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The happiness secrets of leading nations
Despite long winters and high taxes, Finland is remarkably cheerful. On March 20th, it topped the World Happiness Report for the eighth consecutive year among 146 countries. Denmark, Iceland, and Sweden followed closely behind. What contributes to the happiness of these Nordic nations?
Source: https://www.economist.com/graphic-detail/2025/03/20/lessons-from-the-happiest-countries-in-the-world
The evolving use of AI: How organizations are capturing benefits
Organizations are increasingly developing structures and processes to unlock significant value from AI. In these early stages, companies are not only redesigning #workflows but also enhancing governance frameworks and mitigating risks associated with data privacy and ethics. This strategic shift is essential for fostering innovation in a competitive landscape.
Source: https://www.mckinsey.com/capabilities/quantumblack/our-insights/the-state-of-ai
US consumers and tariffs: Finding clarity in the confusion
Many business leaders wonder if tariffs will affect US consumer spending. Bain’s perspective is not directly, but possibly indirectly. Tariffs function as a tax; who bears the cost depends on leverage. Unlike during the Covid-19 pandemic, where supply shortages allowed costs to flow through easily, today some additional expenses may remain with manufacturers rather than reaching consumers.
Source: https://www.bain.com/insights/tariffs-and-the-us-consumer-where-to-focus-amid-the-noise/
Address cloud over-spending with cost optimization
Although the cloud offers increased speed and efficiency, many organizations struggle to adapt. Decentralized consumption means IT departments lack control over costs, leading to common issues like shadow IT where users access alternative platforms easily. Complex billing structures further contribute to wasteful spending, especially when multiple cloud services are involved.
Source: https://kpmg.com/xx/en/our-insights/transformation/cloud-cost-optimization.html
Feel good Sunday: How “Bluey” inspires adult playfulness
The Australian children’s show “Bluey” has captivated audiences worldwide, transcending its target demographic. Sarina Petersen, a social psychology expert, explores how the series appeals to both kids and adults through its humor, authenticity, and nostalgic charm.
Source: https://www.ted.com/talks/sarina_petersen_how_bluey_teaches_adults_to_be_playful_again
Curious Saturday: Is parenting advice increasing anxiety in kids?
Experts often bombard parents with dire warnings, turning dedication into anxiety. Psychiatrist Mathilde H. Ross suggests trusting your instincts instead of chasing trends. Her reassuring message? “You are quite literally evolved for this.”
Source: https://www.ted.com/talks/mathilde_h_ross_is_parenting_advice_leading_to_more_anxious_kids
Is red meat unhealthy?
Red meat offers benefits like being a rich source of B vitamins, protein, and easily absorbed iron. However, it also contains high levels of cholesterol and saturated fats, which are linked to heart disease. Additionally, preservatives in processed meats and chemicals produced during high-heat cooking have been associated with an increased cancer risk.
Source: https://www.economist.com/science-and-technology/2025/03/28/is-red-meat-unhealthy
The real economy – April 2025
Ongoing trade and tariff uncertainties are impacting middle market businesses domestically and globally. In response, companies have been stockpiling goods, pushing the trade-in-goods deficit to record highs. This inventory buildup raises the risk of a correction if demand falters, notes RSM US Chief Economist Joe Brusuelas in April’s edition of The Real Economy.
Source: https://rsmus.com/middle-market/the-real-economy.html
How can companies build resilience against unexpected tariff shifts through strategic foresight
The fluctuating trade wars strain margins and consume millions of hours weekly for US corporations. Here are five strategies to reduce the impact on your workforce and boost productivity.
Breaking the G&A cost cycle Bain insights:
- To break the G&A cost cycle, companies must move past short-term cuts and traditional methods like outsourcing
- Leading firms are using automation and AI to redesign work for better efficiency, accuracy, speed, and customer satisfaction
- A clean-sheet approach that invests in upskilling, data integration, and process redesign yields lasting results
Source: https://www.bain.com/insights/breaking-the-g-and-a-cost-cycle/
With the tax deadline nearing, a significant number of Americans remain unfiled
Americans are filing taxes more slowly than last year, with some delays possibly due to disasters. The April 15 deadline is just three weeks away, and millions have yet to submit their returns. As of March 14, the #IRS had received nearly 70.4 million returns, a decrease of 1.7% from last year. They processed 69.6 million returns so far.
Feel Good Sunday: Unlocking the secrets to better conversations
Connecting with others involves more than just talking — it’s about asking the right questions, says journalist Charles Duhigg. He shares research-backed tools for meaningful conversations and offers a powerful approach to enhance your communication.
Curious Saturday: Discover the ‘hot shot rule’ and its impact on leadership
Confidence arises from action, not before it, according to Kat Cole, who rose from waitress to CEO of a global health company. She introduces the “hot shot rule,” a powerful practice designed to shift your mindset into leadership mode and encourage decisive action when needed.
Source: https://www.ted.com/talks/kat_cole_the_hot_shot_rule_to_help_you_become_a_better_leader
Shifting ground for investors
Since mid-February, America’s S&P 500 index has dropped only 10%. In contrast, Asian and European stock prices have risen sharply, breaking a long trend of U.S. outperformance. What’s capturing investors’ attention is the unsettling feeling of change. While some might overlook short-term price movements in favor of multi-decade returns, the impact of these recent shifts could resonate for a while.
Scaling efficiency: Simplifying processes to increase bank productivity
Bank executives constantly prioritize productivity, efficiency, and cost reduction. Past initiatives have achieved modest savings — 3% to 5% for most banks and up to 10% for leaders — but these benefits can diminish with shifting priorities.
Given current macroeconomic uncertainties, maintaining a strong focus on efficiency is essential for achieving an ROE of over 10% and an ROA above 1.5%. Improved efficiency also creates surplus cash that can be reinvested in AI, technology upgrades, data management, and cybersecurity.
Navigating AI: Strategic actions for corporate boards
AI represents a groundbreaking technological disruption, and attending board members recognize this. We are experiencing a fundamental transformation in business intelligence, beyond mere incremental advancements. Advanced AI models now reason, solve problems, and drive innovation faster than ever before, redefining competitive landscapes.
Source: https://www.bain.com/insights/what-boards-need-to-do-about-ai/
Managing AI risks in financial compliance
FIs recognize the promise of AI tools in improving compliance, but it’s still early for widespread adoption. In a recent webinar, Oliver Wyman’s David Choi and David Carretero discussed effective strategies for integrating AI into compliance and future opportunities.
Consumer debt could undermine the economy’s current stability
Recession fears raise concerns about rising consumer debt. American consumers have previously bolstered the economy through credit use. Now, renewed recession worries suggest they may be reaching their limits.
Source: https://www.wsj.com/economy/consumers/consumer-credit-debt-economy-impact-634eda8d
Feel good Sunday: Cities reimagined through light and code
Leo Villareal, an artist who works with light, color, and code instead of traditional materials, creates monumental public art.
In an inspiring talk, he discusses his projects illuminating iconic bridges — such as 25,000 LED lights on San Francisco’s Bay Bridge and uniting nine bridges along London’s River Thames — highlighting the transformative power of public art in urban spaces.
Source: https://www.ted.com/talks/leo_villareal_how_light_and_code_can_transform_a_city/transcript
Curious Saturday: The pitfalls of focusing on averages
Are you using the right data for important decisions? Sharon Zicherman, a data deconstructor, highlights how averages can be misleading in crucial moments. By re-evaluating our interpretation of data, he offers a smarter way to assess risk and make informed choices.
Source: https://www.ted.com/talks/sharon_zicherman_what_you_miss_when_you_focus_on_the_average
AI won’t solve the core issue in customer service
Customer service is often so poor that many believe AI can improve it — offering quicker responses and personalized feedback. However, its effectiveness remains uncertain. AI’s rise in this field stems from a dehumanized process that technology has contributed to, merely addressing an issue it helped create. The focus should be on improving human connection, not replacing it.
Source: https://www.ft.com/content/a3753f62-1efc-4ca3-9934-47ab9994fa87
Effective mobile strategies for customer engagement and retention
By harnessing advanced technologies like AI and analytics, alongside user-centric design principles, businesses can craft immersive mobile experiences. These strategies not only boost customer engagement but also foster long-term loyalty, ultimately driving sustainable growth in an increasingly competitive landscape.
Source: https://www.deloittedigital.com/us/en/insights/perspective/mobile-app-best-practices.html
The future of the financial services workforce
Technology and competition for talent are reshaping the financial services sector, making entry-level roles harder to fill and integrating tech into higher-level positions.
Organizations face challenges in building a robust digital workforce, focusing on:
- Resource shortages
- Talent attraction and retention
- Digital talent experience
Can US banks protect their card-issuing business?
Key takeaways:
- US banks rely on credit and debit cards for income, but global alternative payment methods are rising.
- Younger consumers in the US increasingly prefer digital wallets, buy-now-pay-later services, and peer-to-peer payments.
- These trends challenge banks’ future card revenues and customer loyalty.
- To remain competitive, US banks need to improve CX, modernize technology, integrate various payment options, eliminate silos in payments, and use data with generative AI for personalized offerings.
Source: https://www.bain.com/insights/can-us-banks-protect-their-card-issuing-business/
DeepSeek represents a major leap in AI
Key takeaways:
- It improves performance while reducing costs, showing that AI can be faster, cheaper, and more valuable.
- Its opensource framework supports AI commoditization and showcases engineering excellence for others to leverage.
- Innovations in microarchitecture and memory segmentation from DeepSeek are set to transform future AI hardware design for improved efficiency.
Feel good Sunday: Making anxiety your ally
When anxiety arises, the instinct is often to push it away. Clinical psychologist David Rosmarin encourages us to view anxiety differently, highlighting its potential benefits and offering four practical steps to turn it from foe into friend.
Source: https://www.ted.com/talks/david_h_rosmarin_how_to_make_anxiety_your_friend
Curious Saturday: 5 tips to improve critical thinking
Daily, we face countless decisions, and perfection isn’t always possible. However, improving our decision-making is achievable through critical thinking. Samantha Agoos outlines a 5-step process that can assist with various challenges.
Source: https://www.ted.com/talks/samantha_agoos_5_tips_to_improve_your_critical_thinking
A new era for silver: challenging gold’s dominance
It’s an exciting time for gold enthusiasts. Silver‘s price typically aligns with gold’s, given its rarity and historical use in jewelry and coins. This established role as a store of value enhances its appeal during uncertain times. Like gold, silver’s limited supply makes it a solid hedge against inflation. Recently, both metals surged as investors reacted to geopolitical unrest and rising prices, defying the usual trend where their values drop with increasing real interest rates since they yield no income.
Source: https://www.economist.com/finance-and-economics/2025/03/05/why-silver-is-the-new-gold
Strengthening risk controls for bank-fintech alliances
As fintechs expand and collaborate with traditional banks, effective third-party risk management is increasingly important for both parties. Challenges arise when ensuring that bank partners adhere to the same standards — including regulatory compliance. Non-compliance can lead to diminished capital access, increased operational costs, reputational damage, and potential penalties.
The role of GenAI in business transformation
As organizations embark on integrating GenAI, leaders must acknowledge the complex challenges and opportunities in their transformations.
By assessing readiness, choosing strategic use cases, and establishing a robust foundation of people, processes, and compliance, CTOs can effectively guide their organizations through the evolving GenAI landscape.
Sustainable change demands more than technology; in this crucial moment, CTOs’ foresight and leadership are essential.
When will generative AI become mainstream?
The journey to widespread GenAI adoption is slower than anticipated. However, the pace of AI innovation is picking up quickly. It’s crucial for businesses to embrace this shift and leverage new technologies to maintain their competitive edge.
Gen Zs and Millennials find reasons for optimism amid challenges
Deloitte’s 2024 Gen Z and Millennial Survey, featuring over 22,800 respondents across 44 countries, highlights a rising optimism among these generations despite their future concerns. The survey identifies five key areas where they are navigating the balance between uncertainty and hope as they plan ahead.
Feel good Sunday: The difference between winning and succeeding
Coach John Wooden redefines success with simplicity, inspiring us to pursue our best selves. In this talk, he shares advice for his UCLA players, quotes poetry, and recalls his father’s wisdom.
Source: https://www.ted.com/talks/john_wooden_the_difference_between_winning_and_succeeding
Curious Saturday: The mystery of motivation
Career analyst Dan Pink explores motivation, revealing a key insight: traditional rewards aren’t as effective as many managers believe. Tune in for insightful stories and potential solutions.
Source: https://www.ted.com/talks/dan_pink_the_puzzle_of_motivation
How cheap can investing be?
For retail investors, exchange-traded funds (ETFs) mark a significant shift in finance. Since their introduction in the 1990s, ETFs have eliminated the need for costly fund managers and saved trillions with low fees.
The first American ETF, SPY, had an annual fee of just 0.09%. VOO launched in 2010 with even lower fees at 0.03%. However, new American ETFs now feature fees only 0.2% points below pricier mutual funds — down from a gap of 0.7% points in 2014, according to Morningstar. However, fees on new ETFs are increasing; many established recently charge at least 0.5%.
Source: https://www.economist.com/finance-and-economics/2025/02/26/how-cheap-can-investing-get
Adapt or disappear: The fate of North American banks
While banks often tout bright futures, investor reactions reveal stark valuation disparities.
Top performers boast market capitalizations well above book value and future earnings, granting them flexibility for growth — akin to early tech firms.
Conversely, underperformers face mounting pressure for drastic changes, including breakups, unless management adopts automation and streamlines costs.
Is the CISO finally recognized as a key strategic player?
Cybersecurity is now seen as a vital board-level concern, prompting many organizations to involve chief information security officers (CISOs) in strategic decision-making. This shift has been suggested since the mid-2010s.
Despite ongoing discussions, experts still advocate for CISOs to transition from a defensive role to one focused on growth and technology-influenced business decisions.
After years of advocacy, 2024 might be the year when more businesses embrace this change.
Source: https://www2.deloitte.com/us/en/insights/topics/strategy/ciso-and-cybersecurity-strategy.html
Credit cards: The go-to choice for 77% of boomers
Older consumers favor traditional credit, with 77% of boomers and seniors actively using credit cards. In contrast, interest in newer options like BNPL is minimal. Only 4.5% of boomers and seniors have active BNPL accounts, compared to 18% of millennials and 16% of bridge millennials.
Source: https://www.pymnts.com/credit-cards/2025/77-of-baby-boomers-and-seniors-use-credit-cards-more/
Strategic decisions only a CEO can make
CEOs need a clear understanding of how they can uniquely contribute to the long-term success of their organizations — what to focus on, what to simplify, and where to lead from the front.
The chief executive must help create purpose and clarity, focus and force, capacity, and organizational drive while reducing unnecessary complexity and unhealthy friction.
With limited time and deeply complex challenges to address, CEOs must zero in on those areas where their distinct role and expertise will add disproportionate impact.
Source: https://www.bcg.com/publications/2025/six-moves-ceos-can-make-to-drive-change
Feel good Sunday: Celebrating the special bond with our dogs
What creates the special bond between people and dogs? Elias Weiss Friedman, founder of The Dogist, has captured this connection through his dog portraits that showcase each pup’s personality. In this photographic journey, he shares insights from his travels documenting our four-legged companions — reminding us how dogs enrich our lives.
Source: https://www.ted.com/talks/elias_weiss_friedman_the_unique_love_between_humans_and_dogs
🌟 Celebrating women at Loquat and beyond! 🌟
This International Women’s Day, we at Loquat honor and celebrate the incredible women who drive innovation, leadership, and impact — not only within our company but also among our valued partners and clients.
Every day, we are inspired by the resilience, creativity, and leadership of the women shaping the future of financial services. We are proud to stand alongside them as they break barriers and advance equity across industries—including credit unions, community and regional banks, and technology.
Join us in recognizing and celebrating the achievements of women everywhere!
How should we confront danger?
Risky situations are a part of life, and our reactions can shape the results. By calmly assessing risks and considering outcomes, we enable informed choices. Building resilience and seeking support strengthens our ability to tackle challenges effectively.
Source: https://www.ft.com/content/b5fcda82-ead9-46ac-8d0c-2b4d3f8d5fa0
Are US banks ready for consolidation?
The US banking sector remains fragmented, with over 4,000 federally insured institutions. Rising regulatory and technology costs create strong incentives for consolidation.
Yet, non-crisis mergers and acquisitions have fallen below 50% of the historical average since the global financial crisis (GFC). M&A activity among large banks has dropped to just 10% of pre-GFC levels due to regulators’ anti-consolidation stance. Despite this, many in the industry believe this position will eventually change.
How top performers leverage innovation for growth
Innovation and growth go hand in hand. Companies that create new offerings and business models can better seize growth opportunities and protect against disruption.
A recent McKinsey survey of 1,039 companies globally highlighted this link. The majority of respondents cited innovation as the key strategic factor for driving growth in the next year.
Investors are concerned that inflation may be resurfacing, and they could be correct
After peaking at 11% in 2022, inflation in the developed world has been on a decline — until recently. With central banks lowering interest rates, headline inflation has risen from 2.1% in September to 2.5% in December.
Market sentiments are mixed about the potential return of high inflation. Expectations indicate that the Fed might pursue looser monetary policy soon, influencing other central banks as well. While falling government-bond yields suggest some relief regarding inflation fears, a model from the Fed’s Cleveland branch shows market expectations for next year’s inflation have increased from approximately 2.2% to 2.7%.
How can banks effectively adapt to the changing landscape of software engineering?
As banks transition into an AI driven future, they must adopt new strategies for software engineering, focusing on talent and third-party partnerships.
A Citigroup report predicts that AI could boost global banking profits by $2 trillion by 2028 — a 9% increase over five years. Many banks are working to incorporate machine learning, neural networks, natural language processing, and generative AI tools to enhance efficiency and create new value.
An AI-enabled bank can transform CX and improve employee productivity. However, challenges like tech debt, strict regulations, and complex technology infrastructures may hinder this progress.
Feel good Sunday: Embrace your inner star
Actor and writer Natasha Rothwell joins “On the Spot,” TED’s quick Q&A. She shares insights on creativity, representation, love, her career’s first “pinch me” moment, and a recent mind-blowing discovery.
Curious Saturday: The power of self-talk
Your inner voice can aid self reflection and planning, but it may also entrap you in negative thought patterns — what psychologist Ethan Kross refers to as “chatter.”
He offers strategies for calming unhelpful thoughts while utilizing this internal dialogue to combat doubt, improve focus, and boost your wellbeing.
Source: https://www.ted.com/talks/ethan_kross_do_you_talk_to_yourself_here_s_how_to_harness_your_inner_voice
The enduring appeal of “Saturday Night Live”
On February 16th, “Saturday Night Live” (SNL) marked its 50th anniversary on air with 979 episodes. The show holds unparalleled Emmy records: 331 nominations and 90 wins, far surpassing second-place “Game of Thrones,” which has 59 wins.
“SNL” has launched the careers of many renowned comedians who excel in writing, directing, and acting across various media. Millions tune in live each week, while even more watch online; over 540 million users have liked its TikTok videos.
Its enduring success reflects a masterful blend of conservatism and innovation.
Source: https://www.economist.com/culture/2025/02/13/the-secret-to-the-success-of-saturday-night-live
Better banking through omnichannel CX
To create an effective omnichannel experience, banks must grasp the customer journey and invest in secure, interconnected technology.
By prioritizing customer needs and personalizing interactions, your bank can offer a seamless and engaging experience that meets modern expectations.
A successful omnichannel strategy increases customer satisfaction, fosters loyalty, and drives long-term growth in the competitive banking sector.
Source: https://rsmus.com/insights/services/digital-transformation/customer-experience-for-banks.html
It’s time for North American banks to get serious about efficiency
North American banks have historically accepted a high cost-to-income ratio, standing at 60% as of June 2024, compared to their global peers. While structural factors like wage rates and the fragmented US market play a role, inefficiencies also arise from branch-heavy operations and reliance on outdated practices like paper check payments.
Some banks are now shifting focus towards improving core business operations instead of relying solely on digital ventures. Strategies include streamlining branch locations, automating back-office functions, and equipping relationship managers with digital tools for improved productivity in lucrative areas.
If North American banks could reduce their ratio from 60% to the 42% seen in Nordic counterparts, it could lead to an estimated $200 billion in cost savings.
Source: https://www.bain.com/insights/will-north-american-banks-get-serious-about-efficiency-snap-chart/
Will banks continue to exist in the future?
Historically, banks were the main source of financing for consumers and businesses, providing loans for homes, cars, and economic ventures. However, their dominance has declined. In 1975, banks represented about 60% of total lending in the U.S.; today that figure is around 35%. Numerous alternative credit providers now compete in this space. Despite this shift, banks fulfill a crucial role: they serve as safe havens for financial assets during crises. They offer stability when credit markets falter, such as at the onset of the COVID-19 pandemic. While their market share may be decreasing, banks’ essential function as a reliable refuge persists — but it comes at a cost.
The golden mirage: 4,000 years of misunderstanding gold
Gold’s allure for wealthy pessimists and anxious central bankers stems from its detachment from the wider economy. When crises hit and bank accounts falter, gold is seen as a lasting refuge.
However, this perception carries risks. What seems like security may actually be a trap. In myth and literature, those who hoard gold often face severe consequences that serve as cautionary tales.
Source: https://www.ft.com/content/16d13b98-b1e7-4454-87c9-6f9060723f58
Feel good Sunday: Success, failure, and the drive to create
Elizabeth Gilbert was once a rejected waitress but later soared with ‘Eat, Pray, Love.’
She reflects on how success can be as confusing as failure and shares a challenging yet straightforward way to keep moving forward.
Source: https://www.ted.com/talks/elizabeth_gilbert_success_failure_and_the_drive_to_keep_creating
Curious Saturday: Do schools kill creativity?
Sir Ken Robinson passionately argues for an education system that nurtures creativity instead of stifling it.
Source: https://www.ted.com/talks/sir_ken_robinson_do_schools_kill_creativity
Why matcha, derived from green tea, is trending right now
Matcha’s rising popularity outside Asia can be attributed to its reputation as a healthier coffee alternative.
Studies indicate that the antioxidants in green tea may help reduce cardiovascular disease risk, enhance gut health, and boost metabolism. It also provides a more stable energy increase compared to coffee’s rapid highs and lows.
While a cup of coffee typically contains 100-200mg of caffeine, matcha has about 70mg along with L-theanine, an amino acid that promotes concentration and alertness.
Driving meaningful change for transformation success
Successful, large-scale transformations hinge on a strong case for change, regulated pacing, visible and empathetic leadership, and a blend of central coordination with democratic execution.
Before initiating transformation, assess the organization’s capabilities to identify areas needing improvement in leadership or the transformation office. This understanding is crucial for crafting an effective narrative that supports the case for change.
Only then can the organization implement and sustain the necessary changes for success.
GenAI: More than just a compliance challenge — it’s an enabler
GenAI is being widely adopted across companies as individual units leverage it to bolster productivity. This decentralized approach creates challenges for risk and compliance (R&C) teams, as ad hoc implementations may fail to meet essential regulations.
Source: https://www.bcg.com/publications/2025/genai-isnt-just-a-headache-for-risk-and-compliance
Bain – 2025 M&A outlook
Key Takeaways:
- Bain anticipates that interest rates and regulatory hurdles will lessen in 2025, facilitating more deals
- Ongoing tech disruption, post-globalization dynamics, and evolving profit pools are prompting companies to explore various M&A strategies
- Successful firms will adopt a bolder approach to value creation to navigate new deal economics
- Mastery of AI in M&A processes may prove as crucial as deal frequency for predicting success
Source: https://www.bain.com/insights/looking-ahead-m-and-a-report-2025/
With interest rates on the rise, why are speculators still so active?
The ongoing mystery is why speculation remains rampant in the bull market, even with easy money seemingly over. While exuberance made sense during last decade’s near-zero rates, the Federal Reserve raised interest rates from almost zero to nearly 5% in 2022. Yet, after a brief slowdown, speculative activity has surged again across various US asset classes, particularly driven by AI and memecoins.
Source: https://www.ft.com/content/ec452f8e-f2ad-4c98-a150-9eff84b0c692#comments-anchor
Feel good Sunday: The science of happiness
Dan Gilbert, author of “Stumbling on Happiness,” argues against the belief that we’ll be unhappy without getting what we want. Our “psychological immune system” enables us to find genuine happiness even when things go awry.
Source: https://www.ted.com/talks/dan_gilbert_the_surprising_science_of_happiness
Curious Saturday: 6 steps to forge stronger digital relationships
Networking expert Margaux Miller shares tips for cultivating meaningful relationships online. Focus on quality over quantity, prioritizing genuine and personalized interactions. Discover practical suggestions to enhance your approach, fostering both personal and professional growth.
https://www.ted.com/talks/margaux_miller_6_ways_to_make_better_connections_online
The allure of company towns
Leading a large firm in a small community often influences decision making. When corporate choices impact local neighbors, friends, and family, leaders are more incentivized to make thoughtful decisions.
Research on hometown CEOs supports this idea; they tend to have stronger ties to their company’s location and greater concern for their local reputation.
Studies indicate that these leaders are less inclined to cut R&D budgets under short-term pressures or take risks like increasing leverage. Whether this reflects long-term thinking or caution depends on one’s perspective.
Source: https://www.economist.com/business/2025/01/30/the-allure-of-the-company-town
Loquat and Plaid partner to bring open banking to credit union and community bank customers
Through this strategic partnership, Loquat seamlessly integrates Plaid’s advanced connectivity infrastructure into its digital banking platform. This integration empowers financial institutions to offer customers secure account linking, access to real-time, permissioned financial data, and streamlined financial management. It also facilitates efficient fund transfers for new account openings, reducing attrition caused by funding delays or failures.
Partnership brings seamless financial connectivity integration to Loquat’s business cloud banking platform.
