Introductory description

This module will delve into the use and impact of digital technologies in the world of finance. Digital technologies and innovations are helping to introduce new and innovative products and services to consumers, new players and business models, and altering the landscape of financial markets.

Module web page

Module aims

Outline syllabus

This is an indicative module outline only to give an indication of the sort of topics that may be covered. Actual sessions held may differ.

Our focus is on how digital innovations and information technologies are transforming the provision of financial services. This will include

• The future of money and Payment systems
• Blockchain and cryptocurrencies
• Artificial Intelligence AI in Finance and its impact
• Digital Lending, crowdfunding , crowdinvesting and wealth management
• Governance and regulation of technology in financial services
• New industry models such as insuretech.

Learning outcomes

By the end of the module, students should be able to:

• Demonstrate an in depth understanding of the scope of Financial Services and Digitalization impact.
• Demonstrate an in depth understanding of new fintech business models and their transformations.
• Demonstrate an in depth understanding of the impact of governance and regulation on investment strategies and customer adoption.
• Demonstrate a comprehensive understanding of current and future technologies emerging in finance such as quantum computing and encrypton models
• Critically evaluate strength and barriers of using cryptocurrencies, blockchain and decentralised ledger technology and AI in finance.
• Critically analyse classical finance and new fintech models for comparison

