The term “robo advising” emerged in the banking and wealth management communities about a decade ago. And, while the term of art “robo” was new, technology simply helped streamline and deliver a time-tested method of model portfolio construction to the masses. Model portfolio construction ensures that representatives recommend consistent portfolios to groups of people of similar ages, Read More
There is no doubt that bank customers of all ages and incomes are moving to digital channels to conduct financial transactions. Use of mobile banking applications to check balances, transfer funds, pay bills and even deposit checks is growing rapidly. Furthermore, more customers are going online to open accounts and apply for loans. But does that mean Read More
Bigger is better may not have been what the politicians and regulators envisioned post-financial crisis but that’s what we now have in the banking industry. In short, big banks in the United States have closed ranks and gotten much bigger over the past decade, while smaller banks have either merged their way into the middle tier ranks, Read More
Meet Brittany. She’s 25 years old and works at her first job. Her paycheck is deposited directly into her checking account. She has a checkbook somewhere in her apartment, as she finds she does not need checks because her bank debit card is tied to Apple Pay on her phone.Back in Brittany’s college days, her parents electronically Read More
There’s been a lot of debate about millennials and their likes and dislikes. I myself cite regular surveys that millennials would rather go to the dentist than visit their bank and that surveys of millennials find no bank brands are desired. In some ways, this gives a false impression, as we have to think that when we refer to Read More
For everything from strategy formation to performance management, banks compare themselves to their peers, and the way they define their peers has often come down to answering a simple question: who’s across the street? New BAI research indicates it’s time to stop asking that question and to completely redefine what constitutes a peer. Doing so clarifies the Read More
How are some banks growing revenue and maintaining target customer service levels without increasing branch staff? The short answer is by using predictive analytics. The key to simultaneously achieving these seemingly conflicting goals is harnessing the insights hidden in the data about branch activity. This includes data about customer arrivals, service times, wait times and details of Read More
In today’s hyper-connected world, the fight against payments fraud, money laundering and other cyber threats is challenging for banks and other financial institutions around the world. While new social and cloud technologies empower businesses and consumers, they also have the potential to be used as smokescreens for criminals. According to the Association for Financial Professionals’ 2013 Payments Read More
When it comes to utilizing technology, small business banking customers are definitely traditional in their preferences: branch visits and personal service still rate highly with them, online and mobile banking less so, and they’re highly fee-sensitive, all of which makes them more costly to serve than retail customers overall. But when it comes to institutional loyalty and Read More
For many banks, improper scheduling on the teller line is one of the biggest silent profit killers in their retail branch network. Because it is difficult to precisely identify exactly what each teller is doing and how this correlates with account holder traffic flow, many financial institutions (FIs) persist in scheduling based on what is available to Read More
