Question And Answer With Dan Jacobs Of Finastra

In the rapidly evolving world of financial technology, few voices carry as much insight and experience as Dan Jacobs, the head of innovation at Finastra. With a career that spans decades, Jacobs is a well-spring of knowledge in an industry at the vanguard of change. His role at Finastra places him at the intersection of technology, finance, and customer needs, allowing him to shape the future of how we interact with our money and financial institutions.

Recently, we had the privilege of sitting down with Dan Jacobs for an exclusive interview. Herein we discuss the challenges facing the fintech industry, the opportunities for growth, and how platforms like Finastra are transforming the landscape of financial services.

Understanding Fintech’s Future: An Interview with Finastra’s Dan Jacobs

Q1: Dan, with your vast experience in the financial sector, what would you say are the most significant challenges that fintech currently faces?

Jacobs: The industry is facing several headwinds, but three stand out: regulatory compliance, cybersecurity, and legacy system integration. The pace at which regulation changes is always a hurdle for development and innovation. It's further compounded by the new security challenges that come with the digital age. Moreover, seamlessly integrating new solutions with older banking systems presents technical and operational difficulties.

Q2: Fintechs are often seen as disruptors to the traditional banking model. How does Finastra view its role in the financial ecosystem?

Jacobs: At Finastra, we consider ourselves more as enablers than disruptors. We believe in what we call collaborative disruption. Our aim is to bridge the gap between traditional finance and innovative technology, ensuring our partners can offer cutting-edge services that remain user-friendly, secure, and within regulatory frameworks.

Q3: In light of recent global challenges, including the pandemic, how has Finastra adapted its strategy to support clients and customers?

Jacobs: The pandemic has accelerated the digital transformation roadmaps of many of our clients. We've ramped up our investment in cloud-based platforms to drive efficient, remote accessibility. We've also enhanced our analytics capabilities to help clients better understand and serve their customers during these volatile times.

Q4: Could you tell us about any exciting new technologies or projects you are currently exploring at Finastra?

Jacobs: We're particularly excited about our work in open banking and APIs. We're harnessing the power of open APIs to foster innovation, allow for more personalized offerings, and streamline banking services. Also, we see a great future in artificial intelligence and machine learning to predict customer needs and prevent fraud.

Q5: When it comes to building a fintech ecosystem, what role does collaboration play, and how does Finastra facilitate this?

Jacobs: Collaboration is the lifeblood of innovation in fintech. We operate the FusionFabric.cloud platform, which brings together financial institutions, software developers, and system integrators. This fusion of expertise enables members to develop and deploy solutions that reshape the finance landscape.

Q6: Security is a significant concern in fintech. How does Finastra ensure that new technologies are secure and trustworthy?

Jacobs: Security is a paramount consideration in all we do at Finastra. We incorporate security into the design of our solutions from the ground up—what's known as 'security by design.' We also adhere to the highest standards of regulatory compliance and undergo regular audits and security assessments.

Q7: What advice would you have for startups looking to partner with or develop solutions for Finastra?

Jacobs: There's a world of opportunity out there, but it's vital to focus on creating genuine value. Understand the end-user’s pain points, maintain rigorous security standards, and think about scalability from the onset. Startups that can effectively address these areas will find a receptive audience at Finastra.

Q8: Looking toward the future, how do you foresee fintech evolving over the next decade?

Jacobs: In the next decade, I believe fintech will continue to democratize financial services and deepen financial inclusion. We'll see a shift towards more personalized financial products, powered by AI analytics, and blockchain could profoundly change how we understand security and transparency in transactions.

Q9: With increasing attention toward environmentally sustainable practices, is Finastra taking steps to address sustainability within the fintech sector?

Jacobs: Sustainability is something we take seriously. It's essential not only from an ethical standpoint but also as a business imperative. We are continuously exploring ways to reduce the carbon footprint of our operations and our solutions. Fintech has a role to play in ESG reporting and investments, which is an area ripe for innovation.

Q10: Finally, if you had one key message for our readers about the role of fintech and platforms like Finastra in shaping the future, what would it be?

Jacobs: My key message would be: embrace change. The fintech industry is at the forefront of transformational changes that are re-examining our relationship with finance and technology. Finastra is committed to paving the way for this change, creating a more inclusive, innovative, and secure financial world.

Integrating the insights from this interview into your strategic planning can be a pivotal step towards embracing fintech innovation and future-proofing your financial operations. When coupled with tools that streamline such adaptations, such as AI-driven platforms that offer real-time insights and system synergies, the path forward appears less daunting. A platform like Aomni can be that enabling factor, providing the strategic intelligence and efficiency that every B2B sales team needs to excel in the rapidly evolving fintech landscape.