Fintech seeks to reinvent finance industry

THE rapid rise of financial technology, "fintech" for short, has spurred established players in the finance sector to review their business models.

Global investments in this technology totalled US$12.2 billion in 2014, up more than threefold from the previous year.

"For decades, banks and insurers have employed similar, highly profitable business models. But they realise those models are coming under pressure due to fintech innovations," said R Jesse McWaters, lead author of a World Economic Forum report released in July.