iNM Volume 9 | Page 16

DISRUPTIVE INNOVATION PAGE 10 iNM Volume - 9 DISRUPTIVE INNOVATIONS IN THE FIELD OF FINANCE “ THE BEST WAY TO PREDICT THE FUTURE IS TO INVENT IT ALAN KAY - ” SIVA SHANMUGAM TS BIM TRICHY . , Faster transactions and settlements have taken businesses to a whole new level This is because of the innovations that have drastically changed the way we transact The core needs fulfilled by the financial services haven t changed but their execution have speeded up Disruption will not be a one time event rather there is a continuous pressure to innovate that will shape customer behaviours business models and the long term structure of the financial services industry Saying that one can expect rapid innovations to take place at a much faster pace in the future Some functions of finance have been taken up to explain the innovations that have taken place in detail . . Abstract : ’ . Right from paying telephone bills to banking our core needs haven t changed but the speed at which we transact has drastically changed with the help of new technology But the privacy that was prevalent has also vanished as each person using newer technologies in finance is exposing his personal and financial details to the rest of the world For a moment we will avoid the flipside and look at how these innovations have changed our lives for better This article is about the Innovations in different functions of finance and what impact has it caused till today , ’ . . , . . - , , , - . . . 1 Capital market ) High frequency trading has grown substantially over the past 10 years estimates show that it accounts for roughly 55 of trading volume in U S equity markets and about 40 in European , % . %