Department of Technology Management and Innovation
Course Name: FinTech: Finance Industry Transformation
Course Description:
With the continued success of fintech (financial technology) businesses around the world - from virtual banks to crypto exchanges and blockchain solutions - financial services are becoming increasingly decentralized, personalized, and automated.
This course is designed to provide students with a comprehensive understanding of the latest technological advancements shaping the finance industry. It will cover topics such as APIs, decentralized finance, cloud computing, artificial intelligence, machine learning, blockchain, financial crime, RegTech, and algorithmic trading. Students will learn how these technologies are revolutionizing financial services and explore their practical applications in financial institutions. The course will also focus on the potential risks associated with these technologies and how to mitigate them.
In addition, students will benefit from guest lectures by industry leaders who will share their experiences and professional journeys. Past semesters have featured CEOs ofFinTech and InsurTech startups, managing directors from major banks, venture capitalists, user experience specialists, cybersecurity experts, and cloud architects.
No technical background is required.
Course Objective:
By completing this course, you will be able to:
• Understand the latest advancements in technology and their impact on the finance industry.
• Learn how to leverage these technologies to create innovative solutions to financial challenges.
• Examine real-world applications in financial institutions and the wider financial landscape.
• Develop critical thinking skills to assess the effectiveness of the discussed technologies in financial institutions.
• Explore the ethical considerations of utilizing these technologies in financial institutions.
• Enhance the ability to adapt to rapidly evolving technological advancements in the finance industry.
Suggested Course Structure:
This course includes weekly in-person lecture sessions and a mandatory final project.
Readings:
Required Text(s): Financial Technology, Case Studies in Fintech Innovation by Niels Pedersen -https://www.koganpage.com/product/financial-technology-9781789665437
Additional Reading:
• Deloitte LLP (2017) Open banking: How to flourish in an uncertain future:
Open Banking and PSD2. Available from:
https://www2.deloitte.com/uk/en/pages/financial-services/articles/future-banking-open- banking-psd2-flourish-in-uncertainty.html
• MagnaCarta Communications and ACI Worldwide (2017) Innovation, distributed:
Mapping the fintech bridge in the open source era. Available from:
https://www.aciworldwide.com/-/media/files/collateral/other/aci-magna-carta- fintech-disruptors-report.pdf
• Zachariadis, M. and Ozcan, P. (2017) The API Economy and Digital Transformation
in Financial Services: Open Banking, Swift Institute, 15 June. Available at:
https://swiftinstitute.org/research/impact-of-open-apis-in-banking/
• Bettencourt, L. & Ulwick, A. (2008) The Customer-Centred Innovation Map, Harvard Business Review, pp 109-114 (May)
• Domingos, P. (2015) The Master Algorithm: How the quest of the ultimate learning algorithm will remake our world, Penguin Books, London
• Gandomi, A. and Haider, M. (2015) Beyond the hype: Big data concepts, methods, and analytics, International Journal of Information Management, 2015, 35, pp 137-144
• Bank of International Settlements (2018) Cryptocurrencies: Looking beyond the hype, BIS Annual Economic Report Report. Available from:
https://www.bis.org/publ/arpdf/ar2018e5.htm
Course Assignments and Grading:
• 30% participation in class
• 70% final project
Course Topic Outline
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Class
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Topic
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Readings, Assignments, & Exams
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1 –
Sep 5
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• Networks, APIs and fintech banking platforms – How technology is
decentralizing finance.
• Final project assignment overview;
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Financial Technology, Chapter 1
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2 –
Sep 12
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Disruption and disintermediation – How financial innovation and cloud computing gave birth to the fintech revolution;
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Financial Technology, Chapter 2
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3 –
Sep 19
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Artificial intelligence and automation in fintech – AI and machine learning in
practice;
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Financial Technology, Chapter 4
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4 –
Sep 26
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Financial crime, cybersecurity, and risk
management – Pitfalls and opportunities in fintech;
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Financial Technology, Chapter 7
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5 –
Oct 3
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Regtech and regulatory compliance –
Financial regulation in a fintech context;
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Financial Technology, Chapter 8
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6 –
Oct 10
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Bitcoin, blockchain and cryptocurrencies – The applications of distributed ledger
technology in finance;
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Financial Technology, Chapter 5
|
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7 –
Oct 17
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“Run the Bank-Change the bank” – how financial institutions deal with new
technology and innovation
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8 –
Oct 24
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Guest lecturer – Managing Director at a major bank
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9 –
Oct 31
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Electronic trading and algo trading
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10 –
Nov 7
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Guest lecturer (Senior Manager of a FinTech company)
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Asaf @ Solidus Labs
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11 –
Nov 14
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Digitizing the price mechanism – The
impact of automation and social media on financial markets;
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Financial Technology, Chapter 6
|
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12 –
Nov 21
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Behavioral economics and experience
design – How to optimize user engagement;
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Financial Technology, Chapter 3 (Guest lecture)
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13 –
Nov 28 (To be rescheduled)
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Looking to the future – Optimization, decentralization, and personalization;
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Financial Technology, Chapter 9
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14 –
Dec 5
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Final project presentation
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Final project presented to the class
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15 –
Dec 12 or 19
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Final project presentation
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Final project presented to the class
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