More information: https://loquatinc.io/news/loquat-and-plaid-partner-to-bring-open-banking-to-credit-union-and-community-bank-customers/
Investment criteria for North American banks
There is significant variation among banks in attracting investor interest for profitable growth. Investors have increasingly pressured North American banks to improve their valuations. Despite efforts to improve returns, valuation discrepancies remain substantial. Achieving a strong return on equity (ROE) is ineffective if it fails to gain investor trust. Bank leaders aiming for higher valuations must focus on fostering confidence in future growth potential.
Source: https://www.bain.com/insights/what-investors-want-from-north-american-banks-snap-chart/
Understanding the difference: DevOps vs. DevSecOps
DevSecOps builds on DevOps by incorporating security testing and compliance checks while maintaining agility, especially in regulated industries.
It emphasizes integrating security throughout the software development cycle, addressing risk concerns that come with adopting DevOps practices.
By involving security teams in collaborative efforts and implementing continuous monitoring, DevSecOps shifts focus on security both early (during development) and later (post-deployment).
This proactive approach reduces backtracking during testing phases, leading to faster development cycles, happier developers, safer software, and more satisfied users.
Fed signals smaller rate cuts in 2025 amid high inflation and trade risks
On December 18, 2024, the FOMC reduced the federal funds rate by 25 basis points to a range of 4.25% to 4.5%, marking its third consecutive cut.
However, more focus was on the committee’s updated monetary policy outlook for the next three years: FOMC members now predict only 50 bps in rate cuts for 2025 — half of September’s estimate — indicating that higher interest rates may persist longer than previously expected.
Feel good Sunday: Can AI be funny?
Can AI be funny, or is humor strictly human? In this engaging talk, cartoonist Bob Mankoff delves into the nature of comedy, the rise of AI, and their intersection.
Source: https://www.ted.com/talks/bob_mankoff_can_ai_master_the_art_of_humor
Curious Saturday: Does the rhythm of your heart shape your experience of time?
Have you noticed that time seems to drag when you’re bored but zip by during fun moments? Cognitive neuroscientist Irena Arslanova investigates how your brain and heartbeat shape this perception, showing that your heartbeat not only keeps you alive but also impacts whether experiences feel brief or prolonged.
Source: https://www.ted.com/talks/irena_arslanova_does_your_heartbeat_shape_your_sense_of_time
LinkedIn embraces comedy
Light-hearted content is gaining traction on a platform typically known for its unintentional humor. As the lines between personal and professional life have blurred post-pandemic, LinkedIn posts have evolved. Viral content includes candid reflections on struggles and humorous takes on corporate culture, remote work, and IT sales.
Source: https://www.ft.com/content/fa269927-a19c-42af-859d-b2b6b678e5fd
Five questions for CEOs about their AI strategy
Key questions:
- Am I acting swiftly enough?
- How will AI reshape my industry?
- How can AI enhance our competitive edge?
- What sets this apart, and how do I support the tech foundation?
- How should I guide the #organization on this path?
Source: https://www.bain.com/insights/winning-with-ai-five-questions-for-every-ceo/
We’re excited to welcome Michael Borrelle to the Loquat team as our new Business Development Manager!
Michael brings extensive experience in financial services, payments, and fintech, with a proven ability to drive growth and innovation. His leadership will be instrumental in strengthening our sales team, expanding our market presence, and delivering greater value to our financial institution clients.
Join us in welcoming Michael to Loquat! Connect with him to learn how we can help elevate your digital capabilities and drive growth.
8 reasons why digital transformations fail
Digital transformations often stumble due to ineffective communication, inadequate data strategies, and neglecting the human aspect of change. These pitfalls can lead to misalignment among teams, poor decision-making, and ultimately stall progress. Organizations must prioritize clear messaging and invest in #training their employees to navigate these transitions successfully.
Source: https://www.cio.com/article/228268/12-reasons-why-digital-transformations-fail.html
Key takeaways from Davos 2025
Leaders at the World Economic Forum (WEF) may misinterpret a “global mood” and spend the year trying to validate it. However, delegates largely felt “nervously optimistic.”
US investors appeared energized yet acknowledged uncertainties. In contrast, Europeans expressed concerns over economic issues and regulatory burdens.
Gulf States actively promoted both traditional energy and AI. The Chinese delegation was notably small, while developing nations sought to align with US optimism but emphasized their balanced approach towards East and West.
Source: https://www.oliverwyman.com/our-expertise/insights/2025/jan/ceo-takeaway-insights-davos-2025.html
Feel good Sunday: Marketing for a purpose
Can marketing go beyond business goals and drive positive change? Mastercard CMO Raja Rajamannar discusses how initiatives like “touch cards” for the visually impaired and customizable debit cards align profit with purpose, enabling businesses to foster meaningful impact.
Source: https://www.ted.com/talks/raja_rajamannar_the_art_of_marketing_for_good
Curious Saturday: Turning setbacks into success
Success is rarely linear, and setbacks are inevitable. So how can we bounce back Leadership coach Amy Shoenthal outlines the four phases of the “setback cycle” to help us convert challenges into opportunities for growth and reinvention.
Source: https://www.ted.com/talks/amy_shoenthal_how_to_turn_setbacks_into_success
Can you exhale your worries?
How does breathing influence mood? One theory suggests it redirects focus from negative thoughts. Research indicates that consciously slowing down breath can enhance heart-rate variability, which tends to be low in individuals with psychiatric conditions like depression and ADHD. Increasing this variability is believed to have positive effects.
Evidence also points to a shared brain circuitry for slow breathing and stress regulation in rodents. A study published in Nature Neuroscience (November 2024) found that activating pathways for slow breathing in mice reduced their anxiety behaviors.
Source: https://www.economist.com/science-and-technology/2025/01/17/can-you-breathe-stress-away
Credit scores can be harmful to your financial well-being
Primarily driven by FICO ratings, these scores prioritize lenders over consumers. You’ll gain points for having multiple credit cards and diversifying with loans like car or mortgages. However, exceeding 30% of your card limit can hurt your score. For young individuals with low limits, this system encourages taking on more debt. Timely bill payments or paying off balances won’t significantly boost your score; you could maintain a high rating just by making minimum payments—resulting in prolonged debt and accruing interest.
Source: https://www.ft.com/content/f6f71a95-9e43-41c3-9a53-f577d31832a4
Banking CX: The omnichannel advantage
To create a standout omnichannel experience, banks must understand the customer journey and invest in secure, integrated technology.
By prioritizing customer needs and personalizing interactions, banks can offer a seamless and engaging experience that aligns with modern expectations.
A well-executed omnichannel strategy enhances customer satisfaction, fosters loyalty, and drives sustainable growth in the competitive banking sector.
Source: https://rsmus.com/insights/services/digital-transformation/customer-experience-for-banks.html
A spotlight on small businesses in the US
According to McKinsey Global Institute, micro-, small-, and medium-size enterprises (MSMEs) in the US account for 39% of value added and 58% of employment, compared to 54% and 66% in advanced economies. They are crucial in professional services and construction but face challenges with productivity.
US MSMEs operate at only 47% of the productivity level of large companies, versus 60% in advanced economies. Closing this productivity gap could boost US GDP by 5.4%, compared to a potential increase of 4.7% across various advanced countries.
CFO confidence rises heading into 2025
Deloitte’s Q4 2024 North American CFO Signals survey shows a significant increase in confidence among finance leaders as they approach 2025.
Notably, 72% of CFOs now predict an improved North American economy within a year, up from just 19% in Q3. Additionally, more CFOs expect better conditions in key regional economies over the next year compared to the last.
Finance chiefs anticipate growth in their own organizations’ revenues and earnings. The fourth quarter CFO confidence score reached 5.8 — the highest level in ten quarters.
Feel good Sunday: The magic of Fibonacci numbers
Math is logical, functional, and amazing. Mathemagician Arthur Benjamin reveals the hidden wonders of the Fibonacci series, reminding us that math can be truly inspiring!
Source: https://www.ted.com/talks/arthur_benjamin_the_magic_of_fibonacci_numbers
Curious Saturday: The gift of emotional courage
Psychologist Susan David reveals how our emotional responses shape key aspects of life — actions, careers, relationships, health, and happiness.
In this engaging talk, she critiques a culture that prioritizes positivity over genuine emotions and shares effective strategies for emotional agility.
Source: https://www.ted.com/talks/susan_david_the_gift_and_power_of_emotional_courage
What constitutes a state of centeredness?
Centeredness is the practiced skill of fostering mindfulness, which involves nonjudgmental awareness of thoughts, feelings, and environment. Achieving centeredness at work enables you to respond to daily stresses in a thoughtful and strategic way.
Source: https://www.bain.com/insights/the-science-of-centeredness/
Dangers of bank deregulation highlighted by FDIC chair
The outgoing chair of the Federal Deposit Insurance Corporation cautioned that aggressive deregulation could lead to significant risks for the US financial system. Martin Gruenberg stated to the Financial Times that prioritizing short-term gains in finance may come with serious long-term costs.
Source: https://www.ft.com/content/24e6a22f-ca5d-452c-a1e5-e42ab0a978fe
Why global bond markets are in turmoil
Government-bond yields are surging worldwide. Ten-year U.S. Treasury bonds approach 5%, while German bunds have risen to 2.6% from nearly 2% in December. Japanese yields are also increasing, and in Britain, gilt yields hit almost 5%, the highest since 2008.
Rising yields mean higher debt servicing costs for governments and increased financial strain on various borrowers, including mortgage-holders linked to these borrowing expenses.
Source: https://www.economist.com/finance-and-economics/2025/01/12/why-global-bond-markets-are-convulsing
Neobanks tackle SMB market opportunities and regulatory challenges
Neobanks are gaining traction by offering fully online financial services — featuring digital onboarding, faster account openings, and competitive deposit rates — competing directly with traditional omnichannel financial institutions.
These same advantages attract smaller businesses, filling gaps left by conventional FIs. However, obstacles and risks persist.
The SMB market holds immense potential. In the U.S., over 33M small businesses operate, employing around 46% of the workforce, according to the U.S. Chamber of Commerce. The U.K. has about 5.6M smaller firms as per government statistics.
Source: https://www.pymnts.com/smbs/2025/neobanks-navigate-smb-market-potential-and-regulatory-risks/
Achieving growth: Key leadership mindsets and behaviors
For CEOs and top executives, profitable growth is the ultimate objective. This long-term endeavor can yield substantial value, with high-growth companies generating 50% higher total shareholder returns (TSR) than their counterparts. Profitable growers enjoy even greater benefits.
However, achieving sustainable growth is challenging. Research indicates that only one in ten firms has sustained above-GDP growth while remaining on the S&P 500 for three decades.
Growth requires courage, commitment, and discipline.
Feel Good Sunday: Surprising habits of original thinkers
How do creative individuals generate innovative ideas? Organizational psychologist Adam Grant explores “originals” — those who create and implement fresh concepts. In this talk, discover three unexpected habits of originals, including the importance of embracing failure. “The greatest originals are those who fail the most because they attempt the most,” says Grant. “You need many bad ideas to uncover a few good ones.
Source: https://www.ted.com/talks/adam_grant_the_surprising_habits_of_original_thinkers
Curious Saturday: The art of misdirection
Regarded as the world’s top pickpocket, Apollo Robbins examines human behavior while stealing your watch. In a humorous demonstration, he illustrates how our perceptual flaws allow him to swipe a wallet and leave it on its owner’s shoulder without them noticing.
Source: https://www.ted.com/talks/apollo_robbins_the_art_of_misdirection
Lessons learned from a unique London bakery
The Dusty Knuckle, an emerging star with 118 employees across three locations, supplies bread to Ottolenghi eateries and Michelin-starred restaurants while attracting hipsters for its £4.50 sausage rolls.
Giving back to society, the bakery aids youth offenders in turning their lives around. Over 70% of trainees secure paid work or further education, prompting the establishment of a Community Interest Company last year to connect more potential employers with these individuals.
Source: https://www.ft.com/content/73682eef-dd4e-4131-91b8-7a8c18b1d599
Bain’s strategic beliefs
In a turbulent world, core strategy principles remain timeless. While contexts evolve, these foundations endure. If you feel overwhelmed, it’s the perfect moment to revisit these principles. Though not exhaustive, these five beliefs guide Bain’s work and drive exceptional results for clients. Sustainable, profitable growth is tough — here’s what it takes.
Source: https://www.bain.com/insights/bain-beliefs-on-strategy-story/
Gartner’s 4-step product strategy framework
This framework includes 4 key components that help technology product leaders communicate effectively with stakeholders and teams, ensuring a straightforward yet comprehensive strategy process.
- Environment and market factors
- Company factors
- Vision for differentiation
- Strategic themes
Source: https://www.gartner.com/en/product-management/topics/product-strategy-roadmap
Amazon Autos: A growing threat to credit union lending
Amazon Autos isn’t just another rival; it’s a potential disruptor for credit union lending operations. This challenge also offers credit unions a chance to enhance their value proposition and strengthen member relationships through digital transformation. By investing in innovative tools and improving member experiences, credit unions can remain relevant and competitive. The time to act is now — auto lending’s future is here, driven by platforms like Amazon Autos.
Source: https://www.cuinsight.com/amazon-autos-a-growing-threat-to-credit-union-lending/
US business bankruptcies at highest level since 2010
Corporate bankruptcies in the US have surged to their highest rate since the global financial crisis. In 2024, at least 686 companies filed for bankruptcy — an increase of roughly 8% from 2023 and surpassing any year since the 828 filings recorded in 2010, as reported by S&P Global Market Intelligence.
Source: https://www.ft.com/content/ac3c1e2f-c9bc-417e-a686-7170e1bf8533
Feel good Sunday: Making stress your ally
Stress can make your heart race and cause you to sweat. However, recent research indicates that stress might only harm you if you think it does. Psychologist Kelly McGonigal encourages us to view stress positively and highlights a powerful way to reduce it: connecting with others.
Source: https://www.ted.com/talks/kelly_mcgonigal_how_to_make_stress_your_friend
Curious Saturday: How to speak so people want to listen
Do you feel unheard when you speak? Julian Treasure offers valuable insights on impactful speaking. He shares vocal exercises and tips for empathetic communication. This talk aims to make the world sound more beautiful.
Source: https://www.ted.com/talks/julian_treasure_how_to_speak_so_that_people_want_to_listen
Is the US stock market overheated?
It’s a wonderful time for investors in the U.S. stock market. After a stellar 2023, share prices have continued to rise in 2024. The S&P 500 index has surged by 54% over the past two years, achieving one of its best runs since 1957. There have been some jitters; on December 18th, shares dropped by 3% after the Federal Reserve indicated it would cut rates less than expected in 2025. However, prices have bounced back slightly and optimism remains strong. Other global markets are also climbing, but America’s stock market is leading the charge.
Source: https://www.economist.com/finance-and-economics/2024/12/22/just-how-frothy-is-americas-stockmarket
Customer experience demands disruption not small steps
Digital technologies enable companies to create unparalleled customer experiences (CX). CEOs should recognize this as a significant growth opportunity. Exceptional CX benefits both businesses and customers, setting market leaders like Amazon, Apple, and Google apart. BCG research shows that firms with the highest satisfaction scores have generated twice the shareholder value over the past decade compared to average scorers. These companies enjoy better earnings and higher price-to-earnings ratios, leading to greater total shareholder returns.
Source: https://www.bcg.com/publications/2021/customer-experience-as-a-business-imperative
How can you reduce costs while driving growth?
The rise of AI complicates tech investments, necessitating ongoing focus to find the right balance.
Key questions to consider:
- Do you understand the true cost drivers behind technology spending?
- What IT cost optimization strategy best unlocks your firm’s full potential?
- Are cost-cutting measures aimed at building resilience rather than sacrificing essential resources for future growth?
Source: https://www.ey.com/en_us/cio/it-cost-optimization-growth-strategies
Fast and impactful digital bank creation
Digital-native neobanks are transforming banking by prioritizing customer experience through convenience, low fees, and seamless tech integration. They continually improve their services by leveraging technology to gather direct or indirect customer feedback. This data informs product iterations, ensuring alignment with customers’ changing needs.
Hardware is reshaping the world
The AI revolution requires significant energy and hardware resources, making enterprise infrastructure crucial again. NVIDIA has become one of the most valuable companies globally as specialized chips gain importance for AI workloads.
Deloitte research indicates that the market for generative AI-specific chips is expected to exceed US$50 billion this year.
Source: https://www2.deloitte.com/us/en/insights/focus/tech-trends.html#hardware-is-eating
Feel Good Sunday: Embrace Discomfort
Luvvie Ajayi Jones boldly voices her thoughts and challenges the status quo. “Your silence serves no one,” says the activist and writer. In this inspiring talk, she presents three key questions to guide you when deciding whether to speak up or hold back, urging us all to become more at ease with discomfort.
Source: https://www.ted.com/talks/luvvie_ajayi_jones_get_comfortable_with_being_uncomfortable
Curious Saturday: 3 reasons to take risks like a teenager
Is channeling your inner teen essential for adult success? Neuroscientist Adriana Galván reveals three insights from her research on adolescent brain development. She highlights how teens can guide us in embracing uncertainty, questioning norms, and taking strategic risks — key ingredients for a bold life.
Source: https://www.ted.com/talks/adriana_galvan_3_reasons_to_take_risks_like_a_teenager
5 New Year’s resolutions for CEOs In an AI world
As AI transforms business, here are five key resolutions for executives based on a Bain survey:
- Strengthen data governance
- Explore unstructured data opportunities
- Understand agentic workflow creation
- Unite tech and business leaders
- Invest in scalable AI architecture
Source: https://www.forbes.com/sites/selk/2024/12/19/5-new-years-resolutions-for-ceos-in-an-ai-world/
The future of retail banking: Digital transformation and branch evolution
As bank branches decline and digital interactions rise, customers still value face-to-face financial discussions.
Retail banking is transforming rapidly. With technological advancements and a demand for convenience, customers increasingly prefer digital channels to engage with their banks.
However, the need for in-person interactions remains crucial — especially for complex products. This highlights a hybrid future where banks integrate digital innovation with vital in-person services to adapt to evolving customer needs.
Emerging marketing trends: Tech innovations and CMO roles
Digital technologies and social media have transformed marketing into a more dynamic, personalized, and data-driven field. Organizations are utilizing advanced analytics and AI to understand customer behavior, preferences, and trends deeply. The potential for large-scale personalization has never been greater — enabling precise messaging to the right audience at the optimal time.
Happy New Year!!!
RSM US Middle Market Business Index | Q4 2024 update
The RSM US Middle Market Business Index (MMBI) rose to 131.8 in Q4 from 130.4, indicating strong business conditions fueled by robust household spending and solid fixed investment.
Key takeaways:
- MMBI increased to 131.8 in Q4 from 130.4
- The rise reflects healthy business conditions driven by consumer spending and supply-side support
- Almost two-thirds of executives expect economic improvement over the next six months
Feel Good Sunday: What makes your favorite songs special?
Songs are the soundtrack of our lives. But what creates that emotional connection Songwriter Scarlet Keys explores the techniques musicians use to craft unforgettable melodies — like tone, repetition, lyrics, and chords — and reveals how music transforms moments into lasting memories.
Source: https://www.ted.com/talks/scarlet_keys_why_do_you_love_your_favorite_songs
Curious Saturday: How to navigate big decisions in difficult situations
When making a big decision, should you trust your gut or follow the data? Emergency manager Jonathan Reimer draws on his experience responding to some of Canada’s largest wildfires to share advice on high-stakes decision-making that you can take to your boardroom, kitchen table or anywhere else.
Source: https://www.ted.com/talks/jonathan_reimer_how_to_make_big_decisions_in_challenging_circumstances
Spanish secrets to European success
Spain‘s economy is set to lead the rich world in 2024, excelling in areas such as GDP growth, inflation control, unemployment rates, fiscal policy, and stock market performance. Its economic growth and job creation rates are currently outpacing those of the United States.
Source: https://www.economist.com/leaders/2024/12/12/what-spain-can-teach-the-rest-of-europe
Driving faster AI adoption by managing risks
Risk and compliance (R&C) leaders must ensure responsible AI use, transforming processes, and improving decision-making.
Key takeaways
- By supporting a responsible AI framework, R&C can facilitate secure scaling without hindering innovation.
- AI enhances the efficiency of risk processes and promotes dynamic, risk-based decision-making.
- R&C should prioritize high-value activities and emphasize collaboration between humans and AI for transformative change.
Source: https://www.bcg.com/publications/2024/managing-risks-to-accelerate-ai-transformation
Merry Christmas!
The evolution of B2B success: From transactions to transformations
Historically, middle and back offices were reactive, focusing on reconciling accounts and ensuring compliance. Now, they’ve evolved to take proactive roles by utilizing real-time data and advanced analytics for trend anticipation and risk identification.
Innovation extends beyond product development or customer acquisition.
These areas are becoming prime platforms for cutting-edge technologies like AI and automation. By automating repetitive tasks, digital solutions enable teams to concentrate on high-value activities that enhance business differentiation.
2025 US M&A market outlook
EY-Parthenon (EYP) anticipates a robust increase in M&A deal volume driven by economic indicators.
Key insights:
- EYP forecasts a 10% rise in M&A activity in 2025, following a projected 13% growth in 2024
- Private equity is expected to see a significant 16% increase in deals in 2025
- Corporate M&A is predicted to grow by 8% next year
Source: https://www.ey.com/en_us/insights/mergers-acquisitions/m-and-a-outlook
Feel good Sunday: The secret to confident public speaking
Why do we get nervous when speaking in public? Communication expert Lawrence Bernstein suggests that approaching it like a casual conversation can ease the pressure. He introduces the “coffee shop test” to help you reduce anxiety, engage your audience, and convey a memorable message.
Source: https://www.ted.com/talks/lawrence_bernstein_the_trick_to_powerful_public_speaking
Curious Saturday: Your Childhood Toys and Your Life Story
What was your favorite childhood toy? According to toy historian Chris Byrne, the answer may reveal more about you than you think. From Matchbox cars to Squishmallows, he examines how toys reflect cultural values and shape who we become as adults.
Source: https://www.ted.com/talks/chris_byrne_how_your_childhood_toys_tell_your_life_story
56% of CFOs rely on virtual cards for financial agility
Middle-market firms are leveraging virtual credit cards to optimize working capital. Combining the flexibility of traditional credit cards with improved spend tracking and control, virtual cards are increasingly popular among North American companies earning between $50M and $1B.
How financial institutions can overcome tech modernization challenges
Declining costs and timelines in core system componentization make migrations more feasible. Shifts in business and technology models, driven by modern delivery methods and flexible software options, support this trend.
Migration risks are lower than maintaining legacy systems, as cloud solutions provide greater flexibility and cost efficiency through incremental upgrades and usage-based pricing.
These combined factors present a significant opportunity for institutions to initiate migration and transformation efforts.
2025 outlook: The year ahead
- Economic growth is expected to be between 2.2% and 2.5%, bolstered by full employment and stable prices.
- RSM predicts four Federal Reserve rate cuts of 25 basis points each, while the 10-year Treasury yield may approach 4.5%, possibly hitting 5% by year-end.
- Ongoing growth is anticipated in 2025, with only a 15% chance of recession within the next year.
- Expect continued trade restrictions and policies aimed at reinforcing critical domestic supply chains and ensuring abundant energy sources.
Source: https://rsmus.com/insights/economics/the-us-economic-year-ahead-2025.html
Harnessing the advantages of Bancassurance
Bancassurance benefits banks, insurers, and customers alike. A BCG survey identifies best practices for leveraging this opportunity.
Key takeaways
- Bancassurance boosts profitability for banks and insurers while improving customer access to insurance.
- Top banks utilize exclusive partnerships that focus on tailored insurance solutions.
- All bancassurers must enhance digital and AI capabilities for long-term success.
Source: https://www.bcg.com/publications/2024/benefits-of-bancassurance
Venture pulse – Q3 2024
Venture capital investment in the US fell in Q3’24, driven in part by an expected seasonal slowdown in deals activity. In Q3’24, VC investment in AI surged despite market uncertainty.
Given the quiet IPO activity over the past two years, many eyes will be on IPO market in Q4’24 and into 2025 with the hope of a significant reopening of activity. While it might take time for IPOs to materialize, there could be an increase in the number of companies announcing their intent to go public over the next few quarters.
Source: https://kpmg.com/us/en/articles/2024/venture-pulse-q3.html
Feel good Sunday: Art’s healing power
Lily Yeh, a barefoot artist, travels globally with art supplies, inviting collaboration. In her talk, she shares how her projects transform “broken” public spaces into vibrant community hubs.
Source: https://www.ted.com/talks/lily_yeh_how_art_transforms_brokenness_into_beauty?subtitle=en
Curious Saturday: Success grows from taking risks
Career success varies for everyone, but taking risks is essential across all industries.
Molly Graham, a company and community builder, highlights three key skills to master before making bold moves — offering a route beyond the corporate ladder into genuine professional and personal development.
Transforming European savings into investment, innovation, and growth – Christine Lagarde
Europe has abundant ideas, innovators, and savings. Europeans save a larger portion of their income than Americans and are competitive in global patent applications. However, Europe often struggles to convert these ideas into technologies that stimulate growth.
One challenge is the difficulty in channeling substantial savings into scaling innovations compared to the United States. Europe needs to refocus on identifying key bottlenecks in financing while prioritizing solutions with the greatest potential impact — three of which stand out today.
Banking M&A: Merger of equals
In light of heightened regulatory scrutiny after recent bank failures, small to midsize banks are pursuing mergers of equals to enhance stability and compliance.
These partnerships require not only financial alignment but also cultural and operational integration based on shared objectives and fair governance.
Thorough due diligence is crucial for banking M&A, along with a balance of careful planning and flexibility post-merger, to ensure immediate gains and long-term adaptability.
Source: https://www.ey.com/en_us/insights/strategy-transactions/banking-m-a-quick-takes-mergers-of-equals
Consumer sentiment report: December 2024
Key takeaways:
- Deloitte’s financial well-being index hit a four-year high of 104.3 in October, rising by 5.3 points from September and 14.2 points year-over-year.
