funding / Peer to Peer Lending
In Part II, I will explain how the finance industry is being forced to change because of advances in technology and Part III will cover the types of roles and the skill sets/qualifications you will need to get a job in fin-tech. For an idea of current openings in fin-tech have a look at our website.