Outlook 2019: Steve Mann, Arachnys
Steve Mann is the chief marketing officer at Arachnys.
How should 2019 be known?
The new year will be known as “The year of head-scratching.” Banks are facing market pressures on all sides – from alternative business model providers, new regulatory demands, and remediation of “traditional” AML vendor failures.
Banks will have to make a decision, will they stay with a monolithic approach, on-premise solution to KYC, AML, and due diligence? Or will they adopt cloud-native platforms for the business need “personalization” they require?
What was the most important lesson of 2018?
Say ‘Hi’ to mom more often. Also, banks can’t solve their compliance issues and be done with their fundamental remits. They must actively turn their sights toward bad actors and stop financial crime before it occurs, not merely report on it.
What changes do you expect to see regarding the adoption of artificial intelligence this year?
At the Association of Certified Anti-Money Laundering Specialists conference this year virtually every vendor was touting AI this, and machine learning that. If everyone offers a technology, then no one offers it. Banks will begin to retire intense focus on AI as a means to an end and refocus on the business pains solved, regardless of the underlying technology.
Without a solid policy, new technology can alienate clients and hurt the bottom line.
North America is projected to be the largest market through 2023.
Oak HC/FT led the funding along with contributions from seed investors.
Should firms build or buy the necessary technology?
Initial focus has been fixed income in the front office.