- In October, 77% of higher-income respondents reported improved finances, up 14 points from 2022; only 54% of lower-income respondents saw similar improvement.
- Discretionary spending intentions have risen for the fifth month but remain below 2021 levels.
- Spending intentions vary by category: Housing, leisure travel, and groceries show strong gains compared to 2021, while clothing and home furnishings lag behind.
Source: https://www2.deloitte.com/us/en/insights/economy/consumer-pulse/state-of-the-us-consumer.html
The rise of embedded finance
Key takeaways:
- Embedded finance has transformed from a niche idea to a key player, fueled by increased digital and contactless payments during the pandemic.
- The market is projected to grow rapidly, with an anticipated CAGR of 21%, expanding from $83B in 2023 to $240B by 2033.
- Regulatory changes are enhancing competition while promoting transparency and security.
- Success hinges on building trust, utilizing insights, and ensuring seamless customer experiences for FIs and brands.
Source: https://www.lek.com/insights/fin/us/ei/embedded-finance-revolution-fast-furious-and-just-beginning
A CEO’s self-assessment: key questions
Top CEOs often rely on core mindsets. This McKinsey checklist transforms these mindsets into actionable practices to elevate their companies.
McKinsey has developed a vital checklist encompassing six key responsibilities for CEOs: setting direction, aligning the organization, mobilizing leaders, engaging the board, connecting with stakeholders, and enhancing personal effectiveness.
This framework is informed by extensive interviews with over 70 successful current and former CEOs of the 21st century, including figures like Microsoft’s Satya Nadella and JPMorgan Chase’s Jamie Dimon.
Feel good Sunday: The power of classical music to transform
Benjamin Zander passionately shares classical music and inspires us to discover our hidden affinity for it — unlocking new possibilities, experiences, and connections.
Source: https://www.ted.com/talks/benjamin_zander_the_transformative_power_of_classical_music
Curious Saturday: Body language and identity
Body language not only shapes others’ perceptions of us but also influences our self-view. Social psychologist Amy Cuddy suggests that “power posing” — adopting confident postures — can enhance feelings of confidence, potentially increasing our chances for success.
Source: https://www.ted.com/talks/amy_cuddy_your_body_language_may_shape_who_you_are
The case for investing outside the U.S.
For much of the last two decades, European stocks have been cheaper relative to earnings than American ones. Many believed this indicated better returns and lower crash risks — but they were wrong.
The key reason to consider international markets is the disparity in exposure and valuation between American and foreign firms. About 40% of U.S. company earnings come from abroad, while foreign companies derive 20% of their profits from America, indicating a shared profit landscape.
Despite this overlap, American companies are valued significantly higher relative to earnings than their foreign counterparts. This gap is often attributed to better profit margins and management but raises questions about market valuations based on differing multiples for domestic versus international earnings. With U.S. shares at near-record high valuations, it’s conceivable that a correction could be pending as these discrepancies seem increasingly unjustifiable.
The broadening scope of Board duties
Key Takeaways:
Boards are navigating complex challenges such as climate sustainability, GenAI, and geopolitical disruptions. Insights from a BCG survey of over 400 directors include:
- Most directors believe their company understands the impacts of sustainability and geopolitics, but there’s uncertainty regarding GenAI.
- Progress in sustainability is evident; only 27% report lacking a strategy to leverage sustainability shocks for competitive advantage, down from 46% last year.
- Governance is evolving, with more than 60% of directors indicating enhancements in risk management practices.
Source: https://www.bcg.com/publications/2024/expanding-agenda-for-boards-of-directors
Protect tech investments by demonstrating value
With increasing tech budgets comes heightened scrutiny, particularly as CFOs remain cautious. Many leaders still rely on traditional measures to assess tech investment impacts, which may undervalue the true benefits and risk defunding or underfunding.
In 2023, Deloitte’s Center for Integrated Research surveyed 1,600 global business and technology leaders about their KPIs for evaluating tech investments. The most commonly used KPIs were financial metrics, process performance, and customer metrics. While these are essential measures, an exclusive focus on them can overlook the broader value of technology.
**Adapting to a transformed banking industry**
In July 2024, the Risk Management Association (RMA) surveyed 177 chief risk officers (CROs) from North American banks about their main challenges. They highlighted that the industry has been significantly altered by the 2023 regional bank crisis, leading to stricter regulations.
The latest RMA, ProSight, and Oliver Wyman CRO Outlook Survey indicates that banks are now operating in a different landscape than before the crisis. Risks are evolving more rapidly, regulators have heightened expectations, and consequently, the role of risk management in strategic planning has expanded.
This report examines seven key themes derived from survey findings and interviews with respondents to illustrate how banks are adapting to this new environment while tackling ongoing challenges.
What regulates AI?
AI guardrails ensure that an organization’s AI tools align with its standards, policies, and values. While gen-AI can enhance efficiency and innovation, it also poses challenges. As the adoption of gen-AI accelerates, guardrails are essential for responsible usage. They help detect and eliminate inaccuracies from LLMs and monitor risky prompts.
Source: https://www.mckinsey.com/featured-insights/mckinsey-explainers/what-are-ai-guardrails
Feel good Sunday: Good jobs, good business
Many essential jobs — like cleaning and elderly care — pay so little that workers struggle to survive. Nonprofit leader Zeynep Ton aims to change this, highlighting the benefits of livable wages and growth opportunities for everyone involved.
Source: https://www.ted.com/talks/zeynep_ton_the_case_for_good_jobs_and_why_they_re_good_for_business_too
Curious Saturday: Embracing silly questions and fortunate mistakes fuels innovation
For launching initiatives in big corporations, collaborate with the system instead of resisting it, advises “intrapreneur” Dave Raggio. He shares 3 hard-earned lessons on innovation to save you time.
Luck, skill, and the stock market
In a Financial Times article, Simon Edelsten suggests that playing bridge enhances his investing skills. Both activities engage similar cognitive processes, as they involve recognizing patterns and making informed responses.
Victor Mollo and Nico Gardener’s guide to bridge play is aptly titled “The Art of Being Lucky.” The title is ironic; what appears to be luck stems from solid technique developed through practice and experience.
Source: https://www.ft.com/content/4041396f-c6be-4ad1-8d5b-3e876984f958#comments-anchor
Happy Thanksgiving from the Loquat team!
Impact of rising capital costs on the U.S. economy
The interplay between the public, businesses, and monetary policymakers is intricate. The Federal Reserve’s shift to lower interest rates will significantly affect the wider economy. Years of zero interest rates have shaped a generation of market-savvy professionals now facing uncertainty. This transition period will bring considerable costs as companies adapt to stay competitive. To succeed, they should focus on enhancing free cash flows and enterprise value. Recognizing the changing landscape and adjusting accordingly will lead to future benefits.
Source: https://rsmus.com/middle-market/the-real-economy.html
Royal Caribbean’s digital transformation
The swift evolution of digital technology has raised customer expectations, pushing organizations to innovate. EY reports indicate that 50% of CEOs feel their companies haven’t taken adequate steps against disruption, jeopardizing market leadership.
For Royal Caribbean, this involved reimagining the entire customer journey and integrating advanced technologies to enhance guest experiences in the Transformative Age.
Embrace the digital opportunity
An all-in strategy in digital sets leaders apart.
A recent L.E.K. survey of 1,000 digital executives reveals that some companies, termed “digital leaders,” have advanced significantly by digitizing their existing processes and using digital as a catalyst for future growth.
Feel Good Sunday: Staying focused under pressure
Athletes condition their bodies, but what about their minds? Quarterback Russell Wilson shares his approach of “neutral thinking,” a method that helps him excel under pressure both on and off the field. Learn how to apply this mindset for better decision-making in your life.
Curious Saturday: Defending democracy and combating autocracy
Leopoldo Lopez, a freedom fighter, highlights that 72% of the global population lives under autocratic rule. In his powerful appeal to protect democracy, he recounts his imprisonment and exile for opposing Venezuela’s authoritarian regime. Lopez envisions a united effort across borders to promote freedom and eliminate autocracy.
Source: https://www.ted.com/talks/leopoldo_lopez_how_to_defend_democracy_and_fight_autocracy?subtitle=en
The benefits of being wrong
Even the biggest mistake-makers can achieve greatness. In “Right Kind of Wrong,” Harvard Business School professor Amy Edmondson discusses how to foster a positive relationship with failure. She asserts that in our complex world, striving for excellence involves taking risks, and it’s crucial to identify what should change for next time.
Edmondson emphasizes that neither individuals nor organizations can learn if they ignore their mistakes. Instead, failures must be analyzed objectively, often requiring a clear process to recognize when things go wrong.
Source: https://www.economist.com/business/2024/11/07/why-being-wrong-is-good-for-you
Financial institution digital shortcomings are costing them small business customers
Small and medium-sized businesses (SMBs) play a vital role in national economies, yet FIs often overlook their needs. They find themselves caught between retail consumer services and commercial banking, leading to underinvestment from financial institutions. However, FIs are beginning to enhance their offerings for SMBs by focusing on digital tools.
A recent Bain survey of 20,403 US SMBs highlighted several gaps including:
- Many interactions remain primarily physical rather than digital, especially during product or service applications.
- Boosting digital engagement requires banks to simplify access and usability of online channels.
- Digital failure rates are still too high for certain processes like setting up lines of credit due to complicated procedures lacking cohesive support.
Source: https://www.bain.com/insights/banks-clunky-digital-tools-alienate-many-small-firms-snap-chart/
The art of 21st-century leadership
Per McKinsey’s engagement with senior executives, they believe leadership development requires different personal attributes and practices compared to previous generations.
This article examines what it takes to lead in the 21st century and how organizations can create a leadership factory to mentor future managers. By prioritizing leadership development as a core capability, organizations can enhance resilience and improve their chances of navigating disruptions effectively.
4 payment solutions to empower small and medium enterprises
In the Asia-Pacific region, micro, small, and medium-sized enterprises (MSMEs) represent over 97% of businesses and are crucial for economic growth and innovation.
These MSMEs exhibit varying levels of financial literacy, technological adoption, channel preferences, and growth ambitions. This diversity encompasses everything from single-location shops to multi-channel retailers and solely e-commerce merchants. Consequently, banks and merchant acquirers face challenges in customizing payment solutions to meet the diverse needs of MSMEs.
The health of the US consumer in October 2024
Deloitte’s key takeaways:
- Deloitte’s financial well-being index rose 5.3 points year-over-year, holding steady at 99.0 in September 2024.
- Improvements in financial well-being are mainly driven by higher-income households.
- Discretionary spending intentions grew for the fourth month in a row, though still below the 2021 baseline, indicating recovering confidence.
- Spending trends vary by category; housing and leisure travel show the strongest increases relative to the 2021 baseline.
Source: https://www2.deloitte.com/us/en/insights/economy/consumer-pulse/state-of-the-us-consumer.html
Feel Good Sunday: My definition of beauty
Model and activist Winnie Harlow sees beauty everywhere, from Instagram photos to the shine on a bald head. In this brief talk, she shares how living with vitiligo enabled her to reject societal standards and redefine beauty for herself.
Source: https://www.ted.com/talks/winnie_harlow_how_i_define_beauty
Curious Saturday: Tap into your intuition
“Intuition allows us to grasp the bigger picture,” says filmmaker and sustainability advocate v.
Drawing from her experience at the UN, she highlights three ways innsæi (Icelandic for “intuition”) can aid humanity in confronting major existential challenges — encouraging us to let our inner wisdom guide crucial transformations.
Peru’s blueberry boom
In 2013, Peru exported blueberries worth just $17 million. However, by last year, that figure skyrocketed to $1.7 billion. By 2019, Peru became the world’s largest exporter of fresh blueberries, shipping over twice as many as its nearest competitors.
Source: https://www.economist.com/the-americas/2024/09/12/the-sweet-story-of-perus-blueberry-boom
2024 Deloitte holiday retail survey
Deloitte’s 2024 holiday survey shows increased consumer optimism, with spending expected to rise by 8% this year.
Consumers are prioritizing experiences, anticipating a 16% increase in related spending. To maintain festive cheer, many are making tradeoffs and hunting for deals—75% plan to engage in October and November promotions (up from 61% in 2023).
With five fewer shopping days this season, these events may be vital for encouraging early purchases.
5 essential steps to digital banking success
Choosing the right digital banking solution is crucial for #banks and credit unions. Consumer expectations have risen significantly over the past decade, and institutions that fail to create a strong digital experience risk losing customers to competitors, neo-banks, and fintechs.
While modernizing your digital banking can offer benefits, it also carries risks. Customer experience impact, integration complexity, operational challenges, and costs make switching solutions highly risky—second only to core banking system migrations. Issues with an inadequate solution or its integration may be quickly noticeable to customers.
Adaptable CEOs: The key to success
Versatility is essential for effective leadership. Leaders should seek diverse experiences, embrace curiosity, and know when to engage in discussions.
To enhance their adaptability, leaders must identify necessary skills and relevant roles while managing trade-offs. They should explore learning strategies and collaborate with team members or experts to address knowledge gaps.
Time investment is crucial for expanding versatility through both on-the-job experience and study. Leaders should focus on a few key areas that align with their organizational goals.
While the journey of self development can be challenging, the rewards are significant.
Overcoming cloud transformation challenges
In today’s competitive landscape, failing to embrace cloud computing and AI can hinder growth. Look out for six key indicators that suggest your cloud transformation is struggling. Implementing specific interventions can effectively address typical challenges encountered during these transformations.
Source: https://www.bcg.com/publications/2024/overcoming-cloud-migration-challenges
Feel good Sunday: Lessons from Canoeing Across the Ocean
“Voyaging compels you to unplug,” says TED Fellow and captain Lehua Kamalu. She shares insights from traditional Hawaiian ocean voyaging, highlighting the transformative nature of seafaring journeys and the importance of mindful travel, regardless of your location.
Source: https://www.ted.com/talks/lehua_kamalu_what_you_can_learn_crossing_the_ocean_in_a_canoe?subtitle=en
Curious Saturday: My misjudgment on the tipping point
In his 2000 bestseller “The Tipping Point,” Malcolm Gladwell explored the decline of crime in New York City during the 1990s. Now, 25 years later, he admits, “I was wrong.”
He reflects on how his analysis inadvertently supported the controversial “stop and frisk” policy in NYC and emphasizes that journalists must be cautious not to assume any story is truly finished.
Source: https://www.ted.com/talks/malcolm_gladwell_the_tipping_point_i_got_wrong
An economics Nobel for insights into national success and failure
Why are some countries wealthy while others struggle? This fundamental question in economics reveals that a person’s living standards often hinge more on their birthplace than on individual talent or effort.
Traditional economic growth models emphasized the accumulation of production factors — labor, capital, and technology. The theory posited that higher capital per worker led to greater national wealth.
However, this didn’t fully explain disparities among nations. This year’s Nobel prize winners in economics contend that government quality is key to understanding these differences.
The importance of digital sustainability in business
Deborah O’Neill (Oliver Wyman) and Mariane ter Veen (INNOPAY) discuss the necessity of digital sustainability.
Five key principles:
- Align business practices with digital sustainability
- Build trust and data sovereignty during transformation
- Encourage internal awareness and open communication
- Implement practical solutions through data ecosystems
- Ensure #compliance with regulations and standards
Open banking success: A roadmap for regional banks
Open banking presents regional banks with the chance to strengthen customer relationships and uncover new revenue opportunities. To fully leverage this potential, they must embrace strategic technology, data use, and partnerships.
Source: https://www.lek.com/insights/fin/us/ei/thriving-open-banking-blueprint-regional-banks
Tech-driven banking: An investor’s perspective
Global technology spending in banking has risen by 9% annually, reaching $650B in 2023, while revenue growth lags at 4%. However, quantifying the net benefits remains challenging.
The sector faces issues such as declining productivity, unclear competitive differentiation, and rising complexity costs.
This article by McKinsey discusses how banks can maximize their technology investments and demonstrate value to stakeholders through strategic allocation and outcome-based execution.
Gen-AI strategy framework
In a 2024 Gartner poll, 40% reported GenAI deployed in over three business units. Customerservice and marketing lead in using Gen-AI.
Organizations should ask themselves the following critical questions when implementing GenAI:
- Why pursue AI—and specifically generative AI?
- What value it will bring?
- How do we expect to that value?
- Which use cases should we prioritize?
Source: https://www.gartner.com/en/insights/generative-ai-for-business
Feel good Sunday: Insights from COVID on life (and data)
Data transcends mere numbers; it narrates the stories that shape us, explains information designer Giorgia Lupi. After her long COVID diagnosis, she meticulously tracked her symptoms for four years, which resulted in a compelling “New York Times” visual narrative that resonated with many experiencing chronic illness.
Lupi encourages us to view data not as rigid truth but as a dynamic language for self-understanding, prompting a refreshing shift in perspective based on our viewpoint.
Curious Saturday: Will economic growth end by design or disaster?
What if the economy prioritized solving poverty, caring for nature, and well-being over relentless growth?
Environmentalist Gaya Herrington urges a shift from “never enough” to “enough for each,” prompting us to consider whether the cessation of exponential growth on our finite planet will be intentional or catastrophic.
Source: https://www.ted.com/talks/gaya_herrington_will_the_end_of_economic_growth_come_by_design_or_disaster
Rising gold prices: A canary in the coal mine for world instability
In the past year, gold prices surged by 38%, reaching over $2,700 per troy ounce — a record high. This trend has attracted attention from unexpected places; gold bars are now available at Costco and CU in South Korea as inflation concerns and war fears grow. With increasing financial fragmentation, central bankers are also turning to this ancient asset. We seem to be entering a new golden age.
Source: https://www.economist.com/finance-and-economics/2024/10/22/a-dazzling-new-gold-rush-is-under-way-why
5 trends shaping digital banking
Digital banks have risen in the last decade to overcome traditional banking limitations. They utilize fintech to deliver services like deposits, loans, and transfers through digital platforms. These banks are crucial for enhancing financial inclusion, especially in developing markets, by offering accessible small-scale financial products with reasonable fees to individuals and SMBs.
Technology leaders: Monetizing innovation
Bain | At a Glance
- Disruption rates in technology exceed those in other sectors, with half of the top 25 companies dropping out every decade.
- Recently, leading tech firms have demonstrated resilience, maintaining their top positions and increasing market share.
- Their success hinges on identifying disruptive trends and effectively scaling them, fostering “winner takes most” dynamics.
- These companies possess a competitive edge as major innovations demand vast resources in computing power, connectivity, and data.
Source: https://www.bain.com/insights/how-tech-leaders-commercialize-innovation-tech-report-2024/
How innovation is transforming the financial lifecycle
FIS CEO Stephanie Ferris describes the financial lifecycle with 3 key phases:
- Money in motion: The flow of funds into and out of a business
- Money at work: How companies utilize capital effectively to reduce fraud or optimize working capital
- Money at rest: Funds held in accounts, pending reconciliation or analysis
How can banks enhance support for individuals with disabilities?
To identify the banking challenges faced by people with disabilities, the Deloitte Center for Financial Services surveyed 1,000 individuals with disabilities and 1,000 caregivers in May and June 2022. Deloitte’s findings suggest that by embracing an equity-centered design approach and leveraging insights from employees with disabilities, banks can develop more tailored products and improve customer experiences.
Feel Good Sunday: The beauty of bittersweet emotions
Life is a mix of joy and sorrow, light and dark. In a reflective discussion, author Susan Cain highlights how embracing life’s bittersweet moments allows us to navigate love and loss while connecting to the world’s “insane beauty.
Source: https://www.ted.com/talks/susan_cain_why_bittersweet_emotions_underscore_life_s_beauty/transcript
Curious Saturday: 3 Questions for resilience and world change
Zen Buddhist nun Sister True Dedication emphasizes that each step is an opportunity to enhance self-awareness.
Through “mindful walking,” she offers three key questions to help you harness your strength, cultivate resilience, and find inner peace.
Hurricane Milton highlights the risks of Florida’s development surge
On October 9th, Hurricane Milton struck Florida, following closely after Hurricane Helene. The storm has left millions without power and confirmed several fatalities, with a complete assessment of its impact expected to take weeks.
As a Category 3 hurricane, Milton is projected to cost insurers around $100B, making it one of the most costly hurricanes in U.S. history. The increasing destructiveness of storms can be attributed partly to climate change. Warmer seas provide more energy for hurricanes, while higher temperatures allow air to hold more moisture, leading to heavier rainfall. Additionally, rising sea levels from melting ice exacerbate storm surges. Notably, nine out of the ten most expensive hurricanes in America have occurred within the last two decades when adjusted for inflation.
CFOs facing activist investors? Consider their viewpoint 🤔
Bain Insights:
- Activist campaigns are growing, especially among large-cap firms.
- A Bain survey shows that half of CFOs have faced or expect challenges from activists in the next two years.
- By thinking like an investor, CFOs can tackle concerns before they escalate.
Four investment mistakes to avoid
Jonathan Guthrie explores financial thinking in investments and outlines four key mistakes to steer clear of:
- Expecting to recover losses on poor investments
- Focusing solely on nominal prices
- Purchasing high and selling low
- Engaging in compulsive storytelling
Source: https://www.ft.com/content/55812632-6fea-4fb8-978c-b809a9425ff8
Charting the course for digital security
In this episode of Oliver Wyman’s Innovators’ Exchange, Mike Engle, co-founder of 1Kosmos, shares key insights from his tech journey. He highlights the necessity for better user experiences amidst an ongoing battle between security measures and fraud tactics. The discussion also emphasizes the need to adapt to new technologies and explore the future of identity verification in our rapidly evolving digital world.
2025 Financial institutions forecast
As FIs navigate a low-growth, lower-rate environment, they can unlock sustainable growth through innovation and discipline.
🔑 **Deloitte’s Insights:**
- Stay alert amid #macroeconomic and geopolitical shifts.
- Rising deposit costs will cap net interest income.
- Noninterest income could spark topline expansion.
- Higher compensation and tech investments will spike overall expenses.
- Credit quality may stabilize but might rise in 2025.
Feel good Sunday: Loving requires courage
Family life demands remarkable bravery, whether in facing daily challenges or coping with unforeseen crises. Author and podcaster Kelly Corrigan shares insightful wisdom — along with seven essential words — to help you prioritize what truly matters.
Source: https://www.ted.com/talks/kelly_corrigan_to_love_is_to_be_brave
Curious Saturday: The monarch’s majestic migration
The migration of monarch butterflies creates one of the world’s most breathtaking wildlife displays and serves as a crucial indicator of ecological health, according to photographer Jaime Rojo.
In his talk, he shares insights from photographing these captivating insects in their remote mountain habitats in Mexico, delves into recent research about their extensive journey, and discusses ways we can contribute to the movement for their protection.
Source: https://www.ted.com/talks/jaime_rojo_the_magical_mesmerizing_migration_of_monarch_butterflies
Intuition or reflection?
Examining how we fall into cognitive traps may help us combat misinformation. While our initial instincts can often be correct, having second thoughts typically indicates a potential problem — they arise for a reason.
Source: https://www.ft.com/content/57fdd82c-e9a4-41ff-9060-2202c39ff4d5
Scaling up: A guide for midsize banks
As banks and their clients face economic pressures, regional institutions must return to fundamental strategies to tackle core challenges.
In recent years, bank leaders prioritized achieving scale, often aiming for a balance sheet of $300B or more. With rising costs of capital and increased competition, scaling has become even more essential. Fintechs and other nonbank entities—such as Big Tech, telecoms, consumer retail, and industrial players—are encroaching on financial services markets, capturing share from slower-moving banks.
To successfully scale amidst this intensified environment and stringent regulatory scrutiny, regional banks can leverage emerging technologies like AI, advanced data analytics, open APIs, and cloud computing.
Source: https://www.lek.com/insights/fin/us/ar/survival-success-scaling-strategies-midsize-banks
Changing consumer habits: Young generation prioritizes local alternatives
As digital banking reshapes the financial sector, community banks and credit unions are set to attract Generation Z and millennials. These tech-savvy individuals prefer smaller FIs. A recent report reveals that 52% of Gen Z and millennials are considering a switch to community banks, while 47% view credit unions as appealing options. This shift highlights a growing discontent with the impersonal service commonly found at larger banks.
Small business, big potential
McKinsey | At a glance
- Micro, small, and medium-sized enterprises (MSMEs) are essential to the US economy. They employ nearly 60% of the workforce and contribute almost 40% of national value added, often evolving into significant players within larger corporations.
- MSMEs in the US exhibit only half the productivity of large firms—compared to 60% in other advanced economies. Bridging this productivity gap, which represents 5.4% of US GDP, is crucial given global production shifts.
- Performance among MSMEs varies by state and metropolitan area due to sector mix; however, overall trends show that small and large businesses’ performance is interconnected as local conditions affect all business sizes.
- The relationship between small and large businesses plays a vital role in enhancing overall productivity. Strengthening networks and collaboration—through supply chains, industry clusters, and customer interactions—can enable MSMEs to leverage advantages in technology, human capital, market access, and finance.
Source: https://www.mckinsey.com/mgi/our-research/americas-small-businesses-time-to-think-big
Revolution in European instant payments
Last year initiated a transformative phase for non-card payment infrastructure across Europe. Instant payment solutions are rapidly expanding, emphasizing interoperability.
5 key trends currently shape the European payments landscape: regional blocs, evolving financial solutions, the growing influence of artificial intelligence (AI), regulatory shifts, and changing customer preferences. These factors highlight strategic considerations for stakeholders aiming to enhance their position in 2024.
Source: https://www.oliverwyman.com/our-expertise/insights/2024/aug/key-instant-payments-trends-europe.html
Feel good Sunday: The tapestry of a multicultural soul How do you discover your identity when rooted in two contrasting cultures?
Creative disruptor Farhad Mohit delves into the paradoxes of dual identity, examining how his Iranian and American backgrounds enable him to balance independence with interdependence, progress with presence — allowing him to embrace life in the moment.
