Deals and investments in NY fintech startup scene are important to long-term ability to stay on the cutting edge.
Matching solutions to problems
Narrowing down and assigning the pool of startups can be complicated, explains Bob Gach, global industry managing director of Accenture’s Capital Markets practice. It’s a process made more difficult by the industry’s tendency to not publicly disclose the internal problems that need solving.
It’s a sentiment mirrored by David Reilly, the technology infrastructure executive at Bank of America, who was on hand at last week’s Innovation Lab Demo Day for LMRKTS and RevolutionCredit, the two winning startups BofA mentored. He explained there is a diverse range of niche solutions presented by the dozens of applying startups, and it’s not likely the entire panel of executives see the potential application or how the product can be tweaked to solve specific problems.
LMRKTS, for example, is helping banks reduce risk in their derivatives portfolios with algorithms to identify excessive counter-party credit risk, and by suggesting trades to reconcile the exposure. It’s a holistic solution to a massively expensive industry problem that often goes unmentioned, explains Reilly, but those involved in the space have taken a strong interest in experimenting with the startup’s solution.View Document