This archive report was first published on 2 October 2019.
Published on October 2, 2019, a report by Thomson Reuters highlighted the growing concerns of companies adopting Fintech solutions.
According to the report, 21% of the world's firms believe that Regtech will significantly impact their compliance monitoring. This underscores the need for risk and compliance functions to have more involvement in assessing the implications of Fintech innovations.
The increasing uncertainties created by Fintech innovations have led to a decline in the number of firms whose risk and compliance function aligns with their approach to Fintech. In 2017, 37% of firms employed their Fintech approach, but this dropped to 18% in 2018.
Regulators globally are trying to create a business environment that enhances Fintech benefits while minimizing outcomes for consumers. One approach is using a sandbox, where companies test new solutions without the full weight of regulation.
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