Source: https://www.ted.com/talks/farhad_mohit_the_beautiful_paradoxes_of_a_multicultural_identity
Curious Saturday: Insights from my father’s last days
“Life is like a never-ending sushi conveyor belt, filled with challenges that both test and teach us,” says writer Laurel Braitman.
She delves into the connection between courage and fear, offering valuable lessons on love, loss, self-forgiveness, and embracing the full range of human emotions.
Source: https://www.ted.com/talks/laurel_braitman_lessons_from_my_father_s_final_days
Sharpen your mind with legal logic
Lawyers often have a reputation for being tedious and are frequently criticized. However, this perception is unfair; lawyers can serve as valuable role models. The systematic approach and attention to detail inherent in legal thinking offer important lessons for other professionals and their managers.
Source: https://www.economist.com/business/2024/06/27/why-everyone-should-think-like-a-lawyer
Prediction of cloud computing trends
Key Findings – Gartner
- The cloud has emerged as the primary platform for AI support. However, challenges such as sovereignty, data privacy, application composability, and sustainability hinder enterprise adoption of technologies like GenAI.
- Specialty cloud providers are increasingly vital in advancing organizations’ digital initiatives, particularly regarding region-specific sovereign mandates.
- Infrastructure and operations leaders prioritize monitoring sustainability metrics and managing the costs associated with cloud ownership.
Source: https://www.gartner.com/en/infrastructure-and-it-operations-leaders/topics/cloud-computing
Economic outlook report – September 2024
For the first time since March 2020, surveyed executives perceive the global economy as stable rather than improving. The latest McKinsey Global Survey indicates a more cautious outlook from respondents regarding both global and domestic economies compared to previous quarters; however, a plurality still anticipates improvement in the next six months.
Geopolitical instability continues to be viewed as the primary risk to growth, while political transitions have emerged as the second-most cited threat amid an election year that will see nearly half of the world’s population voting.
In terms of long-term risks over the next decade, geopolitical instability is regarded by all regions as the leading global threat. Concerns differ regionally, with Greater China focusing on energy issues and North America emphasizing government-related challenges.
Is API the new currency of global banking innovation?
With advancements like instant payments and real-time data integration becoming standard, multinational companies and FIs face pressure to streamline operations and deliver innovations that meet or exceed the expectations of next-generation users.
A significant challenge for these entities is integrating varied systems, such as enterprise resource planning platforms and treasury management systems. To effectively manage global operations, firms need seamless connectivity between their financial systems and banking networks.
Digital success: A 6-step guide
Many large companies have embarked on their digital transformation, some starting over a decade ago. However, Bain research shows that numerous executives are dissatisfied with the returns on their investments in digital initiatives; only 22% feel they’ve met most of their goals, and a mere 2% believe they’ve fully achieved them.
A major obstacle in these transformations is the fast-paced evolution of digital technology. Executives report facing unparalleled levels of disruption, which they anticipate will persist or intensify for at least another five years.
Bain’s research highlights six key actions taken by companies that successfully navigate digital transformations.
Source: https://www.bain.com/insights/digital-transformations-six-actions-that-lead-to-success-infographic/
Feel good Sunday: Insights on a fulfilling life from a neuroscientist and financial CEO
What is the link between long-term health and financial stability?
Neuroscientist Wendy Suzuki and Annabel Spring, CEO of HSBC Global Private Banking and Wealth, delve into essential elements that contribute to a good life. They highlight how simple practices such as regular exercise and effective financial planning can enhance both present and future well-being.
Their discussion covers ways to amplify joy, transform anxiety into positive energy, and maintain brain health throughout your lifetime.
Curious Saturday: The tipping points of climate change
As we approach the midpoint of the 2020s, recognized as a crucial decade for climate action, it’s essential to assess our current situation.
Climate impact expert Johan Rockström provides an updated scientific evaluation of Earth’s condition and outlines necessary steps to maintain its resilience against human activities.
Source: https://www.ted.com/talks/johan_rockstrom_the_tipping_points_of_climate_change_and_where_we_stand
Strategies for banks to adapt to climate change
Bain | Key Findings
- Wildfires, droughts, and other climate dangers jeopardize banks’ loan portfolios; however, many FIs have a limited understanding of their vulnerabilities.
- The exposure of real estate assets to physical risks is expected to grow over the next few decades, likely diminishing collateral value and impacting the profitability of banks’ mortgage operations.
- Proactive measures taken by banks can improve financial stability, increase customer retention, and ensure compliance with emerging regulatory standards.
- Evaluating physical risk necessitates advanced tools, capabilities, forecasting horizons, and data—all of which remain difficult to acquire and integrate.
The breakthrough AI requires
Two years post-ChatGPT’s rise, GenAI appears to face significant challenges. The escalating energy costs of developing and operating larger models are becoming unmanageable, and achieving breakthroughs is increasingly difficult.
Thankfully, researchers and entrepreneurs are actively seeking solutions to these limitations. Their creativity will not only revolutionize AI but also influence which companies succeed, determine investor returns, and establish global leadership in the technology.
Source: https://www.economist.com/leaders/2024/09/19/the-breakthrough-ai-needs
🎉 Exciting Announcement! 🎉
Join us at the American Banker Small Biz Banking 2024 conference for a session titled – “Unthink onboarding as you knew It: Resetting the digital experience & raising expectations for small biz”! 🌟
We are pleased to announce that Zarina Tsomaeva, CEO & Founder of Loquat will be speaking alongside our client Kimberli Green, VP of Business Development at America First Credit Union.
Together, they’ll share their insights on the future of small business banking.
Please mark your calendars — this is a session you won’t want to miss! https://conference.americanbanker.com/event/small-biz-banking/websitePage:2a657e40-c10c-4674-99d2-d97a757b6a52?session=4eb8692f-e65e-4d2e-8880-ac7d79a15f75
The next era of private credit
Over the past 15 years, private credit has rapidly emerged as one of the fastest-growing sectors within the financial system. By the end of 2023, this asset class is estimated to reach nearly $2 trillion—approximately ten times its size in 2009.
Despite being a small portion of the overall fixed-income market, private financing solutions consistently outperform traditional bank and public options. McKinsey analysis indicates that the potential addressable market for private credit in the United States could exceed $30 trillion.
Source: https://www.mckinsey.com/industries/private-capital/our-insights/the-next-era-of-private-credit
US economic forecast
The Q3 2024 outlook highlights strong consumer spending, elevated business investments, and declining interest rates as key factors sustaining optimism in the US economy. Nevertheless, challenges such as geopolitical tensions and ongoing high inflation persist.
Deloitte’s baseline scenario remains relatively positive with expectations for the US economy to grow by 2.7% this year.
Feel good Sunday: How to Live a Meaningful Life
What constitutes a meaningful life? Social psychologist Brian Lowery examines the 3 concepts of coherence, purpose, and significance tied to the experience of meaning and reveals that solely chasing personal achievements may not be the optimal path.
Source: https://www.ted.com/talks/brian_s_lowery_how_to_live_a_meaningful_life
Curious Saturday – Telegram’s CEO arrested: why it matters
Online democracy advocate Eli Pariser discusses the August 2024 arrest of Telegram CEO Pavel Durov by French authorities and its implications for tech oversight and free speech.
Source: https://www.ted.com/talks/eli_pariser_the_arrest_of_telegram_ceo_pavel_durov_and_why_you_should_care
Consumer Sustainability: A Conundrum
Bain Study | Key Findings
- ~60% of consumers report heightened concerns about climate change over the past two years.
- Leading companies will create solutions that enable consumers to live sustainably, rather than just purchase sustainable products.
- Companies should avoid presenting “sustainability” as a uniform concept or treating all consumers alike; instead, they can generate value by targeting specific segments with relevant claims.
- Packaging and recyclability have emerged as significant consumer priorities.
Healthy organizations continue to succeed, but the landscape is evolving rapidly
To improve organizational health and performance, it’s essential to adopt new practices: empowering employees in decision-making, leveraging technology for value creation, and modernizing leadership styles.
CFOs exercise caution 2024 US election approaches
A Pew Research Center survey from July—before President Biden withdrew from the race—revealed that 71% of registered voters believe the outcome of the upcoming US elections is significant.
Similarly, Deloitte’s third quarter North American CFO Signals survey indicates that 58% of CFOs view the election result as extremely or very consequential for their organizations, while only 3% think it will have no impact at all.
Source: https://www2.deloitte.com/us/en/insights/topics/strategy/deloitte-cfo-signals-quarterly-survey.html
3 imperatives for AI implementation in financial institutions
FIs must strategically plan and establish strong foundations in governance, risk management, and standardization when transitioning to AI-enabled operations.
By focusing on these essential areas, FIs can effectively navigate the complexities of AI adoption, enhancing operational efficiency, mitigating risks, and achieving a competitive edge.
The Fed’s interest rate cut explained
On September 18th, the Federal Reserve made a notable decision to reduce interest rates by half a percentage point, bringing them down to between 4.75% and 5%. This marks the first cut since the Fed raised rates to combat inflation, signaling the beginning of a monetary-easing cycle.
The move reflects confidence that inflation will soon become less of an issue and acknowledges the need for measures to bolster the labor market. The Fed was late in raising rates in 2022. This time, it hopes that starting with a bigger cut will steer the economy towards a soft landing, avoiding the recession which many analysts once thought inevitable.
Feel good Sunday: How to discover laughter everywhere
What makes some people hilariously funny while others are not? Comedian Chris Duffy explains how to enhance your sense of humor and find joy in daily life by adopting a childlike perspective.
Source: https://www.ted.com/talks/chris_duffy_how_to_find_laughter_anywhere/
Curious Saturday: Can math aid in repairing democracy?
Is it possible for mathematics to enhance responsiveness within American democracy? Neuroscientist Sam Wang discusses how computer simulations can identify gerrymandered districts and assess the effects of alternative voting methods like ranked-choice voting, offering solutions to mend flaws in US democratic processes.
Source: https://www.ted.com/talks/sam_wang_can_math_help_repair_democracy
Global cooperation is increasingly vital
Three key areas for impactful international collaboration include:
- Technology: We must work together to improve equitable access to digital tools, promote development (especially in the Global South), and ensure responsible AI adoption globally.
- Climate change: Stakeholders need to recognize the high costs of inadequate climate action, unite efforts to reduce GHG emissions, and enhance adaptation and resilience strategies.
- Finance: Jointly developing innovative financial frameworks can optimize catalytic funding sources, accelerating investments focused on critical societal challenges.
Generative AI is increasing the risk of deepfakes and fraud in banking
The capabilities of genAI open up new opportunities for criminals, broadening the scope and scale of fraudulent activities targeting financial institutions and their clients. Rapid technological advancements pose challenges for banks striving to outpace fraudsters. GenAI-driven deepfakes employ self-learning systems that continuously improve their ability to evade detection technologies.
In response, banks are increasingly partnering with third-party providers to develop anti-fraud solutions. A threat to one organization can jeopardize others; therefore, bank leaders must formulate collaborative strategies both within the industry and beyond to effectively address fraud related to generative AI.
This may require collective action across the banking sector, collaborating with trusted technology partners on strategic initiatives while clearly defining liability responsibilities concerning fraud among all parties involved.
Midcap transformation: The path to growth
Transformations, when executed effectively, allow mid-size firms to realize their full potential. Midsize companies are vital to many economies and can amplify their scale and influence through strategic transformation initiatives. In this episode of McKinsey’s Inside the Strategy Room podcast, three experts share strategies that help midcaps enhance their performance.
What is the effect of LLMs on data quality?
GenAI, particularly large language models, offers new avenues for data professionals to tackle data quality challenges. Engaging with an LLM can simplify the process of identifying and resolving these issues for business users, while facilitating technical experts in developing and executing data quality checks.
However, like any technological advancement, data quality problems cannot be entirely eliminated. While traditional data quality challenges may become easier to address, new obstacles will arise due to the inherent limitations of LLMs. Data quality practitioners must adapt to manage these emerging constraints effectively.
Source: https://www.gartner.com/en/data-analytics/topics/data-quality
Customer-centric digital transformation
Financial institutions (FIs) can facilitate digital transformation by creating multidisciplinary teams focused on developing and scaling solutions.
Key Points:
- Transformational platforms emerge through the product lifecycle phases: ideation, design refinement, building and execution, testing, and delivery.
- A human-centered approach effectively defines and implements integrated digital delivery for transformational platforms.
- Involving the right talent in the software development lifecycle boosts performance, speeds up market entry, and lowers overall service costs.
Feel Good Sunday: The grit factor
Angela Lee Duckworth transitioned from a successful consulting career to teaching seventh-grade math in a New York public school. She soon discovered that IQ was not the sole factor distinguishing thriving students from those who faced challenges. In this talk, she presents her theory of “grit” as a key predictor of success.
Source: https://www.ted.com/talks/angela_lee_duckworth_grit_the_power_of_passion_and_perseverance/
Curious Saturday: 10 tips for better conversations
Mastering conversation is essential in many professions, yet most people struggle with it. Celeste Headlee, a seasoned radio host, understands what makes conversations effective: honesty, brevity, clarity, and active listening. In her enlightening talk, she outlines 10 practical guidelines for enhancing your conversational skills.
Source: https://www.ted.com/talks/celeste_headlee_10_ways_to_have_a_better_conversation
With Brazil’s ban on Elon Musk’s X, who will defend free speech?
Free expression has become a culture war, yet advocates for it remain quiet. In Brazil, judges have limited access to the popular social network X. In France, prosecutors are blocking the head of Telegram from departing as they investigate the platform. In Britain, social media users risk prison sentences for posts made during recent riots. In America, there are moves to ban TikTok, a widely-used Chinese-owned app. Debates over free speech are escalating as governments impose stricter controls on online expression. As governments tighten their grip on online expression, debates over free speech grow more contentious. Some measures may be justified; however, others appear aimed at suppressing and punishing lawful voices.
Banking on fintech: A powerful partnership
Key Points
- Banks are increasingly drawn to fintech partnerships to accelerate digital product development, improve time-to-market, and enhance security.
- However, many participants struggle to unlock the full potential of these collaborations.
- Common challenges include vague business need definitions, unclear performance metrics, and opaque decision-making processes.
- Achieving success requires a shift in focus from solely technological issues to prioritizing effective partnerships over just providing solutions.
Source: https://www.bain.com/insights/united-we-thrive-the-untapped-power-of-bank-fintech-partnerships/
Prosperous people, prosperous businesses
For many organizations today, the well-being of their people—workers, contractors, customers, and community members—is paramount. These connections are crucial to driving value in areas such as revenue, innovation, efficiency, brand relevance, productivity, retention, adaptability, and risk management.
However, current initiatives to nurture these vital connections often fall short. Many organizations remain trapped in outdated mindsets that focus on extracting value from individuals rather than collaborating with them to foster a better future for both the organization and its people.
Improving corporate deposits through transaction banking
FIs can implement the below 7 strategies to retain and strengthen deposits amidst high interest rates and corporates seeking better options:
- Improve visibility into deposit pools, inflows, and outflows
- Establish a dedicated deposit command center
- Create an effective pricing strategy
- Revise sales approaches
- Target cash-rich sectors for deposits
- Leverage AI technology
- Refresh transaction products associated with deposits
FinTech’s future: A focus on sustainability and profitability
The global fintech market is a hub of innovation and growth, even after recent challenges in funding and valuations. There remains significant potential for expansion. With transformative technologies like GenAI emerging and billions of unbanked or underbanked individuals worldwide, the opportunities in fintech are vast. BCG project that fintech will grow to a market size of $1.5 trillion in revenue by 2030—an increase of approximately five times from its current level.
Source: https://www.bcg.com/publications/2024/global-fintech-prudence-profits-and-growth
Feel good Sunday: The power of authenticity
In a brave examination of divisive issues in America, journalist Bari Weiss emphasizes the significance of courage in today’s polarized society. She showcases individuals who have bravely spoken out against conformity and silence, urging everyone to voice their beliefs.
Source: https://www.ted.com/talks/bari_weiss_courage_the_most_important_virtue
Curious Saturday: The art of civil discourse – How to disagree gracefully
In a world where disagreements often lead to hate and contempt, Spencer J. Cox, the Republican governor of Utah, believes it is still possible to have respectful disagreements. He shares the story of a viral campaign ad created with his Democratic opponent in 2020 as an example of this belief in action. Cox offers four practical steps we can all take to mend the divisions in our societies and communities, showing that it is possible to disagree without resorting to animosity or hostility. By embracing this approach, we can work towards creating a more harmonious and understanding world for everyone to thrive in. Let us strive to engage in discussions and debates with respect and civility, even when our opinions differ greatly.
Source: https://www.ted.com/talks/spencer_j_cox_how_to_disagree_with_respect_not_hate
Product innovation: A three-step formula
Innovation and disruption require strategic planning. Product managers should follow three critical steps to innovate and disrupt within their market while focusing on a customer-oriented value proposition.
Source: https://www.gartner.com/en/product-management/topics/product-innovation
Unlocking growth: Digital banking for small businesses
Small and medium-sized businesses (SMBs) offer banks a significant growth opportunity. By adopting a digital approach with a personal touch, banks can effectively cater to this underserved segment.
European Central Bank data reveals that 20% of SMBs in Europe face challenges accessing financing, with one in five unable to secure the credit they need. Despite this demand, banks have struggled to successfully serve SMBs due to the high level of attention required with limited returns and perceived risk.
Competing with private credit: Winning strategies for banks
As alternative lending becomes more popular, banks may need to change their strategies to meet the needs of corporate borrowers.
Private credit firms can help banks maintain relationships with corporate clients. Banks can connect their clients with private credit firms, providing faster and more flexible lending options. This benefits both the corporate clients and the private credit firms. Working with private credit firms can help banks reduce credit risk. With stricter regulations, banks may struggle to lend to riskier clients. Private credit firms, being non-banks, face fewer regulations. This partnership allows banks to better serve their corporate borrowers.
Leveraging technology for banking dominance
Bain study – key findings
- Bank performance is closely tied to technology choices, not just the amount spent on technology
- Banks leading in technology see higher total shareholder return, lower cost-to-income ratio, and higher NPS
- Value from technology comes from simplification, cost effective processes, and a great digital experience for customers.
- Three successful strategies require C-suite focus, strong engineering function, commitment to business transformation, and consistent investment.
Source: https://www.bain.com/insights/how-banks-can-parlay-technology-into-a-competitive-edge/
Flywheel to the future: Accelerating digital innovation
In the digital era, businesses must innovate quickly and on a large scale to stay competitive. Traditional top-down operating models are becoming outdated, while digital leaders are embracing new approaches like the flywheel model. This model relies on innovative product teams and a shift in culture and governance to support them.
Source: https://www.bcg.com/publications/2023/competing-with-flywheel-business-model-in-digital-era
Feel good Sunday: How to break through fear and become a leader
Fearlessness. Grit. Resilience. Valerie Montgomery Rice, president and CEO of Morehouse School of Medicine, shares where she learned these key qualities of successful leadership. She offers three lessons for overcoming fears, standing up for what’s right, and creating opportunities for all.
Source: https://www.ted.com/talks/valerie_montgomery_rice_how_to_break_through_fear_and_become_a_leader
Curious Saturday: How to make smart decisions more easily
Everything our bodies do— whether physical or mental— uses energy. Studies have found that many individuals have a daily threshold for making decisions, and prolonged decision-making can lead to cognitive exhaustion. So, what choices lead us to this state, and how can we combat fatigue? Explore the psychology of decision fatigue and learn ways to avoid it.
Source: https://www.ted.com/talks/ted_ed_how_to_make_smart_decisions_more_easily
How to properly take breaks from work
The boundaries between work and personal time have blurred for many workers. Eating lunch at your desk and checking emails in the evenings, weekends, and even on holidays has become the norm. While flexibility in work hours and locations can be beneficial, it has also created a constant need to be reachable.
In 2013, researchers coined the term “the autonomy paradox” to describe how increased flexibility in work schedules has actually led to a decrease in the ability to disconnect from work. This constant connectivity can lead to burnout and decreased productivity in the long run.
Source: https://www.economist.com/business/2024/08/15/how-to-take-proper-breaks-from-work
The future-focused boardroom: Elevating tech talks
Technology is reshaping businesses, prompting board members and tech leaders to have in-depth discussions about its impact. Boards are increasingly appointing members with tech experience. According to Deloitte’s 2023 Global Technology Leadership Study, 67% of organizations now have a board member with tech leadership experience, up from 56% in 2020.
Opportunities for generative AI in retail banking
Key Findings:
- Retail banking customers have mixed feelings about generative AI (GenAI). While optimistic about its impact on banking tasks, many are hesitant to adopt the technology
- Younger customers are more willing to use GenAI and want to use it for a wider range of tasks compared to older customers
- Customers are open to using GenAI for certain aspects of the customer experience where human service falls short, such as educating customers, reducing their burden, and speeding up interactions
What is digital transformation?
Digital transformation is the fundamental rewiring of how an organization operates. The goal is to build a competitive advantage by deploying tech at scale to improve customer experience and lower costs. The term “digital transformation” has become a catchall phrase with different interpretations. Clarity and alignment around a specific program are crucial for organizations to compete and survive.
Source: https://www.mckinsey.com/featured-insights/mckinsey-explainers/what-is-digital-transformation
An omnichannel redesign transforms a financial institution’s customer experience
A Bain case study reveals how a FI client revolutionized its customer experience with an innovative omnichannel redesign. Through a strategic multiyear initiative, this FI shattered management silos and reimagined customer journeys from a fresh perspective. By prioritizing the customer’s needs, the FI successfully enhanced its technological, operational, and organizational capabilities and is now equipped with the tools and skills needed to provide exceptional service to its customers.
Feel good Sunday: What’s possible when the arts belong to everybody
The transformative power of the arts for all communities is highlighted by theater director Lear deBessonet. Through city-wide productions, she shows how collective expression can inspire awe, connect people, and combat loneliness. Broadway star Brian Stokes Mitchell showcases this message with a powerful performance of “The Impossible Dream (The Quest)” accompanied by pianist Todd Almond and surprise vocalists.
Curious Saturday: 12 predictions for the future of technology
Techno-optimist Vinod Khosla shares 12 bold predictions for the future of technology, from preventative medicine to car-free cities to faster travel. He believes in the world-changing power of “foolish ideas” and envisions a future of abundance.
Source: https://www.ted.com/talks/vinod_khosla_12_predictions_for_the_future_of_technology
It’s cool to be kind: The value of empathy at work
In today’s fast-paced work environment, empathy is crucial. Hybrid work models, talent shortages, and divisive political climates make building a strong workplace culture challenging. Research shows empathy boosts team and organizational success. It improves communication, collaboration, employee satisfaction, and retention.
Financial Institutions: Fortifying the balance sheet
Key takeaways from BCG’s treasury benchmarking survey:
Despite the volatile interest rate environments, progress in balance sheet optimization continues while operational improvements have stalled:
- Banks showing slight decrease in risk appetite, but still room for improvement in balance sheet optimization
- Challenges in fully digitizing operating models due to budget constraints and macro environment distractions
- Importance of steering financial resources highlighted, with need for clearer governance and better data and IT tools
Source: https://www.bcg.com/publications/2024/bcg-treasury-benchmarking-survey-fortifying-the-balance-sheet
Banking | Top digital use cases
Half of respondents in a recent Bain survey of banking leaders say that personalizing services and customer relationships is a top digital priority, but creating a best-in-class customer experience presents the greatest opportunity for differentiation.
Source: https://www.bain.com/insights/top-digital-use-cases-by-industry-interactive/
Toward the long term: CFO perspectives on the future of finance
According to a recent McKinsey survey, CFOs are placing a greater emphasis on long-term planning and resource allocation, with 55% now considering it a top priority compared to 30% in previous years. Strategic planning has also seen a significant increase in importance, with 60% of CFOs now prioritizing it, up from 38% last year. These shifts indicate a growing focus on future-oriented strategies within finance organizations.
Data privacy and security worries are on the rise, while trust is down
According to a recent Deloitte survey, nearly 60% of consumers are anxious about the possibility of their devices being hacked or their personal data being stolen. Additionally, a similar percentage fear being tracked by organizations or individuals through their devices. These concerns have significantly increased since Deloitte’s 2022 survey.
In response to these threats, more people are taking steps to protect their data. Deloitte has outlined 14 measures consumers can implement, such as using two-step authentication and installing security software.
Feel good Sunday: A master chef’s take on food, culture and community
Chef Marcus Samuelsson shares his insights on the power of food to unite people and cultures. Join him and art curator Thelma Golden in a conversation about the fusion of modern Black cuisine and the joy of culinary creativity.
Source: https://www.ted.com/talks/marcus_samuelsson_a_master_chef_s_take_on_food_culture_and_community/
Curious Saturday: How we can find ourselves in data
Dive into the world of data storytelling with Giorgia Lupi. Discover how she brings data to life, adding a human touch to numbers. In her TED talk, she shows us how even the smallest details of our daily lives can be visualized and transformed into something relatable and meaningful.
https://www.ted.com/talks/giorgia_lupi_how_we_can_find_ourselves_in_data/
How Stoic thinking could help you play to win
In this edition of McKinsey’s Author Talks, discover how Olympic gold medalist and entrepreneur Mark Tuitert discusses the transformative power of Stoic principles in his book “The Stoic Mindset: Living the Ten Principles of Stoicism.” Learn how adopting a Stoic mindset can not only enhance resilience in challenging times but also instill a sense of purpose, fortify character, and foster deeper connections with others.
Passion meets purpose
How to meet AI’s growing power demands
- AI’s rapid expansion is driving up electricity consumption by as much as 5% annually to power data centers
- Developed world utilities have not seen electricity demand rise in over a decade, leading to closures of coal-powered plants for decarbonization
- Balancing the surge in data center demand, expected to increase by 10-30% in the next five years, presents a challenge for utilities and tech companies
Source: https://www.bain.com/insights/how-to-feed-ais-hunger-for-power/
CEOs: the power of reflection
As CEOs navigate their busy schedules, taking time for deep thought and reflection is crucial for success.
