74% of Bankers Say Clients Would Switch Financial Institutions for Better Security
Fundtech Survey Reveals Security and Fraud Prevention to be Major Banking Differentiators * 66% of bankers believe cyber-crime is uncontrollable
Fundtech Ltd. (NASDAQ: FNDT), a market leader in global transaction banking solutions, today announced the results of a live poll conducted at its annual North American Insights client conference held in June. The poll, which surveyed nearly 100 banking executives from over 50 US financial institutions, addressed many of the most important issues on the banking industrys agenda.
Summary of Findings
Fraud & Cyber Crime
Fraud and cyber crime continue to be among the most daunting issues that banks are facing today. Bankers believe it is a challenge that they will never be able to get under control.
- 65% see fraud monitoring as their biggest challenge, up from 53% last year
- 84% think that better detection tools are the key to addressing fraud
- 66% believe that the industry will never be able to get cyber crime problem under control
- 79% think that only a small fraction of their business client base understands their liability for fraudulent transactions
- 74% said that they think their SME customers would be willing to change financial institutions for better security
Mobile Corporate Banking
Bankers have seen a significant increase in interest for mobile banking services among their corporate clients.
- 44% said that they see strong current demand/interest from their business clients, up from 26% last year a 70% jump
- 51% see the strongest adoption of mobile services is among their mid-size business clients; 37% say small business.
- Only 6% see large corporates as having the strongest adoption, down from 29% from a year ago
The instant audience poll provided insight on a number of other topics:
- 71% see regulation having a negative impact on their business
- 56% report that their FX business is experiencing strong growth
- 89% think that user experience has become a more important competitive factor
- 54% said that they use social media in their professional life
- 75% said that they use social media in their personal life
George Ravich, Fundtech Chief Marketing Officer, said: According to our survey, addressing fraud is the banking industrys most pressing problem. With little expectation that cyber attacks will be brought under control anytime soon, banks, their customers, and their technology suppliers must collaborate in order to effectively quell this growing challenge.
Ravich continues: We were not surprised to see bankers reporting a significant jump in interest for mobile banking services among their business clients. Our survey reveals that 44% of the bankers report strong current demand, up from 26% last year a jump of 70%. With the growing momentum in the market for everything mobile this is an area of great opportunity for banks who fully embrace the mobile channel for their business customers.
Fundtech NA Insights Conference Polling Results (.PDF - 3.6 MB)
Fundtech (NASDAQ: FNDT), was founded in 1993, and is a leading provider of software and services to banks of all sizes around the world. Payments systems include wire transfers, ACH origination, cross-border payments and remittance. Cash management systems are designed for large corporate through small business clients. Fundtech operates the worlds largest SWIFT service bureau. We offer an extensive line of financial supply chain applications including electronic invoice presentment and supply chain financing. And we are the leading provider of CLS systems to the worlds largest banks. More than 1,000 clients throughout the world rely on Fundtech solutions to improve operational efficiency and provide greater competitiveness through innovative business-to-business services. For more information, visit www.fundtech.com.
Forward Looking Statements:
This news release contains forward-looking statements made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may include, but are not limited to, projections of revenues, income or loss, capital expenditures, plans for growth and future operations, competition and regulation. Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted or quantified. When used in this Release, the words, "estimates," "expects," "anticipates," "believes," "plans," "intends," and variations of such words and similar expressions are intended to identify forward-looking statements that involve risks and uncertainties. Future events and actual results could differ materially from those set forth in, contemplated by or underlying the forward-looking statements. The factors that could cause actual results to differ materially from those discussed or identified from time to time in Fundtech's public filings, including its Annual Report on Form 20-F for the year ended December 31, 2010, including general economic and market conditions, changes in regulations and taxes and changes in competition in pricing environment. Undo reliance should not be placed on these forward-looking statements, which are applicable only as of the date hereof. Fundtech undertakes no obligation to revise or update these forward-looking statements to reflect events or circumstances that arise after the date of this Release or to reflect the occurrence of unanticipated events.
(UK) Chanda Gathani - Metia Inc.
+44 (0) 20 3100 3605
(USA) Binna Kim, Cognito
+1 646 395 6304
George Ravich Fundtech Ltd.