Leading Technologies Driving Changes into Capital Markets

By CIOReview | Monday, July 15, 2019

Emerging technologies are making a beeline, and the adoption of these create an exciting and encouraging scenario for capital marketers. 

FREMONT, CA: Capital markets have seen an enhanced adoption of disruptive technologies in the current times. The need to thrive in a competitive market and to perform as per customer expectations has given organizations the push towards this transformation. The long term benefits that companies get out of technological expansion to have become apparent, and hence, investing in the following technologies is becoming the norm.

• Data Analytics

The enormous potential of applying analytics in capital markets are out in the open. Being a data-intensive industry, it can leverage data to various effects, including a better understanding of customer expectations, better risk management, and better fraud detection. Actionable intelligence, obtained through data analytics, can make a massive difference to a company's profitability.

• Cloud Computing

Data processing and computing abilities improve vastly with cloud computing. Cloud computing is cost-effective and makes processes and functions agile and flexible. These abilities of the cloud, in addition to reduced apprehensions about security and risks, have made cloud computing an appealing option in the capital markets. Scalability and mobility though cloud computing enables companies to streamline functions.

• Artificial Intelligence

Industry experts predict a rapid adoption of artificial intelligence technology across most financial institutions. The technology has proved how it can enable better business management, improved decision making, and swift customer engagement, making it one of the most sought after developments in the sector. From faster, automated tasks to intelligent customer query handling, artificial intelligence has been instrumental in expanding business functionality.

• Distributed Ledger Technology (DLT)

DLT has a lot of potential application in the capital markets. Many of the concerns that financial institutions face today have possible solutions in DLT as it makes transactions faster, safer, and decentralized. With DLT, sharing of information can be automated and secure. While a few companies have already deployed blockchain solutions, many others are at an initial stage of adopting the technology.

The cases of application of the above technologies have been fascinating, and one can expect exciting times ahead in the capital markets.