Key takeaways:
- Reflection brings clarity and focus to the CEO’s decision-making process
- It helps anticipate future risks and scenarios, allowing for better preparation
- Reflection boosts creativity and energy, essential for driving organizational momentum
Source: https://www.bcg.com/publications/2024/the-rewards-of-ceo-reflection
Mastering the art of sales: 3 essential skills for success
In today’s fast-paced sales world, top performers stand out by excelling in these 3 key areas:
- Mentalizing: Prioritizing the buyer’s voice, understanding their emotions, and anticipating their behavior through active listening and perspective-taking.
- Tactical flexibility: Being adaptable and willing to experiment with different strategies to meet the changing needs of informed buyers in real time.
- AI partnership: Collaborating effectively with AI to optimize tasks like customer messaging, data gathering, and call summarization through use-case selection and prompt engineering.
Source: https://www.gartner.com/en/sales/trends/new-high-performing-seller
Feel good Sunday: 3 elements of true fun – and how to have more of it
Dive into the science behind true fun and how to incorporate more of it into your life. Discover the three key elements of genuine fun according to science journalist Catherine Price: playfulness, connection, and flow. Learn why having fun is crucial for your overall wellbeing and how to differentiate between “true” fun and superficial enjoyment.
Source: https://www.ted.com/talks/catherine_price_3_elements_of_true_fun_and_how_to_have_more_of_it
Curious Saturday: From Beethoven to Kinect, linking music to our bodies
Join us for a thought-provoking session on the intersection of music and the human body with creative technologist Peter Kirn. Discover how Beethoven’s symphonies can evoke physical reactions and explore the innovative technology behind instruments that respond to our movements. Experience the powerful connection between #music and our bodies in a live demonstration that showcases the transformative potential of music technology. Don’t miss this opportunity to delve into the fascinating world of music and its impact on our physical and emotional wellbeing.
Source: https://www.ted.com/talks/peter_kirn_from_beethoven_to_kinect_linking_music_to_our_bodies
The dangerous effects of rising sea temperatures
Scientists warn that the world’s oceans are nearing their heat absorption limit, leading to record-high global sea surface temperatures. This has fueled heatwaves, melting sea ice, and a potentially intense hurricane season. June marked the 15th consecutive month of record-high sea temperatures, with Hurricane Beryl making history as the earliest maximum-severity storm on record. The oceans have played a crucial role in absorbing excess heat and carbon dioxide emissions, but are now at risk of reaching their limits in combating climate change.
How private equity tangled banks in a web of debt
Private equity firms like Blackstone, Apollo Global Management, and Carlyle Group have seen their assets quadruple to $8tn since 2012. The industry’s reliance on debt has grown alongside its size, fueled by low interest rates. Banks are heavily involved, lending to buyout-owned companies, funds, managers, and investors. Regulators are concerned about the potential risks this complex web of debt could pose to the global financial system.
Half the world’s children will be born in sub-Saharan Africa by 2100
Key points:
- Rapid population growth: Sub-Saharan Africa is experiencing a baby boom due to improved healthcare, while other regions like China and India are seeing declining fertility rates
- Demographic shift: By the end of the century, over half of the world’s babies will be born in Sub-Saharan Africa, compared to 30% in 2021
- Increased population pressure: The region’s population is expected to double by 2050, putting immense strain on schools, healthcare, and other resources.
Source: https://www.economist.com/graphic-detail/2024/04/16/what-a-baby-boom-means-for-africa
Navigating digital disruption globally
New technologies like generative AI, quantum computing, and climate tech require specific managerial skills. Senior executives must navigate a complex landscape of interconnected disruptions, including technological advancements and environmental challenges. Leaders must differentiate trends from fads and develop strategies to manage disruptions effectively. Key emerging technologies in 2024 include generative AI, quantum computing, and climate tech.
Source: https://www.bain.com/insights/taking-globally-orchestrated-approach-to-digital-disruption/
McKinsey technology trends outlook 2024
The report covers 15 key trends, including the importance of digital trust and cybersecurity, which are now more critical than ever in our rapidly evolving technology landscape. The future of robotics is also highlighted, showcasing the innovative ways AI and robotics are revolutionizing industries and reshaping the workforce. To provide a comprehensive overview, McKinsey conducted a survey to gauge the adoption levels of these trends.
Source: https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/the-top-trends-in-tech
Feel good Sunday: Discover the key to a longer life – social connections
Ever wondered why the people of Sardinia live longer than most? It’s not just their Mediterranean diet or sunny weather. Psychologist Susan Pinker reveals that the secret to their longevity lies in their strong social bonds and in-person interactions. Dive into the world of super-agers and learn how meaningful relationships can lead to a longer, healthier life.
Watch Susan Pinker’s enlightening TED Talk to uncover the power of human connection in promoting longevity.
https://www.ted.com/talks/susan_pinker_the_secret_to_living_longer_may_be_your_social_life
Curious Saturday: How to use venture capital for good
Meet Freada Kapor Klein, a venture capitalist who is breaking the mold by prioritizing investments that address social inequalities. Learn how her firm is supporting entrepreneurs and startups that are tackling pressing issues and creating tangible change in underserved communities.
Watch her inspiring TED Talk to find out more about the transformative power of venture capital when used for good: https://www.ted.com/talks/freada_kapor_klein_how_to_use_venture_capital_for_good
Three keys to faster, better decisions
Want to make faster, better decisions? Here are three key strategies to help you out:
- Big-bet decisions are those high-stakes choices that can shape the future of your company. These are typically made by the top team and the board.
- Cross-cutting decisions, which can also be risky, happen often and require collaboration across different functions. These decisions are usually made in group settings.
- Delegated decisions are the smaller, low-risk choices that can be handled by individuals or small teams with minimal input from others.
By understanding these different decision categories and implementing the right practices for each, you can improve the quality and speed of your decision-making process.
Loquat’s cloud banking software allows financial institutions to adopt modern technology while maintaining control over data, security, and performance.
Can America afford its debts?
According to recent IMF data, the U.S. ranks 8th in the world for its net public debt-to-GDP ratio. Since 1990, U.S. net government debt as a percentage of GDP has surged from 40% to 98%. While past debt spikes were linked to crises like the 2007-2008 financial crash and the 2020 pandemic, the debt-to-GDP ratio stabilized in-line with other G7 countries in between. However, the IMF now forecasts a continued rise in America’s debt burden.
Source: https://www.economist.com/graphic-detail/2024/07/19/can-america-afford-its-debts
Cybersecurity questions every CEO must answer
Addressing cybersecurity concerns is imperative for CEOs in today’s business landscape. With regulatory scrutiny on the rise and the potential financial repercussions of data breaches, CEOs must be prepared to address cybersecurity incidents promptly and transparently. It is essential for CEOs to make security a top priority when implementing new IT systems and technologies. Evaluating the organization’s readiness, culture, and investments in cybersecurity is key to effectively managing and mitigating cyber risks.
Source: https://www.bcg.com/publications/2024/the-cybersecure-ceo
Exciting insights from Bain & Company’s M&A midyear report 2024
Global M&A deal value is up 21% year-to-date and on track to end close to 2023 levels. Companies are adapting dealmaking strategies to the economic environment with a focus on cost synergies. Strategic M&A remains steady, with deal value expected to surpass last year. The energy sector is seeing significant activity, while the tech sector continues to thrive.
Source: https://www.bain.com/insights/m-and-a-midyear-report-2024-dealmakers-mine-multiple-sources-of-value
Feel good Sunday: The secret to a happy life
Remember, it’s not about the quantity of relationships but the quality of them that truly matters. Take the time to nurture and appreciate the people who bring positivity and support into your life. As Robert Waldinger suggests, prioritize those connections that make you feel valued and accepted. By fostering these meaningful relationships, you can cultivate a sense of fulfillment and happiness that will enrich your life in countless ways. So, this Sunday, why not reach out to a loved one or friend and let them know how much they mean to you? Share a moment of connection and gratitude, and watch as your bond grows stronger and your heart feels lighter.
Check it out here: https://www.ted.com/talks/robert_waldinger_the_secret_to_a_happy_life_lessons_from_8_decades_of_research
Curious Saturday: Quantum computers aren’t what you think — they’re cooler
Dive into the world of quantum computers with Hartmut Neven, the mastermind behind Google Quantum AI. Discover how these cutting-edge machines harness the power of parallel universes to revolutionize computing as we know it. Quantum computers operate on a whole new level, leveraging the laws of quantum physics to outperform traditional binary systems.
Join Hartmut Neven as he unveils the potential of quantum computing to tackle complex challenges in medicine, energy, AI, neuroscience, and beyond. Don’t miss out on this mind-bending journey into the future of technology. Watch the TED Talk now and prepare to be amazed by the limitless possibilities of quantum computing.
https://www.ted.com/talks/hartmut_neven_quantum_computers_aren_t_what_you_think_they_re_cooler
Building resilient IT systems: Lessons from the CrowdStrike IT outage
The developing global IT outage, triggered by a faulty update from CrowdStrike and compounded by issues with Microsoft’s Azure services, has revealed significant vulnerabilities in IT infrastructure. This incident affected multiple sectors, including airlines, hospitals, and retailers, offering vital lessons for CIOs on improving IT resilience and update management.
Source: https://www.lightedge.com/blog/resources/lessons-from-the-crowdstrike-it-outage/
Accelerate the growth of your small business with Loquat’s fully digital account opening solution
Embedded finance to become pervasive by 2030
According to a recent BCG report, the embedded finance market is projected to reach a whopping $320 billion by 2030 representing a major theme shaping the fintech sector. What’s even more interesting is how this growth will be distributed across different segments. The small and medium-size business (SMB) sector is set to dominate, accounting for a significant $150 billion of the market while the consumer segment, which is already bustling with activity in areas like payments, lending, and insurance, is expected to generate $120 billion in revenue by the end of the decade. And let’s not forget about the enterprise segment, which is forecasted to hit $50 billion in revenue.
With such promising numbers, it’s clear that embedded finance is poised to revolutionize the financial services industry in the coming years.
Source: https://www.bcg.com/publications/2024/global-fintech-prudence-profits-and-growth
CFOs: Don’t let your finance transformation project drag on
Did you know that a whopping 70% of finance #transformation projects tend to move slower than anticipated? If you’re a CFO looking to speed things up, here are three key factors to pay attention to in order to overcome obstacles and make significant progress in your transformation journey:
- Unsystematic technology spending — Limited clarity on the most critical technology investments to make, particularly as technology options continue to proliferate and technology spend continues to accelerate
- Limited representation of digital skills — A gap between finance’s ambitious digital transformation goals and the employees capable of delivering on them
- Inefficient division of labor within finance — Work duplication as well as unclear and outdated role
Is your company ready to harness its superpower?
Building a distinctive capability can set your business apart from the competition and drive performance to new heights. But creating this kind of advantage requires a strategic approach that encompasses six elements: vision, employees, culture, technology, organizational structure, and routines. By focusing on these key elements, your company can develop a superpower that propels it to success. Learn more about how to build a superpower and gain insights from the Magnificent Seven.
Feel good Sunday: How to bridge the political divide with these 3 simple tips🌟
Journalist Isaac Saul shares his insights on effective communication in polarized times. Watch his TED Talk for valuable strategies on engaging with those who have different political views. Don’t miss out on this eye-opening discussion! 🗣️
Link: https://www.ted.com/talks/isaac_saul_3_ideas_for_communicating_across_the_political_divide
Curious Saturday: How to make friends as an adult
Let’s dive into the intriguing topic of making new friends as an adult. It can be quite a puzzle, right? Why is it so much simpler when we were kids?
Psychologist Marisa Franco sheds light on some proven strategies for forming and maintaining friendships.
Discover the “acceptance prophecy” and the “theory of chums” – two powerful concepts that can boost your social connections. Embrace the beauty of platonic love and how it can enrich your life in unexpected ways. If you’re ready to unlock the potential of meaningful relationships, this talk is for you.
Check it out here: https://www.ted.com/talks/marisa_g_franco_the_secret_to_making_new_friends_as_an_adult
Marketing insights for 2024: Navigating the era of less
In 2024, marketers are facing a challenging landscape with budgets shrinking by an average of 15%. This shift towards a “era of less” is forcing marketing teams to find more strategic and cost-effective ways to reach their target audience. According to Gartner, paid media continues to be the largest share of marketing budgets, highlighting the importance of optimizing advertising spend for maximum impact.
https://www.gartner.com/en/marketing/topics/marketing-budget
Finance 2030: Four key priorities for the upcoming decade
In the last ten years, finance departments successfully cut costs by nearly 30%. Now, the challenge is to maintain and even surpass this level of efficiency.
To achieve the next level of finance effectiveness, leaders must shift their focus and embrace new strategies. Four key actions are essential for providing faster insights, reducing errors, and speeding up decision-making processes.
Check out the link below for more details on how finance can prepare for the challenges of the next decade: https://www.mckinsey.com/capabilities/operations/our-insights/finance-2030-four-imperatives-for-the-next-decade
Innovate to increase financial inclusion
Despite progress, a large portion of the global population lacks access to essential financial services. The World Bank reports that 25% of adults are #unbanked and 50% are underbanked. This limits access to credit and forces reliance on cash transactions.
https://www.bcg.com/publications/2024/to-expand-financial-inclusion-embrace-innovation
Loquat Inc. welcomes Chris Cochran and Rogelio Sanchez to Drive Product Delivery, Revenue and Customer Success
Loquat Inc., an innovative financial technology company, today proudly announced the addition of two key leaders to its executive team. Chris Cochran has been appointed as the Chief Product Delivery Officer, and Rogelio Sanchez takes the role of Chief Revenue & Customer Success Officer.
Please read the full Press Release https://loquatinc.io/news/loquat-inc-welcomes-chris-cochran-and-rogelio-sanchez-to-drive-product-delivery-revenue-and-customer-success/
Will Nvidia continue to be a key player in the evolving AI economy?
The success of Nvidia is emblematic of the rapid growth and allure of the AI sector, capturing the attention of investors and sparking speculation about its future trajectory. The company’s journey ahead is poised to shape the course of the AI economy, reflecting its own path of growth and evolution.
The remarkable ascent of Nvidia, once a relatively unknown entity outside of tech circles, mirrors the fervor surrounding AI in both Silicon Valley and Wall Street. However, its brief stint as the third most valuable company highlights the intense competition within this burgeoning tech landscape.
For the complete article, visit: https://on.ft.com/3VCbNpV
Feel good Sunday: Dance your way into the world of AI robots
Step right up and witness the mesmerizing world of dancing robots, as robot choreographer Catie Cuan delves into the importance of infusing machines with elegance, purpose, and emotion. She sheds light on the significance of teaching robots to move gracefully, as it plays a crucial role in shaping the future of AI-powered beings that we will embrace in our everyday lives.
With the imminent arrival of versatile robots, we are poised to tackle significant societal challenges such as an aging population and a shortage of labor. The way these robots move will determine whether we open our doors to them, welcoming them into our homes and workplaces. As we navigate an increasingly AI-driven world, it is vital that we retain our humanity and control the narrative of the future. Let’s choreograph a future where humans and robots coexist harmoniously.
https://www.ted.com/talks/catie_cuan_next_up_for_ai_dancing_robots
Curious Saturday: Inner space exploration – Let’s bring microrobots inside the human body
Join us as we delve into the concept of swallowing micro-robots for medical purposes. Witness the innovative demonstration by physician Vivek Kumbhari as he guides the Pillbot, a wireless robot swallowed by engineer Alex Luebke. This cutting-edge technology offers a non-invasive and cost-effective way to visualize internal organs, potentially revolutionizing medical imaging.
The possibilities are endless as we envision a #future where microrobots provide valuable insights into our health and well-being. It’s a journey worth embarking on, and we invite you to be part of this groundbreaking exploration. Let’s embrace the unknown and venture into uncharted territories within the human body.
For more information, check out the TED talk here: https://www.ted.com/talks/alex_luebke_vivek_kumbhari_how_you_could_see_inside_your_body_with_a_micro_robot
Solar power is going to be huge
Solar power is on the rise and expanding rapidly around the world. In 2023, the global production of solar cells reached a staggering 70 billion units, with the majority being manufactured in China. These solar cells are then assembled into panels and used to generate electricity for various purposes, from residential homes to large industrial facilities.
Despite covering less than 10,000 square kilometers, solar panels produced over 1,600 terawatt-hours of energy in 2023, accounting for 6% of global electricity generation. This may seem like a small percentage, but when compared to the inefficiency of fossil fuels, which waste more than half of their energy as heat, solar power becomes a much more attractive option.
With its quiet operation, zero emissions, and minimal maintenance costs, solar power is revolutionizing the way we generate electricity. It may not be flashy, but its impact is undeniable.
Source: https://www.economist.com/interactive/essay/2024/06/20/solar-power-is-going-to-be-huge
Loquat Inc. welcomes David Cramer as Strategic Advisor to its leadership team
In his role as Advisor, David Cramer will focus on growth and building strategic partnerships with financial institutions. He brings a wealth of knowledge particularly in developing payment products and driving sales strategies that have bolstered financial institutions.
With a distinguished career spanning over 30 years in the payments industry, David has held various leadership positions at Citicorp, GE Capital, JPMorgan Chase, and spent over 18 years at Visa, Inc. His deep expertise in commercial product development and financial institution sales across North America has made him a prominent figure in the field, especially in facilitating growth for SMBs and strengthening banking solutions for Credit Unions and Community Banks.
Please read the full Press Release on our website https://loquatinc.io/news/loquat-inc-welcomes-david-cramer-as-strategic-advisor-to-its-leadership-team/
Crafting a value-boosting AI strategy for your business
Suddenly intrigued by the potential of Generative AI (GenAI), executives are eager to incorporate it into their business operations. However, to fully leverage its benefits while minimizing risks, a well-rounded and practical AI strategy is essential.
To create a successful GenAI strategy, focus on the following key elements and utilize the GenAI planning workbook to:
- Establish clear GenAI goals, benefits, and success metrics
- Align your GenAI vision with tangible business outcomes
- Identify and address potential AI-related risks
- Prioritize GenAI projects based on strategic importance
Research from Gartner indicates that organizations where the AI team actively participates in defining success metrics are 50% more likely to strategically implement AI. When selecting metrics, input from various stakeholders such as data managers, business analysts, domain experts, risk management professionals, data scientists, and IT leaders is crucial.
Link to article: https://www.gartner.com/en/articles/how-your-ceo-is-thinking-about-ai
America First Credit Union selects Loquat Inc. for small business account onboarding
Please read the full Press Release on our website: https://loquatinc.io/news/america-first-credit-union-partners-with-loquat-inc-for-small-business-account-onboarding/
Tech services and Generative AI: Are you ready for the future of IT?
The rise of generative AI is shaking up the tech industry, presenting both challenges and opportunities for IT service providers. Traditionally, these providers have been the go-to for businesses seeking help with their complex technology needs.
However, as more companies invest in gen AI to streamline their IT management, service providers are left wondering about their future role in the market. With the landscape rapidly evolving, it’s crucial for providers to adapt and reinvent themselves to stay relevant and competitive. This shift towards gen AI opens up a whole new market for tech services, but it also requires providers to rethink their strategies and offerings. The key to success lies in welcoming this change and finding innovative ways to leverage generative AI to meet the evolving needs of their clients.
Feel good Sunday: sometimes new ideas come to life just because they’re FUN!
Ever wondered how some of the most groundbreaking ideas and technologies came to be? It turns out, they weren’t born out of necessity, but rather from the sheer joy of play. Who would have thought that the future lies in the realm of fun and games?
Discover the playful wonderland behind great inventions and be inspired by the power of creativity and imagination. Check out the TED Talk here: https://www.ted.com/talks/steven_johnson_the_playful_wonderland_behind_great_inventions
Curious Saturday: Dive into the fascinating world of mind-reading technology
Modern technology lets neuroscientists peer into the human brain, but can it also read minds? Armed with the device known as an electroencephalogram, or EEG, and some computing wizardry, our intrepid neuroscientists attempt to peer into a subject’s thoughts.
https://www.ted.com/talks/greg_gage_this_computer_is_learning_to_read_your_mind
Ethical hackers on a mission: Exposing vulnerabilities in top AI models from tech giants like OpenAI and Google
Hackers are actively engaged in probing the vulnerabilities of cutting-edge AI models developed by industry giants like OpenAI, Google, and xAI. These hackers, often referred to as “white hat” hackers, are dedicated to identifying potential security loopholes in these advanced AI systems.
By pushing the boundaries of these models, they are able to circumvent the security protocols put in place by companies to safeguard their products. The risks uncovered by these hackers include the potential for generating harmful content, spreading misinformation, leaking sensitive data, and even creating malicious code. This concerted global effort by ethical hackers is crucial in ensuring that these powerful AI models remain secure and trustworthy for widespread use in various applications.
Happy Independence Day!
How AI will transform the physical world
The future looks bright as AI continues to revolutionize various industries such as energy, manufacturing, and medicine. According to the renowned futurist, the impact of AI will be profound and far-reaching. It is predicted that by the time today’s children reach kindergarten, artificial intelligence will have surpassed humans in all cognitive tasks, from scientific endeavors to creative pursuits.
Despite initial skepticism, recent advancements in AI technology have accelerated the timeline for achieving artificial general intelligence (AGI). What was once considered a distant possibility is now on the horizon, with experts suggesting that AGI could be a reality even sooner than originally anticipated. The rapid pace of innovation in AI is reshaping the physical world in ways we never imagined possible.
Source: The Economist
https://www.economist.com/by-invitation/2024/06/17/ray-kurzweil-on-how-ai-will-transform-the-physical-world
4Q23 Tech Recap: Navigating Uncertain Waters
The tech industry saw a mixed bag of results in the final quarter of 2023, leaving many unsure about what lies ahead in 2024. With the emergence of generative AI and the challenge of reigniting demand, tech leaders are facing a tricky road ahead.
The cautious sentiment stemming from the 4Q23 numbers has left many feeling uncertain about the future demand for technology in the coming year. Tech leaders are approaching the situation with a sense of caution, opting to carefully manage costs while keeping an eye on market trends.
While interest in generative AI remains strong, the focus is shifting towards practical applications rather than just hype. Reigniting demand will be a key priority for 2024, requiring a strategic approach to tap into new markets beyond the existing customer base.
https://www.gartner.com/en/doc/807795-high-tech-4q23-roundup-reigniting-demand-in-a-skeptical-market
The advancement of technology is pushing organizations to upskill their workforce in risk management.
Analytical AI, the stepping stone to gen AI, is honing in on data privacy and fairness. Ensuring that data is handled ethically and equitably is a top priority. The spotlight is on addressing biases in AI models, especially those leading to discriminatory outcomes in areas like housing and finance.
The demand for transparency in AI systems is growing as concerns over potential misuse, such as deepfakes, continue to rise. Governments are grappling with the challenge of safeguarding against the reputational risks tied to the misuse of gen AI technology.
12 predictions for the future of technology
Get ready for the future of technology with these 12 bold predictions from venture capitalist Vinod Khosla. From personalized healthcare solutions to pedestrian-friendly cities, Khosla paints a picture of a world where innovation reigns supreme. Imagine traveling at supersonic speeds and connecting with people worldwide like never before. His TED talk will challenge your thinking and inspire you to embrace the power of technology for a brighter tomorrow. Don’t miss out on these game-changing insights that could shape the world we live in. Watch now and join the conversation on the future of technology.
https://www.ted.com/talks/vinod_khosla_12_predictions_for_the_future_of_technology
Master the art of persuasive speaking: Avoid these 7 deadly sins!
Tired of feeling like no one is listening when you speak? Sound expert Julian Treasure has the solution. Learn vocal exercises and empathy tips to captivate your audience in this insightful talk. Discover how to speak powerfully and make the world a more beautiful place.
Julian Treasure reveals the seven deadly sins of speaking, including gossip, negativity, and dogmatism. By avoiding these pitfalls and embracing positivity, you can communicate effectively and connect with others on a deeper level. Don’t miss out on the secrets to becoming a persuasive speaker!
Watch the talk here: https://www.ted.com/talks/julian_treasure_how_to_speak_so_that_people_want_to_listen
Apple’s AI mystery: Failing to wow with Apple intelligence
Apple’s latest foray into the world of artificial intelligence has left many scratching their heads. In the past, Apple was the go-to for innovative technology that seamlessly integrated into our lives. However, their recent unveiling of Apple Intelligence fell short of expectations. The demonstration lacked the originality and polish we have come to expect from the tech giant.
It seems that Apple may have missed the mark in harnessing the full potential of generative AI. While the unveiling may have allayed fears of Apple falling behind in the AI race, it raises questions about who will truly shape the future of this technology. Apple’s attempt to put its own stamp on AI may have missed the mark, leaving us wondering what comes next in the world of artificial intelligence.
Source: Read the full article at: https://on.ft.com/4cmvA3s
Quote of the week
Is global GDP $7trn bigger than everyone thought?
Discovering nearly $7 trillion in additional global GDP is like stumbling upon a hidden treasure trove. The World Bank’s recent findings reveal a significant boost to the global economy, equivalent to the combined economies of France and Mexico. This unexpected windfall can be likened to a valuable discount voucher, offering a 4% reduction in the cost of goods and services worldwide.
Despite this newfound economic wealth, China’s GDP per capita remains unremarkable, falling below the global average. With a high savings rate and relatively low consumer spending, China lags behind countries like South Africa and Peru in individual consumption. It’s akin to finding spare change in your couch cushions but failing to put it to good use.