Indicative reading list

Module Reference Book
Henri Arslanian, Fabrice Fischer. "The Future of Finance: The impact of Fintech, AI, and Crypto on Financial services." 2019 Palgrave Macmillan, https://doi.org/10.1007/978-3-030-14533-0.
The module is structured around the flow of this book and over the five weeks will cover much of the chapters. There are also recommended books that are good reference sources on particular topics plus a range of background reading available list here.
Other recommended subject reference books on FinTech Themes:
1.Arvind Narayanan et.al. "Bitcoin and Cryptocurrency Technologies: A comprehensive Introduction. 2016 Princeton University Press https://dl.acm.org/citation.cfm?id=2994437.
2. Agustin Rubini. "Fintech in a flash: Financial Technology Made Easy." 2019 DeG Press https://www.degruyter.com/view/product/510522.
3. A guide to Financial Regulation for FinTech Entrepreneurs, Stefan Loesch, 2018, Wiley.
4. Primavera De Filippi, Aaron Wright. "Blockchain and the Law: The rule of code", 2018 Harvard University Press.
https://www.hup.harvard.edu/catalog.php?isbn=9780674976429.
5. Deeplearning with Python, François Chollet, 2018 Manning Shellton Island – AI Primer - What is Deeplearning pg 3 – 24, Advanced introduction pg 27-55.
Sources of Background reading
[1] Future of Digital Money
The threat and the promise of digital money, Martin Wolf , FT , 22 Oct 2019 https://www.ft.com/content/fc079a6a-f4ad-11e9-a79c-bc9acae3b654.
Markus Brunnermeirer, Harold James, Jean-Pierre Landau, "The Digitialization of Money" August 2019
https://scholar.princeton.edu/sites/default/files/markus/files/02c_digitalmoney.pdf.
IMF The rise of digital money 2019 Report https://www.imf.org/en/Publications/fintech-notes/Issues/2019/07/12/The-Rise-ofDigital-Money-47097.
[2] What are Cryto-assets?
What are Cryto-assets (Crytocurrencies )? The Bank Of England https://www.bankofengland.co.uk/knowledgebank/what-arecryptocurrencies
What are Crytocurrencies? Bank Of England https://youtu.be/v8IFb1E8-RA
How do we define Crytoasset? Financial Conduct Authority https://www.fca.org.uk/firms/cryptoassets
Publications
PS19/22: Guidance on CryptoassetsCP19/22: Restricting the sale to retail clients of investment products that reference cryptoassets, July 2019CP19/3: Guidance on Cryptoassets(PDF)Discussion Paper on Distributed Ledger Technology Feedback Statement on Distributed Ledger Technology Cryptoasset Taskforce Report Consumer research on cryptoassets, March 2019.
How to regulate crypto, April 26 2018 Economist https://www.economist.com/leaders/2018/04/26/how-to-regulate-crypto.
[4] Blockchain
IBM Blockchain resource page
IBM Blockchain for Dummies Free eBook https://www.ibm.com/account/reg/us-en/signup?formid=urx-16905
IBM Cloud Video on basics of Blockchain https://youtu.be/QphJEO9ZX6s
[5] AI and Financial Services
PWC AI and backoffice automation RPA https://www.pwc.com/us/en/industries/financial-services/research-institute/topissues/artificial-intelligence.html
Accenture AI redefines Financial Services https://www.accenture.com/gb-en/insight-ai-redefine-financial-services
Accenture AI impact on Banking 2019 Report https://www.accenture.com/gb-en/insight-ai-redefine-banking
Accenture AI impact on Insurance 2019 Report https://www.accenture.com/gb-en/insight-ai-redefine-insurance
Accenture AI impact on Capital Markets 2019 Report https://www.accenture.com/gb-en/insight-ai-redefine-capital-markets
[6] Regulation and Financial Services FinTech
KPMG Regulation and Supervision of FinTech 2019 Report https://assets.kpmg/content/dam/kpmg/xx/pdf/2019/03/regulationand-supervision-of-fintech.pdf
[7] Cyber security and Financial Services
National Cyber Security Center UK Gov Annual Cyber Security Review 2019 https://www.ncsc.gov.uk/news/annual-review-2019
IBM X-Force Threat Intelligence Index Report 2019 https://www.ibm.com/security/data-breach/threat-intelligence
[8] Fintech market
IMF FinTech 2019 Report https://www.imf.org/~/media/Files/Publications/PP/2019/PPEA2019024.ashx
IMF Policy Paper June 2019 FinTech – The Experience so far national and international perspectives.
https://www.imf.org/en/Publications/Policy-Papers/Issues/2019/06/27/Fintech-The-Experience-So-Far-47056
PWC Global FinTech Report 2019 https://www.pwc.com/gx/en/industries/financial-services/fintech-survey/blurred-lines.html
https://www.pwc.com/gx/en/industries/financial-services/assets/pwc-global-fintech-report-2019.pdf
Capgemini World FinTech Report 2019 https://www.capgemini.com/es-es/wp-content/uploads/sites/16/2019/06/World-FinTechReport-WFTR-2019_Web.pdf
Kpmg Fintech 2019 predictions https://home.kpmg/xx/en/home/insights/2019/02/fintech-predictions-2019.html
The World Bank The Bali Fintech Agenda : Chapeau Paper 2018
http://documents.worldbank.org/curated/en/390701539097118625/The-Bali-Fintech-Agenda-Chapeau-Paper
[7] Open Banking
Brett King. "Bank 4.0: Banking everywhere, never at a bank" 2018, Marshall Cavendish Business. http://bank4dot0.com/
https://www.youtube.com/watch?v=QySt8rt2mPwhttps://www.forbes.com/sites/tomgroenfeldt/2019/04/19/bank-4-0-will-be-alldigital-low-overhead-mobile-first/#3218f608122a
KPMG Open Banking 2019 Report https://home.kpmg/xx/en/home/insights/2019/05/open-banking-for-greater-customer-valuefs.html
Deloittes Open Banking 2019 Report https://www2.deloitte.com/uk/en/pages/financial-services/articles/future-banking-openbanking-psd2-flourish-in-uncertainty.html
PWC Open Banking 2019 Report https://retailbankinginnovation.fintecnet.com/future-of-banking-is-open-a-pwc-report.html
[8] FinTech Apps and Startups
Top 10 fintech and banking apps. how to develop fintech and banking apps?, Vlad Pshenychka https://artjoker.net/blog/top-10-
fintech-and-banking-apps-how-to-develop-fintech-and-banking-apps/
Top 5 fintech and banking apps https://www.innovify.com/blogs/top-5-fintech-and-banking-apps
Top fintech startups in the UK, Scott Carey, Oct 04, 2019 https://www.techworld.com/picture-gallery/startups/uk-fintech-startupswatch-3634859/
8 Best Fintech Apps in 2019: Popular Fintech App Features + Estimated Finance App Development Cost,
https://www.spaceotechnologies.com/best-fintech-apps/
30 Hot Fintech Startups You Should Be Watching, https://www.allbusiness.com/top-fintech-startups-22513-1.html
[9] TechFin
The Future Of Banking: Fintech Or Techfin? Aug 2018 https://www.forbes.com/sites/jimmarous/2018/08/27/future-of-bankingfintech-or-techfin-technology/#6dc96ef25f2d
The battle of Fintech is over, the battle of TechFin is about to begin, march 29, https://dailyfintech.com/2019/03/29/the-battle-offintech-is-over-the-battle-of-techfin-is-about-to-begin/
The difference between Fintech & Techfin PaySpace May 15, 2019 https://payspacemagazine.com/fintech/the-differencebetween-fintech-techfin/
Bain Consulting - Evolving the Customer Experience in Banking 2019 Report https://www.bain.com/insights/evolving-thecustomer-experience-in-banking
Bain Consulting - In Search of Customers Who Love Their Bank 2019 Report https://www.bain.com/insights/in-search-ofcustomers-who-love-their-bank-nps-cx-banking/

Subject specific skills

Evaluate cyproassets and cryptocurrency strategies and use cases
Evaluate Blockchain and descentralized ledger technology strategies and use cases
Evaluate Artificial intelligence in Finance strategies and use cases
Assess information systems and IT Strategy implications for Inside Financial Services institutes and outside as a user corporation of FinTech Products and Services

Transferable skills

Written comms skills.
Oral comms skills.
Working with others.
Problem solving.
Information technology.
Independent learning.