12 Mar 2021
There was a time when we said that technology is the future. We have caught up with that future but there is even more anticipated technology coming out. Exciting! What do this mean? More innovative and interesting job opportunities. The financial sector is attracting a lot of IT enthusiasts due to fintech – an industry that is booming, creating job positions for those who are qualified candidates. What is fintech and how is it impacting our lives and the financial world?
Fintech is the combination of the words financial technology, therefore, technology which aims to better the financial services. Businesses make use of fintech in order to improve their services offered to the clients as well as improve the management of the financial operations. Technological advances have allowed many companies to invest in and create methods to ease our financial transactions. Though the catchy name only refers to ‘technology’, it also describes financial software development, products and systems that aim at helping the client. Companies, both start-ups and some of the biggest companies, use fintech to come up with ways to rework how transactions and payments are settled and paid.
How has this industry boomed? In 2018, fintech investments saw a record of $111.8 billion, an increase of 120% from 2017. The following year, global investment in fintech companies hit $135.7 billion. Despite facing many challenges, fintech investment managed reached $105 billion in 2020. People opt to use such technology because it is more attractive than the traditional way of going to the bank for a loan and carrying out lots of money or a cheque book. Furthermore, it also fits the contemporary lifestyle of talking to your phone’s OS to set reminders and call your friends. The use of technology has become embedded in our lives. These services provide an easier and quicker way to pay, without the need to carry money wherever you go.
According to Joblift, the UK has around 38,926 vacancies in fintech, compared to the 101,700 vacancies. However, the stats show that the average fintech salary is that of £45,130 whereas the other vacancies have an average salary of £36,593. But apart from the wages, there is more to working in fintech. Due to its high demand, fintech is likely to allow you to work in a diverse team, in high discussions exposing you to new ideas and introducing to new backgrounds. In order to boost your chances of securing a job in fintech, you must be open – communicate clearly and do not hesitate to ask for help: time is critical in this industry. A candidate with great problem-solving skills will also have a better chance at landing the job. In addition, adaptability is a very important skill, as you will have to look at the needs and work to develop a solution.
Businesses do not just use financial technology to start-up businesses, but also make use of technologies to help out the client in offering them a better service. Implementing a 24-hour chat service, carried out by a bot, would not only save the company money on wages, but also give the client a quick answer at any time of the day. This technology would help clients manage their finances better. With the progress of Artificial Intelligence, such chatbots can give a more accurate answer specifically drawn to the client’s needs. It has to be said that such a commodity would only be possible by trusting the technology with our personal information. Giving out our bank details to software and applications may be dangerous, in the unlikely event of hacking.
What makes fintech – and a career in fintech, exciting is the hunger to create new and innovative ways to help the consumer. Anything that is working well now may be outdone by another application or service tomorrow.