AI adoption skyrockets in 2024: Gen AI technology takes center stage
AI adoption has surged in 2024, with organizations now reaping the benefits of gen AI technology. According to the latest McKinsey Global Survey, 65% of respondents are actively using gen AI, a significant increase from previous surveys. The optimism surrounding gen AI’s potential impact remains high, with three-quarters of respondents anticipating significant industry disruptions in the near future. This rapid adoption and positive outlook signal a promising future for gen AI and its transformative capabilities. Source: McKinsey Global Survey on AI.
https://www.mckinsey.com/capabilities/quantumblack/our-insights/the-state-of-ai
Credit Unions: Thriving with boomers, but what about Gen Z? Key insights for success
Credit unions have been thriving lately, thanks to their large population of baby boomer members who are either retired or getting ready to retire. The 2023 Consumer Financial Life Survey by McKinsey shed light on some key insights that credit unions should take note of. It revealed that credit unions are losing ground with younger generations, but there are opportunities to better engage with them. On a positive note, credit union members have a more positive perception of their relationship compared to bank customers.
It’s crucial for credit unions to adapt to the changing financial landscape to remain relevant.
Feel good Sunday: Picture a perfect society. What does it look like?
Join us for a thought-provoking discussion on envisioning an ideal society. Imagine a diverse group of individuals coming together to create a fair and just community. Through a fascinating thought experiment, we explore the concept of designing a society while being unaware of our own personal characteristics. Can we create a society where everyone is given equal opportunities and resources? Joseph Lacey delves into John Rawls’ intriguing ideas in this enlightening talk.
Watch the talk here: https://www.ted.com/talks/joseph_lacey_picture_a_perfect_society_what_does_it_look_like
Curious Saturday: Are we celebrating the wrong leaders?
Instead of glorifying leaders who excel in crisis management, let’s explore the often overlooked greatness of those who prevent crises altogether. Historian Martin Gutmann will guide us through a thought-provoking discussion, using the adventurous yet calamity-prone explorer Ernest Shackleton as a case study.
Source: https://www.ted.com/talks/martin_gutmann_are_we_celebrating_the_wrong_leaders
Microsoft’s emissions skyrocket by 30% in AI race
Microsoft is facing a significant increase in emissions, up almost 30% since 2020, as it rushes to meet the growing demand for artificial intelligence. This surge in emissions highlights the challenges the tech giant faces in balancing its climate goals with the need to invest in infrastructure.
The spike in emissions is primarily attributed to the construction of data centers that support AI and cloud computing systems, according to Microsoft’s latest sustainability report. The company acknowledges that its unique position as a leading cloud provider expanding its data centers contributes to these challenges.
In a competitive race with rivals like Amazon and Google, Microsoft is investing heavily in expanding its infrastructure to support generative AI. The company has poured billions into OpenAI, the creator of ChatGPT, and is also developing its own AI tools to stay ahead in the game.
Source: https://on.ft.com/3QOOEix
Quote of the week
Diego Maradona’s Llegacy: Valuable lessons for central bankers
In 2005, Mervyn King, the former governor of the Bank of England, introduced his “Maradona theory of interestrates.” He compared the legendary footballer’s performance in the 1986 World Cup to how central bankers should handle monetary policy. King highlighted Maradona’s ability to outmaneuver opponents and score goals with minimal effort by cleverly guiding their expectations.
Today, as the Federal Reserve has raised its policy rate significantly, central bankers have more flexibility. However, investors remain highly influenced by forward guidance rather than actual policy rates, much like defenders facing Maradona on the field.
The key takeaway from Maradona’s tactics is that effective communication and strategic planning can help central bankers achieve their goals without drastic policy changes. This enduring lesson from the football pitch can be applied to the world of finance with great success.
Foundation Models: Google’s Gemini leads the way for AI innovation
Foundation models are the driving force behind many of today’s powerful AI systems. Google recently revealed that all of its products with over 2 billion users now rely on the Gemini model. The 2024 AI Index report highlights the significant investments made by developers in creating their flagship models. With the increasing importance of this technology, there is a growing demand for transparency. Various governments, including the US, EU, China, Canada, and G7, have taken steps to enhance transparency around foundation models. Today, the Republic of Korea and the UK are hosting a meeting of world leaders to address these issues.
The Foundation Model Transparency Index (FMTI) was introduced in October 2023 to assess major foundation model developers like OpenAI and Meta based on their public disclosures. The October 2023 Index evaluated transparency across various indicators such as data, labor, compute, capabilities, limitations, risks, usage policies, and downstream impact. The results revealed a lack of transparency in the ecosystem, with developers averaging a score of only 37 out of 100.
Source: https://crfm.stanford.edu/2024/05/21/fmti-may-2024.html
Cyber-attacks: Not as costly as you think
Surprisingly, the economic impact of cyber-attacks may not be as catastrophic as initially predicted. Despite warnings of skyrocketing costs, recent data suggests a more nuanced perspective. According to Tom Johansmeyer, a cybersecurity expert, the actual financial toll of cyber incidents may not be as drastic as feared.
In a case study of the NotPetya attack in 2017, which caused over $10 billion in damages, Johansmeyer’s analysis challenges the prevailing narrative of escalating cybercrime costs. While the threat of cyber-attacks remains a concern, the notion of a $23 trillion global cost by 2027 may be exaggerated.
Recent trends indicate a potential shift in the cybersecurity landscape, with the actual impact of cyber-attacks showing signs of stabilization or even decline. Despite the increasing frequency of cyber incidents, the economic repercussions may not be as dire as previously anticipated.
Discover the wonders of spatial intelligence in AI
Join Fei-Fei Li as she delves into the groundbreaking world of spatial intelligence in AI. Just like the moment when organisms first gained sight, machines are on the cusp of a revolutionary breakthrough. They will soon have the ability to process visual data, make accurate predictions, and take decisive action.
Imagine a future where AI can seamlessly interact with us in the real world, sparking endless possibilities for innovation and advancement. Don’t miss out on this game-changing TED Talk that explores the incredible potential of artificial intelligence.
Watch Fei-Fei Li’s TED Talk here: https://www.ted.com/talks/fei_fei_li_with_spatial_intelligence_ai_will_understand_the_real_world
How to link boredom with brilliance
Discover the hidden power of boredom in sparking your most innovative ideas. Have you ever noticed that your mind seems to wander and come up with brilliant solutions when you’re engaged in mundane tasks? This phenomenon occurs because when you allow yourself to be bored, your brain has the opportunity to make unexpected connections and think outside the box.
Check out the TED talk by Manoush Zomorodi to learn more about how boredom can lead to your most brilliant insights: https://www.ted.com/dubbing/manoush_zomorodi_how_boredom_can_lead_to_your_most_brilliant_ideas
More women on US company boards, but C-suite still a challenge
Recent data shows that while there has been an increase in the number of women serving on boards of US companies, the number of female executives has actually decreased for the first time in years. This highlights the ongoing struggle to achieve true diversity in corporate leadership in America.
The percentage of women serving on boards of Russell 3000 index companies has been steadily increasing, reaching 30% this year. However, the number of women in executive positions has seen a decline in 2023, marking the first drop since at least 2005. Additionally, the growth of women in senior management roles below the executive level has slowed down significantly.
Overall, progress is being made, but there is still work to be done to ensure equal representation in the highest levels of corporate leadership.
Read the full article at: https://on.ft.com/4bFKUrE
“Always remember that you are absolutely unique. Just like everyone else.”
Margaret Mead
Gen AI: The future is now!
Gen AI is really starting to make a name for itself. The technology behind gen AI has been in development for years, but it wasn’t until ChatGPT burst onto the scene in late 2022 that things really started to take off.
Since then, we’ve seen new and improved versions of gen AI popping up almost every week. Just in March 2023, there were six major updates, including new tools for customer relationship management and financial services. It’s exciting to see how quickly this technology is evolving and the potential it holds for the future.
Check out the link for more details: https://www.mckinsey.com/featured-insights/mckinsey-explainers/whats-the-future-of-generative-ai-an-early-view-in-15-charts
Forget macro and micro, it’s mesoeconomics that matters
Mesoeconomics is the new buzzword in the economic world, and it’s making a big impact. Instead of focusing solely on #macro and micro levels, understanding the intricacies of networks is key to truly understanding how the economy functions.
Thanks to Big Data, economists now have access to detailed information on business networks in real time. This allows for a more mathematical approach, using concepts from graph theory to analyze inter-firm relationships.
Gone are the days of economists making diagnoses based on surface-level observations. Now, they are delving deep into networks to uncover pricing pressures, innovation, and other key factors affecting the economy.
The Bank for International Settlements and the IMF are both exploring global value chains using mesoeconomics. Even the use of cloud computing by banks is being scrutinized through this lens, revealing new vulnerabilities and bottlenecks in the system.
Source: https://on.ft.com/44WVmsz
Tech titans’ spending spree: Are they going overboard?
Big tech companies are going all out with their spending spree on data centers, chips, and AI models, totaling a whopping $200 billion this year. This surge in capital expenditure, up 45% from last year, has raised concerns about irrational exuberance in the tech industry.
Wall Street is predicting that these companies could collectively spend $1 trillion over the next five years, leading to increased revenues but also higher costs. The risks of runaway spending, commodification of AI models, and diminishing returns on investment loom large. Investors are cautious, especially after seeing past extravagant projects from tech giants like Meta. Will ever-bigger models pass the bang-for-the-buck test?
Source: https://www.economist.com/leaders/2024/05/16/big-techs-capex-splurge-may-be-irrationally-exuberant
Feel good Sunday: Let’s spread the joy of giving
Picture a world where acts of kindness are like wildfire, spreading joy and changing lives. TED’s Chris Anderson shares inspiring stories that show the power of generosity in action. He challenges us to use the #internet to amplify our impact, making a difference in ways we never thought possible.
When you choose to be generous, you’ll find two incredible companions on your journey: meaning and happiness.
https://www.ted.com/dubbing/chris_anderson_it_s_time_for_infectious_generosity_here_s_how
Curious Saturday: Mastering the art of persuasive storytelling
According to communications expert Kelly D. Parker, storytelling is a potent tool for marketing and leadership. She emphasizes how stories can enhance the impact of proposals and offers insights on creating a compelling narrative to engage, influence, and inspire action.
Share your tales. Whether recounting your triumphs, setbacks, or life lessons, the stories you tell can create a connection and demonstrate empathy towards others’ experiences. By weaving your experiences into narratives, you can effectively convey your understanding of challenges and aspirations. This approach may not only win over audiences but also foster a sense of community and amusement.
https://www.ted.com/talks/kelly_d_parker_the_art_of_persuasive_storytelling
The true cost of a stolen phone – Time to increase your “cyber” hygiene
Phone theft is becoming a serious issue as #smartphones hold a treasure trove of personal information. Criminal organizations target smartphones for their valuable data, using sneaky tactics like “shoulder surfing” and covert filming to crack passcodes and access sensitive information.
Stolen phones are often sold on the black market, fueling a larger web of criminal activity. This not only leads to more thefts but also facilitates widespread financial fraud. It’s crucial for individuals to safeguard their phones and personal data to avoid falling prey to phone theft and its potential repercussions.
Improving your “cyber hygiene” is a key step in this direction. Research shows that many people use the same PIN for their phone, apps, services, and bank cards, making it a cakewalk for thieves. And storing multiple bank cards and your driver’s license in your phone case? That’s practically a gift to them.
Connecting the dots between these issues can help focus resources and efforts from tech, telecoms, and financial industries on combating phone theft. It’s time to raise awareness and take action against this growing problem.
https://www.ft.com/content/26be349d-4717-4815-a221-a749e29de2b2?shareType=nongift
Life is too short not to celebrate nice moments!
Insured Credit Unions see $108 Billion surge in assets
The most recent financial performance data released by the National Credit Union Administration shows a significant increase in total assets in federally insured credit unions. Over the past year, total assets rose by $108 billion to reach $2.17 trillion, marking a 5.2 percent increase. Insured shares and deposits also saw growth, increasing by $50 billion to $1.68 trillion.
On a national level, there was an overall increase in shares and deposits, although the median growth rate was negative at 3.5 percent. Some states, like Wyoming, Idaho, and New Hampshire, saw positive median growth rates in shares and deposits. However, states like New Jersey and West Virginia experienced the most significant declines in shares and deposits at -6.6 percent and -6.2 percent respectively.
Riding the wave: America’s unstoppable startup boom
The entrepreneurial spirit is alive and well in America, with a remarkable surge in startup activity taking place. Despite the challenges posed by the covid-19 pandemic, there has been a significant increase in applications to form new businesses. While some of these new ventures may have initially seemed opportunistic or unusual, the overall trend is clear: Americans are embracing entrepreneurship like never before.
In 2020, a record-breaking 5.5 million applications were submitted to start new businesses. Although the pace has slowed slightly, the numbers remain significantly higher than pre-pandemic levels. This surge in startup activity has led to a notable shift in job creation, with new businesses now outpacing established companies in job growth. This trend highlights the important role that startups play in driving economic growth and innovation in the United States.
Amplify the power of LLMs with MAS
Discover the incredible potential of teaming up large language models (LLMs) with multi-agent systems (MAS). By combining the strengths of multiple AI models, these collaborative teams can tackle complex tasks with ease.
Researchers are paving the way for AI teams to work together, assign tasks, and solve problems autonomously, surpassing the capabilities of individual models. Not only do these teams demonstrate advanced reasoning and mathematical skills, but they also show promise in minimizing the spread of misinformation.
By harnessing the collective intelligence of these AI teams, we can break new ground and achieve feats previously thought impossible. Don’t miss out on the future of AI collaboration!
Feel good Sunday: Dive into the power of your five senses
Neurobiologist Christi Gendron sheds light on how our five senses – sight, smell, hearing, taste, and touch – play a crucial role in determining our health and lifespan. By examining the effects of environmental stimuli on fruit flies, Gendron reveals how everyday sensory experiences can directly influence our ability to live a long and healthy life.
From temperature and light to the mere sight of death, our perceptions can have profound effects on our well-being. Don’t miss out on this intriguing exploration of the science behind lifespan and sensory perception.
Check out Christi Gendron’s enlightening talk now!
https://www.ted.com/talks/christi_gendron_the_science_of_lifespan_and_the_impact_of_your_five_senses
Curious Saturday: Step into the future with audio computers
Get ready to be amazed by the latest innovation in technology as designer Jason Rugolo introduces the revolutionary concept of audio computers. Imagine having a computer that responds to your voice, translates conversations instantly, and enhances the sounds around you.
This groundbreaking device is set to change the way we interact with technology. Be the first to witness this game-changing invention as Jason Rugolo unveils it on the TED stage for the very first time.
Jason Rugolo: https://www.ted.com/talks/jason_rugolo_welcome_to_the_world_of_audio_computers
TikTok is the new go-to for Gen-Z job hunters
Young professionals today have a different approach to job searching. They value a more friendly and supportive work environment, along with better perks and salaries. Instead of relying on traditional networking methods, many young Americans are turning to TikTok for career advice to help them kickstart their careers.
https://www.economist.com/business/2024/05/09/for-gen-z-job-seekers-tiktok-is-the-new-linkedin
Why spill the beans about our dreams when we can just flaunt them instead?
The Rise of the “Magnificent Seven”: Apple faces legal battle over smartphone monopoly
The Department of Justice and state attorneys are taking on Apple in a legal battle over its alleged monopolistic practices in the smartphone market. The lawsuit accuses Apple of stifling competition, hindering innovation, and discouraging users from choosing rival devices.
This latest case goes beyond just the smartphone market, highlighting various instances where Apple has supposedly hindered competitors to maintain its dominance. Examples include blocking super apps, restricting access to cloud-based gaming apps, and providing subpar service for rival gadgets like smartwatches.
As the tech industry continues to evolve, the dominance of big players like Apple may only increase, especially with the rise of generative AI. The top tech companies, known as the “Magnificent Seven,” have seen a significant increase in market value, thanks in part to the AI boom.
Source: The Economist https://www.economist.com/business/2024/03/22/the-department-of-justice-wages-war-on-apple
Is Europe’s economy up for the challenge of competing with the US once again?
The US economy has shown remarkable resilience in the face of recent shocks, bouncing back quicker and stronger than its European counterpart. By the first quarter of this year, US GDP had surged 8.7% above pre-pandemic levels, outpacing the Eurozone’s 3.4% increase by a significant margin.
Eurozone consumers continue to save at a rate of more than 14% of their income, well above historical averages. In contrast, American consumers have quickly spent the extra money they saved during the pandemic, bringing their savings rate down to less than 5%.
It’s clear that the US economy is forging ahead while Europe struggles to keep pace. Can Europe rise to the challenge and close the gap?
Read the full article at: https://on.ft.com/44GFla9
Personal funds and cash reserves are the first sources of funding for small businesses
Feel good Sunday: We need less “us vs. them”
Get ready for a feel-good Sunday with a powerful message: the world needs more builders and less division. Daniel Lubetzky, the founder of KIND Snacks, challenges the “us vs. them” mentality and introduces a new initiative to unite global builders in solving real-world problems. Join the movement to combat extremism and promote practical problem-solving.
Check out his inspiring TED Talk to learn more: https://www.ted.com/talks/daniel_lubetzky_why_the_world_needs_more_builders_and_less_us_vs_them
Curious Saturday: The fight for a human right for cognitive liberty
The world of neurotechnology offers a fascinating glimpse into the inner workings of our minds, providing valuable insights into our mental health. However, the potential misuse of our most intimate thoughts and emotions poses a significant threat, warns neurotech and AI expert Nita Farahany.
While she highlights the numerous benefits of brain-sensing devices in diagnosing and treating various conditions, she also raises important questions about the protection of our cognitive data and the implications of its use.
Farahany advocates for the establishment of “cognitive liberty” as a fundamental right as we navigate the complex intersection of our brains and technology.
Watch the thought-provoking talk here: https://www.ted.com/talks/nita_farahany_your_right_to_mental_privacy_in_the_age_of_brain_sensing_tech
Discover the hidden potential of midsize companies
While they may not grab the spotlight like their larger counterparts, midcap companies are the unsung heroes of the business world. With their revenue ranging from $200 million to $2 billion, these midsize firms are the backbone of many economies, employing over 40 percent of the global workforce and contributing significantly to GDP. In emerging markets, they are even more crucial, driving up to half of the national GDP and fueling economic growth.
To unlock the full power of midcap companies, here are six essential strategies:
- Set ambitious goals to inspire your team
- Invest in talent proactively
- Foster a sense of ownership among leaders
- Prioritize initiatives rigorously
- Make decisions based on data and facts
- Use analytics and AI to outpace larger competitors
Source: McKinsey & Company https://www.mckinsey.com/capabilities/transformation/our-insights/unleashing-the-power-of-midcap-companies
You’ll never know what you’re capable of until you take that first step
Small Business Advocacy Office 2023 report: state of capital formation
The Small Business Advocacy Office’s 2023 report gives us a detailed look at the current state of capital formation for small businesses in the U.S. By analyzing trends in #capital-raising and the impact of rules and regulations, this report provides a valuable resource for understanding how capital flows between #investors and small businesses.
The data presented in the report highlights both the successes and challenges that small businesses encounter when raising capital, helping us to identify areas where policy solutions may be needed. This information is based on public filings with the SEC and analysis from the SEC’s Division of Economic and Risk Analysis (DERA), as well as data and insights from third-party sources. It’s a comprehensive overview that sheds light on the complex landscape of small business financing.
Cyber risks are no longer just a distant concern – they’re hitting close to home for cyber leaders
Cyber risks have become a pressing issue for organizations worldwide, as cyber threats continue to evolve and become more sophisticated. Information security leaders are facing increasing pressure to protect their organizations from data breaches and cyber attacks.
The new US regulations on data breach disclosure are adding to this pressure, as companies are now required to promptly report any breaches to regulators and affected individuals. This means that information security chiefs must be even more vigilant in monitoring their networks and implementing robust cybersecurity measures to safeguard sensitive data. Failure to comply with these regulations can result in significant financial and reputational damage for organizations.
As cyber threats continue to grow in complexity and frequency, information security leaders must stay ahead of the curve to effectively protect their organizations from cyber risks.
https://www.ft.com/content/03c40983-6b27-4a11-81dd-e504ace65417
AI impersonations are on the rise in cyber attacks
Banks and financial institutions are closely monitoring for any suspicious activity involving AI impersonations. A recent cyber attack using sophisticated AI voice software has highlighted the risks faced by prominent individuals with easily accessible personal information online. Mark Read, CEO of WPP, fell victim to a #deepfake scam where criminals used a voice clone and public YouTube footage to arrange a video meeting with his executives. The scammers posed as someone interested in starting a new business, aiming to obtain personal information and money.
As technology continues to advance, the threat of AI impersonations looms large, underscoring the need for robust security measures and vigilance in the digital landscape.
https://www.ft.com/content/308c42af-2bf8-47e4-a360-517d5391b0b0
Feel good Sunday: Why do we tend to stick to our beliefs?
Are you more of a soldier, fiercely defending your stance, or a scout, driven by curiosity? Julia Galef delves into these mindsets and their impact on how we process information, with an intriguing historical anecdote from 19th-century France. When faced with challenges to your convictions, Galef prompts you to consider: “What do you truly desire? To protect your beliefs or to see the world with clarity?”
Don’t miss out on this talk by Julia Galef at TED.
https://www.ted.com/talks/julia_galef_why_you_think_you_re_right_even_if_you_re_wrong
Curious Saturday: What is an AI anyway?
Microsoft AI CEO Mustafa Suleyman, a key figure in AI development, will challenge our understanding of this groundbreaking technology. He presents a thought-provoking perspective on the future of AI, likening it to a new digital species that demands our attention. Don’t miss this enlightening talk, followed by a Q&A session with TED head Chris Anderson.
Check out the event details here: https://www.ted.com/talks/mustafa_suleyman_what_is_an_ai_anyway
AI isn’t the only one that hallucinates
We often hear about AI models creating false information. We cringe at the lawyer who unknowingly submitted a legal document with made-up cases generated by ChatGPT.
A colleague asked the chatbot for a chart on the training costs of AI models and was surprised to find that the priciest one listed didn’t even exist (unless the AI has some insider knowledge). Just like humans, these models can be unreliable, as many users quickly discover. The real question is: are machines easier to correct than us? Perhaps it’s simpler to fix code than rewire the human brain.
Read the full article at: https://on.ft.com/4d73bjj
Never say never
The future of the payments: Fraud protection takes the center stage
The payments industry is gearing up for a future filled with risks, regulatory challenges, and evolving global standards. As we enter a new era of disconnected payments, companies must adapt to meet rising customer expectations for convenience, affordability, and security. The role of risk management is expanding to not only protect against threats but also drive growth opportunities.
Fraud remains a pressing issue, with scams on the rise and consumers losing billions of dollars each year. To maintain payment system integrity and customer trust, companies must improve fraud detection and prevention while minimizing customer disruptions. By enhancing fraud protection measures, organizations can safeguard their reputation and ensure a seamless customer experience.
Entrepreneurs: Still fighting for funding
Entrepreneurs are still struggling to secure the funding they need at every step of their business journey. Despite some progress in recognizing and overcoming obstacles to accessing capital, there is a long road ahead.
The power of pace in technology
In the fast-paced world of digital transformations, Erik Schmiegelow, CEO of Hivemind Technologies, emphasizes the need for quick and agile software delivery. Hivemind’s strategy involves releasing small updates regularly to validate assumptions and minimize risks.
During a conversation with McKinsey partner Thomas Delaet, Schmiegelow discusses the significance of speed in transformations, the advantages and disadvantages of public cloud services, and the impact of generative AI on developer efficiency. The key takeaway from their discussion is the crucial role that pace plays in successful technology initiatives.
Source: https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/the-power-of-pace-in-technology
Feel good Sunday: Navigating tough times – 3 secrets of resilient people
Resilience expert Lucy Hone reveals three key strategies to help you navigate through tough times with strength and grace.
Firstly, resilient people understand that setbacks are a natural part of life. They don’t welcome adversity, but they accept it as a universal experience. This mindset prevents them from feeling singled out when challenges arise.
Secondly, they have a knack for realistically assessing situations and focusing on what they can control. By accepting what they cannot change, they avoid getting stuck in unproductive patterns.
Lastly, resilient individuals evaluate their decisions to ensure they are moving forward, not holding themselves back. By incorporating these strategies into your life, you can build resilience and face adversity with confidence.
Check out Lucy Hone’s talk for more insights on resilience: https://www.ted.com/talks/lucy_hone_3_secrets_of_resilient_people
Curious Saturday: Learn HOW to rest!
Join us for an enlightening discussion on the importance of taking breaks for boosting productivity! Learn how incorporating periods of rest can actually enhance your creativity and effectiveness at work. Discover the benefits of alternating between focused work and deliberate rest to optimize your performance.
Explore strategies for creating a daily routine that allows for deep, distraction-free work sessions, followed by rejuvenating breaks. Give yourself permission to disconnect from emails and messages to fully concentrate on your tasks.
Don’t miss out on valuable insights from consultant Alex Soojung-Kim Pang on the power of rest in improving job performance and overall well-being. Tune in to his TED Talk for more inspiration: https://www.ted.com/talks/alex_soojung_kim_pang_how_rest_can_make_you_better_at_your_job
Let’s work smarter, not harder!
What does the chief AI officer actually do?
It’s fascinating to note that the number of companies appointing a chief AI officer has nearly tripled worldwide in the last five years, as reported by LinkedIn. Fawad Bajwa, AI lead at Russell Reynolds Associates, has witnessed a significant transformation in the industry since the inception of ChatGPT.
The importance of this role was further emphasized recently when the White House mandated federal agencies to have chief AI officers to ensure effective leadership and oversight of AI technology. However, the specific duties of this role are still evolving, and given the ever-changing landscape of job titles in the corporate world, its relevance may be temporary.
Chief AI officers are responsible for overseeing the implementation of AI and generative AI technologies in an organization, with a focus on enhancing operational efficiency, identifying new revenue opportunities, and addressing ethical and security concerns.
Read the full article at: https://on.ft.com/3vHbpxP
“A good sketch is better than a long speech…”
The skill of interpreting data visually has been around for ages. With the massive amounts of data being generated in our global #economy, the demand for top-notch visualization is on the rise. In 2008 alone, the “digital universe” grew by 487 exabytes, or 487 billion gigabytes, as reported by EMC. And they predict that in 2012, we will see five times more digital information than the previous year.
