Fintech and Proptech
In a recent speech at the International Fintech Conference, Mark Carney set out the importance of developing hard and soft infrastructure to fuel the UK’s dynamic Fintech sector. He sees the promises of Fintech as democratising financial services, lowering transaction costs and developing greater systemic resilience. Pointing to the fact that most innovation to-date has taken place in payment services (e-wallets etc), Carney notes the potential for other areas of the financial services value chain to be disrupted: customer services (robo-advisors), retail banking (P2P lending), wholesale banking (high frequency trading) and settlement infrastructure (distributed ledger / blockchain). Whilst Proptech has not yet delivered significantly on its promise, the combination of high value transactions and market opacity surely makes it a significant target. Learnings from Fintech have the potential to accelerate this progress over the coming years; hence developments in this sector are worth a watching brief.