How difficult is predicting the future of financial services given today ’ s geopolitical , economic and technological factors ?
FUTURE OF FINSERV
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How difficult is predicting the future of financial services given today ’ s geopolitical , economic and technological factors ?
Ash Botten Predicting the future of financial services in a world of complex geopolitical shifts , economic uncertainties and rapid technological advancements is immensely challenging and a risky strategy that many businesses do not make bets on .
Emerging technologies will continue to shape how financial services firms operate in 2024 , but this can create unpredictable market dynamics and new challenges for firms to contend with .
What we do know is that businesses attempting to navigate the future of financial services in such a dynamic environment will require a nuanced strategy to remain competitive . They must remain laser-focused on driving efficiency , modernising with technology and establishing sustainable growth in the year ahead .
This will allow them to be better placed to adapt and remain agile enough to combat the challenges of a fast-moving , changing economic environment . This is particularly important for the finance team itself , which will need visibility and control to inform long-term strategic decisions .
John Stephens With the ever-changing environment , and new macro trends influencing the financial services sector every day including the introduction of AI , climate change and the turbulent geopolitical landscape , it ’ s becoming a lot more difficult to predict the future .
Geopolitical tensions , for example , tend to overcome economic growth across the major developed economies , which could have spillovers into several of the submarket systems , such as the commodities market and the credit system .
There could also be a downstream impact on consumers in particular . These situations make it harder to predict the trajectory of the financial system given the number of uncertainties .
Anurag Bhatia In the face of geopolitical unrest and its immediate repercussions on commodity prices , the financial services sector remains resilient and is not suffering from any structural deficiencies . As such , there is only a prospect of upside when we look at the future .
The recent wave of digitalisation and the coming wave of AI will only add to its prospects as financial services become more democratised , available and inclusive . The evolution towards digital financial solutions signifies a shift towards greater availability and a commitment to inclusivity , promising a future where financial services are not only robust but also more widely distributed and accommodating of diverse needs .
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