Artificial Intelligence Index Report 2024: Top 10 takeaways:
- AI beats humans on some tasks, but not on all
- Industry continues to dominate frontier AI research
- Frontier models get way more expensive
- The United States leads China, the EU, and the U.K. as the leading source of top AI models
- Robust and standardized evaluations for LLM responsibility are seriously lacking
- Generative AI investment skyrockets. Despite a decline in overall AI private investment last year, funding for generative AI surged, nearly octupling from 2022 to reach $25.2 billion
- The data is in: AI makes workers more productive and leads to higher quality work
- Scientific progress accelerates even further, thanks to AI
- The number of AI regulations in the United States sharply increases. The number of AI-related regulations in the U.S. has risen significantly in the past year and over the last five years
- People across the globe are more cognizant of AI’s potential impact — and more nervous
https://www.ft.com/content/8af1f467-2953-4cbc-a336-4c92c92e6792
Upgrade your bank’s digital platform
In the fast-paced world of technology, customers are demanding more than just basic financial services. They crave interactive and convenient #experiences that can be accessed easily through various channels.
Banks need to step up their game by investing in a comprehensive digital platform to meet these evolving customer needs. This means streamlining processes, adopting open banking solutions, tailoring services to individual preferences, and harnessing the power of cloud computing for instant data analysis. Taking small steps towards modernization can help banks stay ahead of the curve and remain competitive in the digital age.
Fueling innovation: How start-ups are shaping America’s future
The data from the past decade reveals an interesting trend: the majority of venture capital funding has been concentrated in just three states – California, New York, and Massachusetts. Meanwhile, the other 47 states have been left to compete for the remaining 25 percent. However, there is a shift happening as 1,400 new regional venture firms have emerged in the last decade. This has resulted in a significant increase in venture capital investments in rising cities in the heart of the country.
This shift is promising, with success stories like Mailchimp in Atlanta, which was recently acquired for $12 billion, and Epic Systems in Madison, Wisconsin, a leading healthtech company. Additionally, companies like Carvana in Arizona, now valued at $8 billion, are making waves in their respective industries.
It’s worth noting that a growing number of disruptive companies are emerging outside of Silicon Valley, with two-thirds of the companies on CNBC’s “Disruptor 50” list coming from non-traditional tech hubs.
Feel good Sunday: The power of empowerment
In this vintage clip from 1972, the renowned psychiatrist and Holocaust survivor shares profound insights on the human quest for meaning and the transformative power of believing in others.
Frankl reminds us that when we see people for who they truly are and recognize their potential, we empower them to reach greater heights. It’s a reminder to approach others with compassion and optimism, knowing that our belief in them can be a catalyst for their growth and success.
Watch the full talk here:
https://www.ted.com/talks/viktor_frankl_why_believe_in_others
Curious Saturday: Want to succeed in business? Find a problem to solve
Anthony Tan — the CEO of Grab, Southeast Asia’s leading super-app — talks about launching a business that not only turns a profit but also helps people and the environment. In conversation with digital strategist Amane Dannouni, Tan discusses the design choices and tension points of running such a company and why it’s something every entrepreneur should consider doing.
Every company is now an adtech powerhouse
It seems like every company is jumping on the adtech bandwagon these days. The largest bank in America, holding over $2.4 trillion in deposits, is now venturing into the world of ad sales. Introducing Chase Media Solutions, a new unit that will help brands target customers based on their spending habits. This move by the Wall Street giant is just the latest example of non-traditional players trying to monetize user data through advertising. Retailers like Walmart, Uber, and Marriott International have already dabbled in this digital ad frenzy.
Unlike typical retailers, who sell ads on various platforms, JPMorgan’s new advertising arm will focus on offering targeted discounts and deals to specific customer segments through the Chase Offers program. For instance, customers who frequently purchase baby products may receive diaper deals. Chase cardholders can view these offers on their app and choose to activate the ones that catch their eye. Rest assured, advertisers won’t have direct access to Chase customer data.
Read the full article at:
https://on.ft.com/49miWj9
Transformations: focus on problems, not tech
When embarking on digital and AI transformations, it is crucial to focus on identifying the root problems that need to be addressed, rather than getting caught up in the allure of new technologies. Successful transformations require a deep understanding of the issues at hand and a commitment to fostering a culture of continuous innovation within the organization.
Consider the perspective of control functions such as risk management, compliance, and regulation in this new landscape. With numerous small teams driving innovation, these functions must proactively assess and mitigate potential risks early on in the development process. By shifting their focus upstream and integrating risk management into the initial stages of project planning, they can ensure that critical considerations, such as data privacy, are addressed from the outset.
Ultimately, effective transformation requires a holistic approach that prioritizes problem-solving and risk management throughout the entire process.
Boost small businesses and fuel innovation with Loquat!
Navigating the new era of volatility
We are now facing a unique era with its own set of challenges and opportunities. Post-globalization, capital rationalization, and technological advancements are reshaping the business landscape. The traditional strategies and intuitions that once guided leaders may no longer suffice in this rapidly changing environment.
Resilience is key to surviving and thriving in the face of unexpected shocks. Many companies are aware of the potential risks they face but fail to adequately prepare for them. In an era of volatility, investing in redundancy, alternative supply chains, and critical inventories is crucial for long-term success, even if it means sacrificing short-term efficiency.
It’s time for leaders to reevaluate their strategies and embrace a new mindset that prioritizes resilience and adaptability in the face of uncertainty.
Source: https://hbr.org/2024/03/how-to-succeed-in-an-era-of-volatility
Navigating the Cloud landscape
We find ourselves deep into the cloud era, with insights gathered from conversations with cloud leaders in established enterprises such as banks, insurance companies, and life sciences firms. These industries, unlike digital natives, face unique challenges in transitioning to the cloud.
While many have experimented with proofs of concept and initial use cases, they struggle to fully harness the cloud’s capabilities for their specific needs. The key lies in identifying where the true business value lies and building a solid foundation for automation.
Without a clear operating model in place, organizations risk inefficiencies and cost overruns due to cloud sprawl. The true benefits of the cloud emerge when businesses align their use cases with agile development practices, allowing for faster innovation and efficiency gains.
Source: https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/getting-ahead-in-the-cloud
Feel good Sunday: A comedian’s take on how to save democracy
Get ready for a dose of feel-good vibes this Sunday! Join comedian Jordan Klepper as he shares his unique perspective on saving democracy through the power of conversation. In his hilarious yet thought-provoking talk, Klepper challenges us to embrace the art of losing gracefully as a way to bridge the divide and foster understanding.
Don’t miss out on this engaging and inspiring TED talk that just might change the way you think about communication and democracy.
Check it out here:
https://www.ted.com/talks/jordan_klepper_a_comedian_s_take_on_how_to_save_democracy
Curious Saturday: How to spot a fake video
In his TED talk, computer scientist Supasorn Suwajanakorn reveals the process behind creating realistic fake videos using AI and 3D modeling.
In addition to discussing the ethical implications of fake videos, Suwajanakorn also touches on the potential societal impact of this technology. He emphasizes the need for individuals to be aware of the existence of fake videos and to develop critical thinking skills to discern between real and manipulated content. Suwajanakorn’s talk serves as a reminder of the importance of media literacy in the digital age, where the lines between reality and fiction can easily be blurred. By shedding light on the capabilities of AI and 3D modeling in creating fake videos, he encourages viewers to approach online content with a healthy dose of skepticism and to verify the authenticity of information before sharing it.
https://www.ted.com/talks/supasorn_suwajanakorn_fake_videos_of_real_people_and_how_to_spot_them
Get ready for the next wave of M&A deals
Global M&A activity surged in the fourth quarter of last year, with a 41% increase in value from the previous quarter. Companies across all regions are actively engaging in M&A deals to enhance or reshape their businesses. Leading CEOs are preparing their M&A teams and boards for future opportunities, focusing on acquisitions, divestitures, and partnerships to drive superior performance in deals.
Don’t settle for mediocrity; strive for excellence
Small Business Index Q1 2024
Small businesses continue to cite inflation as their top challenge for the seventh consecutive quarter, with over half (52%) reporting it as their main issue. Professional services sector is the least likely to consider inflation costs as a major problem (37% vs. 54-61% for other sectors).
This trend differs from the previous quarter when professional services and manufacturing sectors were less likely to report inflation as a concern compared to the services industry.
How to define artificial general intelligence
THE IDEA of machines outsmarting humans has long been the subject of science fiction. Rapid improvements in artificial-intelligence (AI) programs over the past decade have led some experts to conclude that science fiction could soon become fact.
On March 19th Jensen Huang, the chief executive of Nvidia, the world’s biggest manufacturer of computer chips and its third most valuable publicly traded company, said he believed today’s models could advance to the point of so-called artificial general intelligence (AGI) within five years. What exactly is AGI—and how can we judge when it has arrived?
FIs: How cloud platforms can help acquire and retain customers
Cloud platforms are changing the way financial institutions (FIs) operate, offering a range of benefits beyond just scalability. These platforms provide FIs with the ability to access advanced analytics and data insights, helping them better understand customer behavior and preferences. This data-driven approach enables FIs to personalize their offerings and marketing strategies, leading to improved #customer acquisition and retention rates.
Additionally, cloud platforms facilitate seamless integration with other technologies, such as artificial intelligence and machine learning, further enhancing the customer experience. By harnessing the power of cloud technology, FIs can stay ahead of the competition, drive innovation, and build stronger relationships with their customers.
Feel good Sunday: Richard St. John: Success is a continuous journey
https://www.ted.com/talks/richard_st_john_success_is_a_continuous_journey
Curious Saturday: Do we truly have control over our decisions?
Renowned behavioral economist Dan Ariely delves into the fascinating world of human behavior, using captivating visual illusions and groundbreaking research to challenge our assumptions about rational decision-making.
Contrary to popular belief, our choices are not always straightforward or logical. They are often influenced by a myriad of factors, making decision-making a complex and challenging process. Ariely’s work sheds light on the intricacies of our cognitive limitations and the impact they have on our everyday choices.
By understanding these limitations, we can strive to create a more informed and empowered society. Let’s explore the possibilities together and uncover the true nature of decision-making.
Don’t miss out on this thought-provoking talk by Dan Ariely: https://www.ted.com/talks/dan_ariely_are_we_in_control_of_our_own_decisions
Discover the concept of “time affluence”
Feeling overwhelmed by a never-ending to-do list? You’re not alone. Studies show that a staggering 80 percent of adults feel like they’re constantly running out of time. This time crunch is taking a toll on their happiness, health, and relationships.
Enter the concept of “time affluence.” It’s all about valuing your time as a precious resource and using it to prioritize what truly matters. By shifting your mindset and making time for things that bring you joy, you can boost your overall well-being.
So next time you feel like you’re racing against the clock, remember that time is your most valuable asset.
The “positive” formula
2024: Economic stagnation or productivity-driven abundance?
Business productivity boosts company performance, GDP growth, and living standards. Leaders who prioritize productivity can improve shareholder returns and achieve their corporate purpose.
Despite challenges, management teams have overcome obstacles by taking swift actions in uncertain times. By learning from past experiences and incentivizing effective behaviors, leaders can increase their chances of success in 2024 and beyond.
AI powered use cases in Financial services: customer help, pricing, cyber defence, crime detection
Financial services AI use cases are expanding rapidly, with applications in customer support, pricing strategies, cybersecurity, and crime detection. The changing landscape of finance, driven by shifting customer needs, competitive disruptions, cybersecurity risks, and regulatory pressures, is fueling the adoption of AI technologies.
Cybersecurity experts specializing in AI will play a crucial role in identifying and addressing security threats related to AI, protecting sensitive financial data, and ensuring the integrity of banking services. The future of AI in financial services holds the promise of boosting efficiency, security, and innovation throughout the industry.
LLMs and Financial Services Data
Historically, the key to building a successful financial services data company has been to extricate and analyze valuable but difficult-to-access resources like public filings, diligence materials, research reports, conference call notes, and news. Now, with the advent of large language models, such previously shackled information might soon be easily and widely available to everyone, ushering in a new LLM-powered era that could shift the financial services landscape
The rise of dominant market leaders Bloomberg, Morningstar, and Verisk has been characterized by a playbook centered around identifying large, fragmented pools of data and leveraging technology to provide valuable insights and solutions.
These companies have built category-defining businesses by capturing historical data, standardizing it, and offering it to customers in a simplified, accessible format that is enhanced by additional services and features that drive home defensibility. The advent of LLMs heralds a new era in data analytics and financial services. With the potential to unlock previously inaccessible data sources, LLMs may create opportunities for new players to emerge and disrupt the status quo by going upstream of these incumbents.
https://a16z.com/putting-data-in-a-corner-llms-and-financial-services-data/
Feel good Sunday: A fresh perspective on identity
How many times have you felt confined by having to squeeze your unique identity into a single box on a form? It’s a frustrating and outdated practice, especially for those of us with diverse backgrounds.
Olivia Vinckier challenges us to embrace the complexity of our identities, rather than trying to fit into narrow categories. Join us in exploring the colorful and expanding world of identity in this thought-provoking TED Talk.
Check it out here: https://www.ted.com/talks/olivia_vinckier_a_colorful_case_for_outside_the_box_thinking_on_identity
Curious Saturday: How coffee captivated humanity
Join Jonathan Morris on a fascinating journey through the history of coffee, from its humble beginnings as a goatherd’s accidental discovery to its widespread popularity as one of the world’s favorite beverages.
Discover how the Ottoman Empire introduced coffee to Europe and how Central London’s first coffeehouses became bustling hubs of social and intellectual activity in the 17th century. Despite King Charles II’s attempts to ban them, coffeehouses continued to thrive, fueling the exchange of ideas and stimulating conversation.
Learn how coffee became ingrained in our daily routines and why it remains a beloved pick-me-up for millions around the globe. Dive into the story of humanity’s love affair with coffee and uncover the secrets behind this energizing elixir.
https://www.ted.com/talks/jonathan_morris_how_humanity_got_hooked_on_coffee
Financial inclusion is the key to breaking the cycle of poverty and fueling economic prosperity
It is not just about providing the bare necessities; it’s about empowering individuals to lead successful and satisfying lives, equipped to make well-informed choices for themselves.
https://www.mckinsey.com/featured-insights/mckinsey-explainers/what-is-economic-inclusion
The EU is taking a tough stance on tech giants like Apple, Alphabet, and Meta
In order to ensure a level playing field in the digital market, the EU has launched new probes into these companies. The focus is on addressing issues such as restrictions on developers and biased search results.
These actions show that the EU is committed to regulating and holding tech giants accountable for their business practices.
Under the new legislation, companies will be required to allow app developers more freedom to promote their products and ensure fair treatment in search rankings.
The EU is particularly concerned about the practices of Apple and Alphabet, including restrictions on developers and biased search results.
The commission is also investigating Meta’s subscription model and its use of personal data for advertising purposes, to ensure compliance with regulations.
What does the future hold for customer care in 2024?
There is a shift happening in the way customer care is being handled. With Gen Z opting for phone calls, boomers embracing digital chat, and #AI technology reshaping contact centers, customer care leaders are facing a pivotal moment.
In this ever-evolving landscape, customer care organizations are struggling to adapt to the new skills required to provide top-notch service in a digitally-driven, AI-powered world. The aftermath of the COVID-19 pandemic has led to high staff turnover rates, leaving supervisors scrambling to train new hires while neglecting the development of their existing teams. The shift to hybrid and remote work arrangements has further complicated matters, with some agents and team leaders feeling isolated and lacking the guidance they need to succeed.
The future of customer care in 2024 is uncertain, but one thing is clear – change is inevitable.
https://www.mckinsey.com/capabilities/operations/our-insights/where-is-customer-care-in-2024
CIOs play a crucial role in keeping up with technology trends
Being able to quickly assess trends and explain their importance to the business is now a vital skill for CIOs.
It’s not always straightforward to decide whether to invest in a trend or not. Trends can be unpredictable, evolve over time, and their relevance to a specific business can change. CIOs need a clear set of guidelines to evaluate trends and decide how to engage with them: whether to be a pioneer, a fast follower, a slow adopter, or to stay out of it altogether.
Banks’ pushback against ‘Basel Endgame’
The pushback from US banks against the proposed stricter banking rules stems from concerns about the potential impact on their operations and profitability.
The proposed regime, which is more stringent than the globally agreed standard, could require banks to hold more capital to cover their risks, potentially reducing their ability to lend and generate returns for shareholders.
The debate over risk-weighted assets (RWA) is at the center of the regulatory battle, with regulators and banks grappling over how to accurately assess the riskiness of banks’ assets. The calculation of RWAs plays a crucial role in determining banks’ capital requirements and overall financial health.
The ongoing disagreement reflects broader tensions between #regulators seeking to strengthen the financial system and banks looking to maintain profitability and competitiveness in a challenging market environment. The outcome of this regulatory clash will have significant implications for the banking industry and the broader economy.
https://www.ft.com/content/48555d55-ca6d-4ab8-ae29-aba4d4f10f13
Feel good Sunday: Simplify your writing
Jim VandeHei, a co-founder of Politico and Axios, discusses the importance of concise writing in a digital age where attention spans are short.
In his TED Talk, he shares insights on how to effectively communicate by saying more with fewer words. By rethinking our approach to writing and focusing on #clarity and conciseness, we can engage readers more effectively and convey our message more efficiently.
https://www.ted.com/talks/jim_vandehei_how_to_write_less_but_say_more
Curious Saturday: Daylight saving – are we actually saving?
It’s not just about losing or gaining an hour of sleep each year.
This biannual time change can have some serious consequences that go beyond just feeling a bit groggy. Sleep expert Matt Walker dives into the surprising effects of DST, revealing how it can affect everything from stroke and car accident rates to stock prices.
The numbers don’t lie – losing an hour of sleep in the spring can lead to a 24% increase in heart attacks, while gaining an hour in the fall results in a 21% decrease.
So next time DST rolls around, remember that it’s not just about adjusting your clocks – it’s about taking care of your health too.
Check out the full talk for more fascinating insights!
https://www.ted.com/talks/matt_walker_how_daylight_saving_time_affects_our_bodies_minds_and_world
Humans vs AI: New technologies indicate our ability to adapt, innovate, and create
The looming clash between humans and AI in the workforce is a hot topic these days. Generative AI is set to shake up the tasks that employees do, impacting a significant chunk of the US workforce. But, not everyone is buying into the whole “robots are taking over our jobs” narrative. Some experts argue that history shows us that new technologies don’t always spell doom and gloom for employment. They point to our knack for adapting, innovating, and creating new opportunities.
Employers are already feeling the pinch in finding skilled workers in today’s tight job market. And let’s not forget that while AI may disrupt some jobs, it’s also likely to create new ones. Just look at how many job categories have popped up in recent decades that didn’t even exist back in the day. So, before we start panicking about AI stealing all our jobs, maybe we should consider that we might actually be facing a shortage of workers instead.
Forget Ironman – Entrepreneurship is the ultimate endurance sport
Apple’s strategic stand on generative AI
Apple’s cautious approach to generative AI development is a strategic move that sets them apart from other tech companies. Unlike some competitors who are eager to dive headfirst into the world of AI, Apple is taking the time to carefully consider how best to integrate this technology into their products. Generative AI goes beyond just chatbots and has the potential to revolutionize the way we interact with technology.
Instead of relying on cloud computing like many other companies, Apple is focused on embedding generative AI directly into their devices. By investing in their own chip technology and prioritizing machine learning capabilities, Apple is positioning themselves as a leader in the AI space. While they may not be making flashy announcements about their progress, it’s clear that Apple is dedicated to getting generative AI right.
This strategic approach to AI development may give Apple the competitive edge they need in a rapidly evolving industry.
https://www.economist.com/business/2024/03/03/apple-is-right-not-to-rush-headlong-into-generative-ai
Rethinking the FDIC approach to bank rescues
The FDIC is required by law to sell failed banks to mega banks, which can offer better prices than smaller bidders, leading to increased concentration in the banking system.
The “least cost test” mandates the FDIC to resolve failed banks in a way that minimizes costs to the deposit insurance fund. This could result in a “barbell” banking system with mega banks and small community banks dominating.
Congress could reinstate the FDIC’s emergency authority to guarantee large business transaction accounts to prevent this. Regulators should take action to prevent further concentration in the banking system.
https://www.ft.com/content/e1ce2ba6-89e3-4132-8061-02120cf8165d
How to navigate risks and opportunities associated with Generative AI
To harness the full power of generative AI, organizations need to be proactive in identifying and mitigating risks, while also welcoming the transformative capabilities it offers.
This requires a strategic investment of time, resources, and a willingness to adapt traditional ways of operating. By approaching implementation with a focus on responsibility, companies can open new levels of productivity, innovation, and customer satisfaction through the strategic deployment of generative AI applications.
Happy Easter!
Curious Saturday: The future of technology – seamless, screenless and sensing
Get ready to be amazed by the latest technology from Humane, a company co-founded by former Apple designer Imran Chaudhri. In a sneak peek at their groundbreaking new product, Chaudhri reveals a world where AI allows our devices to seamlessly blend into our surroundings. This screenless, seamless, and sensing experience promises to change how we interact with technology and the world around us.
Forget about bulky screens and clunky interfaces – Humane is paving the way for a more intuitive and humane way of interacting with technology. With their innovative approach, they are redefining the relationship between humans and technology. Get a glimpse of the future and witness the next evolution in device design.
Don’t miss out on this exciting vision of a world where AI is everywhere, making our lives easier and more connected than ever before. Check out the TED talk for more details:
https://www.ted.com/talks/imran_chaudhri_the_disappearing_computer_and_a_world_where_you_can_take_ai_everywhere
Female founders are the missing piece in the unicorn puzzle
Despite the impressive growth of unicorns, the representation of #women founders is shockingly low.
With only 14% of unicorns having a female co-founder and a mere 5% with a female CEO, it’s clear that there is a significant disparity in representation.
This slow progress is alarming, especially when considering the overwhelming dominance of male founders in the field.
The main culprit behind this imbalance is the fact that 85% of VC investment decision-makers are men, according to All Raise and Crunchbase.
Successful product integration requirements
How to increase banks’ deposit pools
To increase banks’ deposit pools, it is essential to enhance visibility into deposit activity by analyzing customer behavior and preferences.
Establishing a dedicated deposit command center can help streamline operations and improve efficiency. Developing a competitive pricing strategy and updating sales approaches can attract new depositors. Targeting deposits from cash-rich industries and implementing AI technology can also boost deposit growth.
Furthermore, banks can explore partnerships with fintech companies to offer innovative deposit products and services. Leveraging data analytics and investing in digital marketing strategies can help banks reach a wider audience and attract new customers. By continuously evolving and adapting to the changing financial landscape, banks can effectively grow their deposit pools and remain competitive in the market.
Small businesses deserve better banking services
The data from the 2023 Federal Reserve Small Business Credit Survey highlights the ongoing challenges faced by smaller businesses in accessing financing. Despite some improvement in approval rates from the previous year, the approval rate for loan, line of credit, and cash advance applicants remains below pre-pandemic levels.
The discrepancy in approval rates can be attributed to the risk management practices of large banks, which may not be well-suited for serving the needs of small and medium-sized businesses (SMBs). Due to the potential regulatory risks involved, many mega banks may be hesitant to extend credit to smaller clients who represent a relatively small portion of their overall revenue.
This underscores the need for better banking solutions tailored specifically to the unique requirements of SMBs, in order to facilitate their growth and success in the current economic landscape.
Generative AI for banks: Managing risk and compliance
Over the next five years, generative AI has the potential to automate and improve various aspects of risk control, from regulatory compliance to climate risk management.
It is crucial for risk and compliance teams to establish clear boundaries for the implementation of gen AI within their organizations.
By utilizing gen AI, banks can shift their focus from mundane tasks to strategic risk prevention and collaboration with business units. This approach allows risk professionals to provide valuable insights for new product development and business decisions, as well as proactively address emerging risk trends.
Key applications of gen AI include regulatory compliance, financial crime detection, credit risk assessment, data analytics, cyber risk management, and climate risk evaluation. By embracing gen AI, banks can streamline operations, enhance decision-making processes, and strengthen overall risk and compliance functions.
Feel good Sunday: How to keep AI under control
With the rapid advancement of AI technology, there is a growing concern about the potential dangers of super intelligent AI. However, scientist Max Tegmark offers an optimistic outlook on how we can ensure AI works for us, not against us.
But what if the AI can’t create the necessary tools on its own? Tegmark suggests training one AI to learn your desired tasks and then using another AI to extract the learned algorithm and knowledge, similar to an AI neuroscientist.
This approach aligns with the progress being made in mechanistic interpretability, showing that creating safe AI systems is within reach.
For more insights on controlling AI, check out Max Tegmark’s TED talk:
https://www.ted.com/talks/max_tegmark_how_to_keep_ai_under_control
Curious Saturday: How one click can cost millions
Join cybersecurity expert Ryan Pullen as he reveals the alarming ease of cybercrime and the human vulnerabilities that hackers exploit. Dive into his investigations of major digital breaches and learn how a simple link click can lead to devastating consequences. Discover the latest insights on protecting yourself from scams and safeguarding against cyber threats in today’s interconnected world.
Cybersecurity may seem tech-focused, but a staggering 95% of cyberattacks involve a human element, as revealed in IBM’s 2021 study.
Watch now: https://www.ted.com/talks/ryan_pullen_how_clicking_a_single_link_can_cost_millions
Tech jobs: Gender gap in tech sector narrows across advanced economies
The gender gap in tech jobs is finally starting to narrow across advanced economies. Thanks to increased demand, gender equality policies, and a more flexible work environment, women are now securing a larger share of tech jobs. According to an analysis of official data by the FT, the gender gap in the tech sector has decreased in the US, EU, and UK over the past four years.
While this progress is promising, men still hold the majority of tech jobs. This disparity highlights the need for more diverse hiring practices, especially as the industry continues to advance in artificial intelligence technologies.
