Sharegain: Remaining relevant in the age of digital disruption
11 September 2018 London
Image: Shutterstock
“Change is happening faster than ever before and no matter how well you’re doing things, if you keep doing them the same way you’ll soon be left behind”, according to Boaz Yaari, founder and CEO of Sharegain, in regards to the current securities lending market.
Yaari questioned: “How can we, as an industry, help it grow and push it up the path of progress? How do we attract a wider audience and increase engagement?”
In answer, he stated that the industry must recognise that “digitisation does not create value
by itself; rather, it is a means to an end. In this digital age, we should accept that client behaviour is dramatically changing”.
Yaari commented on fintechs and insurtech that have made a success of embracing digitisation for their benefit in which he listed Revolut, Starling Bank, Transferwise, Stripe and Lemonade as such successes.
He said: “[These firms] have understood that digital capabilities which focus on client experience and the savvy use of data, must be at the heart of their business model in order to deliver a standardised solution with a strong value offering and engaging client experience.”
He added: “Yet it hasn’t stopped them from religiously focusing on simplification, alignment of interests, reduction of friction while being as transparent as possible. With these companies you don’t get just a great app, you get an offering that exudes simplicity, engagement and transparency.”
“They jump the end-user through the hoop of complexities associated with opening a bank account, buying insurance, making cross-border payments, taking business loans and much more. Unconvinced? Sceptical? Just ask their millions of clients.”
Yaari also said the industry must “use more automation to reduce risk, streamline processes
and provide that slick client experience”.
“The utilisation of technology to replace all the labour-intensive processes must be integral to our conversations”, he said.
Yaari concluded: “The stakes are high, the road is long and the challenges are many, but in the words of the great Warren Buffett: ‘The most common cause of low prices is pessimism’—sometimes pervasive, sometimes specific to a company or industry.”
“We want to do business in such an environment, not because we like pessimism but because we like the prices it produces.”
To read the full article, check out the 9th edition of The International Securities Lending Association’s Securities Lending Market report, available here.
Yaari questioned: “How can we, as an industry, help it grow and push it up the path of progress? How do we attract a wider audience and increase engagement?”
In answer, he stated that the industry must recognise that “digitisation does not create value
by itself; rather, it is a means to an end. In this digital age, we should accept that client behaviour is dramatically changing”.
Yaari commented on fintechs and insurtech that have made a success of embracing digitisation for their benefit in which he listed Revolut, Starling Bank, Transferwise, Stripe and Lemonade as such successes.
He said: “[These firms] have understood that digital capabilities which focus on client experience and the savvy use of data, must be at the heart of their business model in order to deliver a standardised solution with a strong value offering and engaging client experience.”
He added: “Yet it hasn’t stopped them from religiously focusing on simplification, alignment of interests, reduction of friction while being as transparent as possible. With these companies you don’t get just a great app, you get an offering that exudes simplicity, engagement and transparency.”
“They jump the end-user through the hoop of complexities associated with opening a bank account, buying insurance, making cross-border payments, taking business loans and much more. Unconvinced? Sceptical? Just ask their millions of clients.”
Yaari also said the industry must “use more automation to reduce risk, streamline processes
and provide that slick client experience”.
“The utilisation of technology to replace all the labour-intensive processes must be integral to our conversations”, he said.
Yaari concluded: “The stakes are high, the road is long and the challenges are many, but in the words of the great Warren Buffett: ‘The most common cause of low prices is pessimism’—sometimes pervasive, sometimes specific to a company or industry.”
“We want to do business in such an environment, not because we like pessimism but because we like the prices it produces.”
To read the full article, check out the 9th edition of The International Securities Lending Association’s Securities Lending Market report, available here.
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