(total reading time: 3 mins)
For our academic summary this week, Sam van de Schootbrugge reviews a recent working paper by the IMF. The research looks into how the rise of alternative data, artificial intelligence and machine learning is giving BigTech firms the upper hand over traditional banks. The days of brick-and-mortar banking are well and truly gone, but can a return to merchant banking and changes in regulation be enough to save the industry as we know it? We may find out sooner than we think.
We also update our regular COVID tracker, which today reports a rise in cases in Germany, Spain, France, Italy, Greece and the UK.
FinTech And BigTech Are Taking Over (10 min read) A new IMF paper looks at how innovations in information and communication have (i) provided greater opportunities for new financial service entrants, such as Apple, Amazon, Revolut and N26, and (ii) challenged the traditional bank business models.
(Sam van de Schootbrugge │ 12th August, 2020)
Global COVID-19 Tracker – A Second Wave Hits Europe As Russia Celebrates A New Vaccine On Tuesday, the number of recorded global coronavirus cases reached 20mn. This figure is increasing by 1% a day and half of all registered cases can be found in the US (5mn), Brazil (3mn) and India (2mn).
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