A storm is brewing in global retail banking. In the post-Global Financial Crisis era, financial technology (fintech) businesses have encroached not just upon the periphery of finance

(such as payments), they have assumed a place in core banking activities like lending and wealth management. Fintech investments more than doubled in 2015 and there are 19

fintech unicorns (companies valued at US$1 billion or more) globally that are in a position to challenge banks.

Fintech companies have shown the way – technology can be a big differentiator in winning customers in chosen segments/products. However, fintech is not the only challenge big

banks are facing. With technological evolution digitalising banking services, small- to midsized banks are presented with a unique opportunity to acquire/partner fintech companies.

Through this collaboration with fintech firms, banks could overcome their smaller physical presence and limited banking functionality to launch attacks at the bigger and incumbent

banks. Bigger banks will have to accelerate their digital transformation to defend their turf; they need to overcome their legacy technological issues and cultural challenges by

completely reinventing their business model.