Important Links

Embracing disruption: Technology in the financial world

17 November 2017HighlightsEconomics
Picture

Embracing disruption: Technology in the financial world

  • From cryptocurrency to artificial intelligence, the financial world has welcomed recent tech advances
  • Citigold focuses on digital innovation with the launch of DocuSign, making signing your documents faster, easier and completely paperless

It could be said that technology is rapidly changing the world around us, creating a wealth of new opportunities that could both save money and increase efficiency. Indeed, the latest advances may be disrupting nearly every sector across the globe. Robotics, AI (artificial intelligence) and AR (augmented reality) may all be growing in prominence – everywhere from factory production lines to local supermarkets – and following suit, banking industry leaders are incorporating an increasing amount of technology into their field. Here we explore the recent innovations adopted by the financial world, which includes Citi's new DocuSign tool.

Cryptocurrency

According to the Independent newspaper, cryptocurrency is on the rise, with more and more establishments accepting its most popular forms each day1. Even the entertainment industry has recognised this surge; Icelandic singer Björk recently partnered with a British blockchain company to allow fans to use cryptocurrencies to purchase her new album2. In recent months the bitcoin has soared to a record high of over $5000 – meaning each is worth four times more than one ounce of gold3.

Despite a seemingly positive trend in the cryptocurrency at present, bitcoin can still be seen as volatile. In its short history, it's been known to fluctuate due to a variety of factors – from security breaches4 to questions over its reputation. As it's still an unregulated market, Citi does not recommend investment in cryptocurrency at this time.

Artificial intelligence

Another technological advancement which could be seen to be flourishing in the finance sector is artificial intelligence (known as AI). AI isn't entirely new to banking – many institutions already use it to flag suspicious account activity5, but AI's ability to spot abnormal behavioural trends could also be used on a larger scale; to detect rogue trading or market misuse, for example. As reliance on technology seemingly grows and more businesses become digital, the risk of data compromise, hacking and other security threats may naturally grow too.

In response to these risks, financial bodies will most likely use AI's capabilities6 to counteract fraud, using predictive analytics, user spending habits data and smart phone location services, to prevent misuse.

DocuSign

Something technologically innovative for Citi is DocuSign, a cloud-based tool designed to ease transactions with your smartphone, computer or tablet.

With 93% of millennials (those born from the early 80s to the late 90s) using their phone to access the internet7 and 46% calling for banking services to be available on their smartphone, there's been a rise in the need for financial-based tech. One technology that's satisfying this need is Digital Transaction Management (DTM) – a collection of services that are designed to simplify document-based transactions. Launching new for Citi, DocuSign lets you review and sign documents electronically from your tablet, computer or smartphone. The programme works by securely storing your signature in a cloud-based server. After authenticating your identity, your documents can be reviewed within the platform, before being signed off with your stored signature and sent back to be processed.

At Citi, we work hard to bring you the conveniences of digital technology, while always keeping your security in mind. Read more about DocuSign, or contact your Relationship Manager for further advice.


1 http://www.independent.co.uk/news/business/news/bitcoin-latest-updates-record-high-cryptocurrency-market-value-investors-boom-trading-a7998186.html

2 http://musically.com/2017/11/02/bjork-blockchain-cryptocurrency-rewards/

3 https://www.theguardian.com/technology/2017/oct/12/bitcoin-price-5000-cryptocurrency-gold-bubble

4 http://www.bbc.co.uk/news/business-36962254

5 http://uk.businessinsider.com/could-ai-be-the-ultimate-weapon-in-the-fight-against-fraud-2017-1

6 https://www.pwc.com/gx/en/financial-services/assets/pdf/technology2020-and-beyond.pdf

7 http://www.independent.co.uk/news/business/news/uk-millennials-smartphones-banking-savings-phones-financial-planning-smartphone-apps-a7773291.html

Our recent research

Yield Curve Flattening Spooks Markets

The spread between 3- and 5-year yields fell to -0.7 bps on Monday, dropping below zero for the first time in more than a decade.

Find out more

Fixed incomeHighlightsEconomics

Time in the Market vs Timing the Market

Given the increase in price volatility, investors may think that market timing during a late-stage bull market may sound like a good idea but history suggests that there is no 'right time' to try timing markets.

Find out more

HighlightsEconomics
Impact of Fed rate hikes on Japanese equity shares - Market Insights by Citibank UK

What's Next for Japanese Stocks?

What could happen to Japanese equities as markets eye an end to US rate hikes?

Find out more

Japan

Take the first steps to your wealth management planning with Citi

Speak to a Relationship Manager
0207 500 1992

Already with Citi? Contact your relationship manager or view product availability on Citi Online

Why choose Citi

A relationship - not just a bank account

A dedicated Relationship Manager giving you access to our internal team of product experts and all our benefits

Access to exclusive Citi products

A range of current and investment products available both on shore and offshore, in the currency of your choice
Multi-currency accounts
Investment products

Global services for a global lifestyle

Our team is here to support you getting started in UK or with International travel and relocation
Moving to and from the UK
Travelling overseas

Offshore investments

We offer a diverse range of banking and investment services, including for those who want access to offshore investments

Find out more

Just moved to the UK?

We can save you time money and hassle. If you are a foreign national in the UK, Citi's International Banking Service can help you manage your money, home and away.

Find out more

Investment products are not insured by any governmental agencies, are not bank deposits, and are neither obligations of, nor guaranteed by, Citigroup, or any of its affiliates, unless otherwise stated. Investment products are subject to investment risks, including possible loss of some or all of the principal amount invested. Past performance is not indicative of future results, investments can go down as well as up.

“Citi analysts” refers to investment professionals within Citi Research (“CR”), Citi Global Markets Inc. (“CGMI”) and voting members of the Citi Global Investment Committee. Citibank N.A. and its affiliates / subsidiaries provide no independent research or analysis in the substance or preparation of this document. The information on this page has been obtained from reports issued by CGMI. Such information is based on sources CGMI believes to be reliable. CGMI, however, does not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute CGMI’s judgment as of the date of this page and are subject to change without notice. This page is for general information purposes only and is not intended as a recommendation or an offer or solicitation for the purchase or sale of any security or currency. No part of this page may be reproduced in any manner without the written consent of Citibank N.A. Information on this page has been prepared without taking account of the objectives, financial situation, or needs of any particular investor. Any person considering an investment should consider the appropriateness of the investment having regard to their objectives, financial situation, or needs, and should seek independent advice on the suitability or otherwise of a particular investment. Citi Research (CR) is a division of Citigroup Global Markets Inc. (the "Firm"), which does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this information. Investors should consider this information as only a single factor in making their investment decision.

Opinions expressed herein may differ from the opinions expressed by other businesses or affiliates of Citigroup, Inc., and are not intended to be a forecast of future events, a guarantee of future results or investment advice, and are subject to change based on market and other conditions.