Welcome to the winter issue of the Novantas Review.
It seemed appropriate to focus this issue on the theme of transformation as we head into a new year that will likely be filled with change. The recovering interest rates and calming of regulatory waters are allowing bankers to focus on the future digitally-enabled business model — and the challenges of transformation. Transformation is nothing new, of course, but 2018 is likely to bring fresh challenges — from rising interest rates to technology innovation to heightened competition from nascent players like direct banks and robo advisors. Through it all, the banks will need to be nimble.
In this issue, you will get a first look at our proprietary research about what consumers think about robo advisors and the characteristics that make a bank distinct. We also dig into how financial institutions can stay afloat in their data lakes and how to tackle thorny issues that can arise when banks use technology to make segmented offers to their customers.
The Novantas Review is going through its own transformation, too. It is now being overseen by Robin Sidel, a former Wall Street Journal reporter who has joined Novantas as the director of a new initiative called the Novantas Center for the Future of Banking. (You will be hearing more about that next year.) We are making changes to the content of the Review and adding new, exciting sections. In this issue, we are introducing a feature called “At the Podium With Novantas,” which highlights speeches and appearances made by our executives at industry events. We also are adding a “News You May Have Missed” section. Stay tuned for additional improvements in 2018.
We wish you the warmest of holiday seasons and a prosperous 2018.
The commercial bank executive of tomorrow will look a lot like a quick-thinking technology executive or a nimble start-up CEO.
For years, Novantas has challenged banks with the question: Why should someone choose your bank?
The prospect of rising interest rates and more competitive pricing is challenging one of the banking industry’s traditional ways to value deposits.
As we head into 2018, there are a few certainties for the banking industry. While we don’t have a crystal ball, we know a lot of smart folks who spend time thinking about these issues.
Banks are grappling with a new rule that changes the way they account for losses, a move that is causing significant practical problems and may also have wide-reaching implications for loan pricing and overall product strategy.
Data and analytics are sparking innovation at all levels within banks, but they are also breathing new life into an age-old corporate war over ownership.
With $3.5 billion in assets and 17 branches, Cambridge Savings Bank isn’t an obvious example of a cutting-edge financial institution.
Congratulations! The banking industry is now stronger than ever. Don’t take your bows yet, though, because the work doesn’t stop here.
Banks are starting to use the same kind of tools to make more detailed distinctions among their retail customers.
After years of hesitation, U.S. consumers are now ready to open investment accounts at their bank.
While many fintech start-ups are trying to compete with traditional financial-services providers, Mr. Sha sees his firm as a partner to banks that are exploring the nascent world of robo-advice.