Financial technology began to have a big effect on consumer’s lives many years ago, but companies like PayPal and Thomson Reuters weren’t being embraced by financial institutions for a long time.
Market incumbents were reluctant to embrace the new technology on offer from fintech companies as they believed that financial technology companies could threaten their monopoly on the financial world. Looking at another Algomi Review, it is revealed that fintechs actually help well-established financial institutions.
One of the most important aspects of financial technology is its ability to change direction and evolve quickly depending on the financial climate and workers in the industry’s needs.
When companies like ‘challenger banks’ started to become popular and existing market infrastructure was threatened, big businesses began to take notice of the technological advances that fintechs could bring to their businesses.
Partnerships leading the way for fintechs and big banks
A report carried out by the World Economic Forum has shown that the world of financial technology very rarely challenges the incumbent market infrastructure.
This contradicts many speculators’ views that financial technology companies could pose a big threat to the industry’s big players.
The report highlights that the key to survival for both types of companies is partnerships. Fintechs benefit from large cash injections and the support they need to develop their technology, and the investors often benefit from the technology that is created.
A great success story has been Algomi. Algomi have made three partnerships with different companies in the last six months.
Algomi review: scoring a hat trick in just six months
In the last six months, Algomi has entered partnerships with Openfin, AllianceBernstein and S&P Global. Each partnership opens up individual specific advantages for Algomi.
With Openfin, Algomi has acquired the rights to deploy their Synchronicity and Honeycomb products on a more modern platform, allowing them to update and alter their product as quickly as they need to to keep ahead of the game.
Algomi has also become the sole marketer of ALFA, AllianceBernstein’s liquidity analytics tool.
With S&P Global, Algomi now has access to their vast data networks, improving the efficiency of their software whilst working with S&P to develop new software.
Want another Algomi review? Visit fintechreviews.co.uk for regular reviews.