Read the full article at: https://on.ft.com/49Bi3UL
2024: Credit Unions ready to take on banks in battle for deals
Despite facing some challenges, credit unions are eager to expand their reach and expertise by acquiring banks. In 2023, credit unions were involved in a record number of bank deals, and this trend is expected to continue this year.
The interest in bank acquisitions is being driven by credit unions’ desire to diversify their offerings, especially in commercial lending. By acquiring banks, credit unions can tap into new #revenue streams and expand their services to include wealth management and trust services.
Although there may be some hurdles along the way, credit unions remain determined to pursue bank deals as a strategic move to strengthen their position in the financial market.
With the industry becoming more aware of the risks of concentration, credit unions see M&A as a way to mitigate these risks and ensure their long-term success.
Financial institutions are building competitive advantage through partnerships and M&A
Financial institutions are strategically positioning themselves through mergers and acquisitions to stay ahead in the competitive landscape. Despite the challenges in the financial services M&A market, there is optimism for growth in 2024.
The emergence of GenAI technology is pushing companies to take proactive steps to prevent their rivals from gaining an edge. Private equity firms are expected to play a more active role in M&A activities as the monetary policy outlook becomes clearer.
To navigate the evolving landscape, banks are increasingly turning to partnerships, acquisitions, and ecosystem development. A survey revealed that 51% of respondents prefer partnerships as a go-to-market strategy due to the limitations of in-house technology.
By collaborating with GenAI technology providers and building ecosystems, financial institutions can enhance their capabilities, drive innovation, and transform their business models.
https://www.ey.com/en_us/strategy-transactions/the-navigator-perspectives-on-financial-services-m-a
Insights for Credit Unions in 2024: Navigating the economy and interest rates
In the upcoming year, credit unions should keep a close eye on the economy and interest rates. While higher earners may be less affected by deteriorating consumer financial health, it’s crucial for credit unions to monitor all income levels. Various factors like inflation, geopolitical instability, and supply chain disruptions could further weaken the economy and impact individuals across the income spectrum.
Despite recent inflation decreases, wages are starting to outpace price increases, particularly for lower-income individuals. While this is positive news, concerns remain about unsustainable spending and debt levels, especially among the lower income brackets.
Credit unions need to pay attention to rising debt levels, driven by significant growth in auto loans and credit card debt – key areas for credit union products. Managing these risks prudently will be essential in 2024 and beyond.
How AI is changing banking
The impact of AI on the banking industry is profound. It has the potential to significantly change the way banks operate, from investment advice to ESG considerations and combating financial crime.
The key idea is simple: by understanding customers better, banks can offer more tailored recommendations. This concept, long practiced in the traditional banking world, is now crucial in the digital era, especially in the realm of investment advising.
For instance, algorithms like “Next best offer” monitor Wealth Management Clients’ portfolios for potential risks, such as downgraded bonds or overexposure to certain regions, prompting advisors to take action.
In the fight against financial crime, AI models like “Black Forest” analyze transactions to detect suspicious activities based on various criteria.
While human oversight is still necessary, AI’s automated suggestions can greatly streamline decision-making processes, ultimately benefiting customers and the environment by reducing carbon footprints.
Feel good Sunday: Can we effectively work remotely? It’s complicated
In his TED Talk, organizational design expert Mark Mortensen delves into the complexities of the remote work debate. While opinions on remote work vary widely, Mortensen emphasizes the importance of considering the research on the subject.
He highlights the challenges that come with navigating the shift towards hybrid work models and suggests three key conversation topics that #workplaces should explore as they adapt to the changing landscape of work.
Curious Saturday: Digital ownership as a must
Join technologist Yat Siu on a journey into the world of the “open metaverse” – a digital realm that promises a more equitable and innovative future.
Discover how web3 technology is reshaping our society by empowering digital ownership and changing the creator economy. Get ready to reimagine capitalism for the 21st century and explore the endless possibilities of this decentralized internet.
Watch the talk here:
https://www.ted.com/talks/yat_siu_the_dream_of_digital_ownership_powered_by_the_metaverse
Traditional stereotypes of career paths will collapse in face of workforce change
Gone are the days of traditional career trajectories, where employees would climb the corporate ladder and retire at the pinnacle of their careers. Nowadays, many workers are choosing to delay retirement, switch careers, or explore different, potentially less lucrative opportunities.
A notable shift is seen in the increasing number of older Americans staying in the workforce, with Pew research revealing that 19% of individuals aged 65 and above were working in 2023, nearly double the figure from 35 years ago.
Furthermore, more employees are taking career breaks, transitioning between industries, and embracing non-traditional employment arrangements. Factors such as economic fluctuations, caregiving responsibilities, and technological advancements are also contributing to the disruption of traditional career paths.
Stay ahead of the curve and learn more about these trends shaping the future of work: https://hbr.org/2024/01/9-trends-that-will-shape-work-in-2024-and-beyond
Human by design
Human by design refers to the concept of integrating human-centered principles into the development of technology. This approach focuses on creating products and services that are intuitive, accessible, and user friendly, ultimately enhancing the overall user experience.
By putting humans at the center of the design process, companies can ensure that their technology meets the needs and preferences of their target audience.
Incorporating human-centric design principles can lead to increased #customer satisfaction, improved usability, and higher adoption rates for new technologies. It also helps to build trust and loyalty among users, ultimately driving business success.
As the digital landscape continues to evolve, companies that prioritize human-centered design will have a competitive advantage in meeting the ever-changing needs and expectations of their customers.
Small businesses are seeking to allocate their budget to technologies
Shift in the market presents an opportunity for banks
The shift in the market towards refinancing in public markets is driven by the prospect of rate cuts, making it a more attractive option for borrowers looking to reduce their debt burden.
This trend is particularly evident in the private credit sector, where approximately $10 billion worth of loans have been refinanced in public markets. Bank of America’s data highlights the significant movement towards this alternative financing option, as borrowers seek to take advantage of lower interest rates.
For banks, this presents an opportunity to recover from losses incurred in 2022 when they financed deals that turned out to be unprofitable. By capitalizing on the current market conditions and offering more competitive loan options, banks can regain their footing and potentially increase their profitability in the future.
Read the full article at:
https://on.ft.com/4bPxgD8
Upgrade your security with passwordless authentication
Passwordless authentication methods, such as biometric authentication (e.g., fingerprint or facial recognition), security keys, and one-time passcodes sent to mobile devices, are gaining popularity due to their ability to enhance security and streamline user access.
By eliminating the need for traditional passwords, these methods reduce the risk of credential theft and unauthorized access. Additionally, passwordless authentication improves the user experience by offering a more convenient and seamless way for employees to access systems and applications. As remote work becomes more prevalent and #cybersecurity threats continue to evolve, businesses are recognizing the importance of implementing robust authentication measures.
Feel good Sunday: We need to BUILD a table to achieve gender equality
Women are taught to strive for a “seat at the table,” but Lilly Singh argues that we need to build a better table for #gender #equality. In her TED Talk, Singh shares her journey from YouTuber to late-night talk show host and offers four ways to create a more inclusive society that empowers girls to succeed.
Lilly Singh: “A seat at the table” isn’t the solution for gender equity
https://www.ted.com/talks/lilly_singh_a_seat_at_the_table_isn_t_the_solution_for_gender_equity
Curious Saturday: The future will be shaped by optimists
Optimism is not just a choice, but a responsibility we owe to ourselves and future generations, believes Kevin Kelly.
In his engaging TED Talk, he presents three compelling reasons to stay optimistic in turbulent times. By fostering a sense of hope, we can leave a positive legacy for the world and those who come after us.
Watch Kevin Kelly’s inspiring TED Talk:
https://www.ted.com/talks/kevin_kelly_the_future_will_be_shaped_by_optimists
International Women’s Day 2024 – Inspire Inclusion!
Gender equality in power dynamics is linked to wealth distribution
Gloria Steinem urges us to confront the correlation between masculinity and financial success in order to move forward. This prompts a reevaluation of entrenched gender roles and societal norms that perpetuate inequalities in power and resources.
By dismantling these constructs, we can work towards a fairer #society where individuals are recognized for their talents rather than their gender. Steinem’s message serves as a poignant reminder of the ongoing efforts required to attain genuine gender parity.
Data on primises vs. cloud
Data storage options include on-premises and cloud solutions.
On-premises storage involves storing data on physical servers within an organization’s datacenter, providing full control but requiring significant investment. Cloud storage, on the other hand, offers scalability, flexibility, and cost-effectiveness, with data stored on remote servers maintained by a third-party provider.
Accessibility from any location and collaboration benefits make cloud storage ideal for remote work environments, but organizations must consider data security and compliance regulations when selecting a provider.
Stay informed and stay ahead: Check out Gartner’s latest Magic Quadrant for Access Management!
The report highlights the evolving landscape of workforce access management and the rapid innovation in Customer Identity and Access Management (CIAM), creating new opportunities for B2B applications.
The report also emphasizes the need for support for passkeys and identity verification to enhance security measures.
Is your organization on board with passwordless authentication?
According to the 2023 Workforce Authentication Report by Sapio Research, a whopping 92% of businesses have already adopted or are planning to implement passwordless technology.
The survey, which included 1,005 IT decision makers from the US, Germany, Australia, UK, and France, revealed that 95% of businesses are currently using a passwordless experience within their organization. Additionally, 89% of IT leaders predict that passwords will make up less than a quarter of their organization’s logins within the next 5 years.
Check out the full report here: https://fidoalliance.org/the-2023-workforce-authentication-report-embracing-the-passwordless-future/
Feel good Sunday: Lessons from the gender transition on womanhood
Join Paula Stone Williams as she shares her remarkable journey of self-discovery and empowerment. In this thought-provoking TED Talk, she fearlessly opens up about her gender transition and the invaluable lessons it taught her about womanhood.
With a conversational and light-hearted approach, Williams delves into the everyday experiences she gained, lost, and once took for granted as she embraced her true self. Her unique perspective offers a fresh and insightful understanding of the complexities of trans womanhood.
Prepare to be inspired as Williams challenges societal norms and invites us to reflect on our own preconceptions. Don’t miss out on this captivating talk that celebrates resilience, authenticity, and the power of embracing one’s true identity.
Watch the TED Talk here: https://www.ted.com/talks/paula_stone_williams_what_my_gender_transition_taught_me_about_womanhood
Curious Saturday: Want to change the narrative? Start changing the stories we tell ourselves.
Why is good news so rare? In a TED talk, journalist Angus Hervey highlights the significant progress in environmental protection and public health. He argues that if we want to change the narrative of humanity, we must start changing the stories we tell ourselves.
https://www.ted.com/talks/angus_hervey_why_are_we_so_bad_at_reporting_good_news
Are mixed-race individuals truly privileged with the “best of both worlds”?
Exciting news! The United States has taken a significant stride towards racial unity, as revealed by the 2020 census. The “multiracial” category has seen a remarkable increase of 20 million people, thanks to modifications in how the US Census Bureau collects information on ethnic backgrounds.
https://www.ft.com/content/563bd9fd-e05f-4e38-9334-897e2e325f7d
Welcome the journey of life, where beauty blossoms amidst adversity
US lenders’ debt to shadow banks passes $1tn
The US banking industry is witnessing a concerning trend as lenders‘ debt to shadow banks has surpassed $1tn. This surge in loans to shadow banks has raised alarm bells among regulators due to the lack of information and oversight regarding the risks involved.
Shadow banks, including hedge funds, private equity firms, and direct lenders, are leveraging these funds to make investments and extend loans to borrowers that traditional banks have been discouraged from lending to directly.
This phenomenon highlights the growing role of shadow banking in the financial system and the potential risks it poses. Regulators are now grappling with the challenge of monitoring and regulating these non-traditional lenders to ensure financial stability.
Boom and Bust: US economy surpasses expectations with 2.5% growth in 2023, setting the stage for a healthier economic environment in 2025
Preventing AI monopolies is crucial for fostering innovation
OpenAI’s CEO is seeking a massive funding target of up to $7tn to reshape the semiconductor industry for AI. This highlights the concentration of generative AI in the market, which poses a threat to its importance in various fields.
The resources and talent required for advanced AI development are currently controlled by a small number of companies, creating a risk of dependency or missed opportunities for researchers and small businesses.
Efforts are being made in the US and EU to level the playing field by investing in public digital infrastructure and providing access to compute resources. However, legislative and regulatory interventions are also necessary to prevent AI monopolies, address bias and discrimination, and ensure transparency.
Investments in public digital infrastructure should increase, and state funds should be diverted from Big Tech. Preventing AI monopolies is crucial for fostering innovation and public understanding of the technology.
Read the full article at: https://on.ft.com/42FiOcH
Feel good Sunday: Redefining masculinity for a better world
Calling for a shift in perspective, gender equality advocate Gary Barker sheds light on the importance of cultivating a culture that promotes care, empathy, and meaningful connections among men. Barker emphasizes our innate capacity for compassion, asserting that it’s a skill that must be honed through practice.
Startling statistics reveal that one in three women worldwide falls victim to violence at the hands of a male partner. The overwhelming majority of perpetrators are men. Research conducted across various countries indicates that roughly two-thirds of men admit to experiencing physical violence from another male during their childhood. This exposure to male violence becomes an integral part of their journey to manhood.
Disturbingly, around 40 to 50 percent of men globally subscribe to a distorted version of masculinity. This toxic ideology revolves around outperforming others at any cost, suppressing vulnerability, viewing sex as conquest rather than connection, constantly projecting toughness, and resorting to violence as a means to achieve their desires. These beliefs are not mere rhetoric; they shape the reality in which men live.
Gary Barker urges us to redefine masculinity, placing empathy at its core.
https://www.ted.com/talks/gary_barker_a_reframing_of_masculinity_rooted_in_empathy
Curious Saturday: Simplify your business speak — take the BS out
Ever found yourself drowning in the sea of business jargon, struggling to comprehend the obscure acronyms and phrases that permeate the workplace?
Fear not, for journalist and comedian Bob Wiltfong has a solution. With a touch of wit, he sheds light on the perplexing language that often alienates employees. Offering three valuable tips, Wiltfong encourages us to strip away the unnecessary fluff and communicate more effectively within our professional spheres.
However, let’s address the elephant in the room: the issue with this business-speak phenomenon. It’s a language that thrives on exclusivity, spoken fluently by those in positions of power.
Discover how Bob Wiltfong dismantles the BS in business speak: https://www.ted.com/talks/bob_wiltfong_how_to_take_the_bs_out_of_business_speak_dec_2023
Regional banks risk falling behind in the AI age of banking
While they have excelled in combining technology and personal service, there is concern that they are underestimating the impact of AI and its rapid evolution.
The emergence of new regional banks with a strong relationship banking model has been validated by customer satisfaction scores. However, regional banks may not fully grasp the disruption AI will bring to the industry. They are focused on AI use cases like product recommendations, but AI has the potential to completely transform the current banking business model.
The speed of technological advancements, exemplified by the rapid increase in parameters in ChatGPT versions, is also being underestimated.
Decode your emotions
By exploring the origins, triggers, and patterns of our emotions, we can develop a heightened self-awareness that allows us to navigate them more effectively.
This self awareness enables us to recognize when our emotions are clouding our judgment or driving us towards impulsive decisions.
Furthermore, understanding the nature of our emotions also helps us to cultivate empathy and compassion towards others. By recognizing that everyone experiences a wide range of emotions, we can develop a greater sense of understanding and patience when interacting with others.
The Fiserv Small Business Index – small businesses maintained steady sales growth
According to the Fiserv Small Business Index, small businesses have experienced consistent growth in sales. The index reveals a year-over-year increase of 1.7%, indicating a positive trend in the small business sector.
In terms of specific industries, the Professional, Scientific, and Technical Services sector has shown notable growth compared to the previous months of December and January 2023. This suggests that businesses in this field have experienced increased demand and improved performance.
Additionally, the retail sector has performed exceptionally well, with a January index of 143, marking a 1-point increase from December. This growth is attributed to various factors, including consumer spending on building materials, health and personal care products, and general merchandise. Retail sales have seen a month-over-month increase of 0.7% and a year-over-year growth of 1.9%. Furthermore, retail foot traffic has also risen by 4.2% compared to the previous year.
These findings from the Fiserv Small Business Index highlight the positive trajectory of small businesses, particularly in the retail and professional services sectors.
Generative AI : Focus the journey on people and process, not just on tech
The adoption of generative AI has the potential to drive significant growth for financial institutions. However, simply focusing on #technology alone will not be enough to harness its full potential. According to a recent report by BCG, financial institutions need to broaden their perspective and prioritize people and processes in their AI journey.
The report emphasizes the importance of having a forward-looking AI vision that is supported by the right culture and people strategy. This means that organizations should not only focus on acquiring the necessary technological capabilities but also invest in developing the skills and expertise of their workforce.
While integrating generative AI into existing frameworks is essential, the report highlights the need for a complete AI transformation. This involves reimagining traditional operations and processes to fully leverage the benefits of generative AI.
The report also cautions against taking a tentative approach to AI implementation. Instead, financial institutions should be willing to embrace true change and commit to long-term transformation to gain a competitive edge.
For more detailed insights and guidance on implementing generative AI in the financial sector, you can refer to the full report by BCG: https://www.bcg.com/publications/2023/a-genai-roadmap-for-fis
Place the emphasis on the chat, not on the bot
AI can improve work, but employees need to adapt and learn how to collaborate effectively with AI tools.
Teams using AI tend to produce fewer extreme answers, but those who achieve excellent results with AI find it more challenging than settling for average ideas. Underperforming teams often use AI as a problem solver instead of a conversation partner.
To improve, individuals should first think through a problem independently before engaging with AI. A neutral facilitator can help in organizing ideas during the final phase. Ultimately, the focus should be on the conversation rather than solely relying on the AI bot.
https://www.ft.com/content/8f99db8f-8565-4168-aae0-6245cafe9538
Feel good Sunday: How to maintain emotional self-control?
Acceptance and cognitive reappraisal can be used interchangeably in order to maintain emotional self-control.
Difficult emotions can get under your skin if you’re not careful. Sport and performance consultant Jessica Garza calls this the “jumping cholla effect,” inspired by a sneaky kind of cactus that detaches and burrows its spines into unsuspecting passersby. In this empowering talk, she shares four mood-regulating strategies to help you gain self awareness of your feelings, avoid catching other people’s #emotions and perform at your peak — whatever the prickly situation may be.
Jessica Garza: How to avoid catching prickly emotions from other people
https://www.ted.com/talks/jessica_garza_how_to_avoid_catching_prickly_emotions_from_other_people
Curious Saturday: What is the future of internet?
Internet must be open, enquiring, cooperative and suspicious of authority
The future of the internet is threatened by mass surveillance and state-funded troll farms, warns Ordinary Things, an anonymous YouTube creator.
Privacy is at risk, while disinformation and chaos are being spread on platforms designed to connect us.
Ordinary Things emphasizes the importance of fighting for a free internet as it impacts our collective future.
https://www.ted.com/talks/ordinary_things_who_owns_the_internet_of_the_future
The way we treat prisoners speaks volumes about our society’s values
The treatment of prisoners can be a revealing reflection of a society’s values and priorities. Norway, known for its progressive approach, has developed a prison system that sets an example for the rest of the world. With a capacity of approximately three thousand inmates, Norway’s prisons prioritize rehabilitation over punishment. Notably, the country has abolished capital punishment and life imprisonment.
In stark contrast to traditional notions of incarceration, the best prisons in the world provide prisoners with an environment that resembles a home rather than a punishment facility. These facilities aim to reform individuals by offering them comfortable and secure living conditions. The focus is on equipping prisoners with the necessary tools and skills to reintegrate into #society successfully once their sentences are completed.
Read more: https://yen.com.gh/facts-lifehacks/228168-prisons-world-confuse-a-home/
Challenge the status quo
Does your voice matter? Well, it turns out that for female executive on investor calls, it definitely is.
The scrutiny faced by female executives during earnings calls can be relentless and unforgiving, particularly on Wall Street.
It goes beyond just analyzing numbers and company performance; their presentation style is also dissected. While men also face scrutiny, a recent study has shed light on the challenges faced by women in the hot seat. Surprisingly, the way they speak could potentially predict poor company performance.
The study also suggests that one unintended consequence of the MeToo movement was the rewarding of men who exhibited speech patterns traditionally associated with women.
Another paper by the same authors found that equity analysts are more likely to downgrade stock recommendations when companies appoint female chiefs, despite no evidence of underperformance.
Anjli Raval
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Read the full article at: https://on.ft.com/3ujuoNY
Artificial intelligence initiates the era of intelligent agents
Artificial intelligence (AI) is ushering in the age of intelligent agents, changing industries like healthcare, finance, transportation, and customer service.
In healthcare, AI-powered intelligent agents analyze vast medical data to aid in diagnosis and treatment planning, uncovering patterns and correlations for more accurate and personalized healthcare solutions.
In finance, intelligent agents transform investment strategies by analyzing market trends, predicting stock prices, and making real-time decisions, optimizing portfolios and maximizing returns.
Transportation systems are being reshaped by intelligent agents, with self-driving cars using AI algorithms to navigate roads, interpret traffic signals, and ensure passenger safety, potentially reducing accidents and congestion.
In customer service, AI-powered chatbots act as virtual agents, understanding and responding to customer queries instantly, providing 24/7 support and personalized assistance to improve customer satisfaction.
As AI advances, intelligent agents will continue to evolve, promising even greater sophistication in the future.
A life take from Davos – banks and financial institutions have a crucial role to play in this interconnected world
Banks and financial institutions play a crucial role in the interconnected world, involving global trade, sustainability finance, supply chains, and regulatory movements. They are expected to detect challenges and identify value creation opportunities in the global economy.
Feel good Sunday: Are you sure about that?
Questioning your own interests shouldn’t be frowned upon, according to Yara Shahidi.
The renowned actress and producer, known for her roles in popular shows like “black-ish” and “grown-ish,” shares her personal journey of recognizing the signs that pointed towards her #future. And guess what? You can do the same!
We all have a multitude of passions and responsibilities, constantly juggling various aspects of our lives. However, society often expects us to narrow down our focus and choose just one path. But why should we limit ourselves? Why can’t we explore multiple areas that captivate us equally? That lingering doubt of “Are you sure about that?” shouldn’t hold us back.
Curious Saturday: What is your body language communicating to me? What’s mine communicating to you?
Believe it or not, body language not only influences how others perceive us but also has the power to shape our self-perception. Social psychologist Amy Cuddy introduces the concept of “power posing” – assuming a confident posture, even in moments of self-doubt – as a means to enhance our confidence levels and potentially impact our chances of success.
It’s all about rewiring our brains to handle situations with utmost efficacy. By boosting testosterone levels and reducing cortisol, we can avoid leaving encounters feeling like we failed to express our true selves. Instead, we can depart with a sense of accomplishment, having effectively showcased our authentic identity.
This knowledge is invaluable, particularly for those lacking resources, technology, status, or power. By sharing this insight, we empower individuals to harness the power of their bodies in private, with just two minutes to spare. The potential to transform their lives significantly is within their grasp.
https://www.ted.com/talks/amy_cuddy_your_body_language_may_shape_who_you_are
Banks should consider becoming a one-stop shop for all kinds of products and services valued by SMEs
Small businesses are valuable for banks as they tend to keep their deposits even during difficult times, unlike larger companies.
When SME clients do withdraw their money, they usually choose another bank within the sector.
Banks that successfully serve SMEs have tailored their offerings to meet their specific needs, such as strong relationship management and seamless digital experiences. Other banks should strive to improve their offerings and build better relationships with SME clients.
I can only make you think
Socrates, the ancient Greek philosopher, is renowned for his unique approach to teaching and knowledge. He believed that true learning could not be achieved through the mere transfer of information from teacher to student. Instead, Socrates emphasized the importance of critical thinking and self-discovery in the learning process.
Unlike traditional educators of his time, Socrates did not claim to possess all the answers. Instead, he saw himself as a facilitator, guiding his students towards deeper understanding by encouraging them to question and examine their own beliefs and assumptions. By engaging in thoughtful dialogue and debate, Socrates aimed to stimulate intellectual growth and provoke individuals to think for themselves.
Socrates’ teaching method, known as the Socratic method, involved a series of probing questions that challenged his students’ existing knowledge and forced them to reevaluate their perspectives. Through this process, Socrates aimed to uncover the truth and promote intellectual humility.
Socrates’ philosophy of teaching has had a profound impact on education throughout history. His emphasis on critical thinking and self-reflection continues to influence modern pedagogy, reminding us that true learning is not about passive absorption of information, but rather an active engagement with ideas that stimulates independent thought and personal growth.
Herd on the street: The Plight of unicorns with limited cash
The start-up world is teeming with billion-dollar companies, commonly known as unicorns. But here’s the reality check: only a minuscule fraction of them, less than 1%, are actually generating a billion dollars in both revenue and cash. This is the true measure of sustainable success, and it’s not as prevalent as one might think.
What sets apart the truly successful unicorns is their unwavering focus on building industry-disrupting companies that can thrive on their own, even at scale. These founders aren’t just obsessed with raising capital; they are determined to make a lasting impact.
It’s remarkable how these founding teams have managed to achieve such monumental success in such a short span of time. On average, they have conquered these significant milestones within a mere decade of their launch. However, it’s important to acknowledge that many of these companies are still in the early stages, and there’s no guarantee that their triumphs will continue indefinitely.
https://www.bain.com/insights/herd-on-the-street-so-many-unicorns-so-little-cash/
Product leaders: mastering the dance of short-term gains and long-term opportunities
Product leaders in 2024 are navigating the intersection of technology, economy, customers, and competition. As pandemic-related restrictions ease, familiar challenges and new opportunities arise.
GenAI is a dominant force shaping tech providers, impacting growth strategies and everyday tools. However, technology leaders must also address friction in growth plans, fusion in #marketing and sales, and new relationships with TSPs.
Balancing short-term opportunities and long-term advantages, product leaders must consider strategies based on economic recovery or recession.
https://www.gartner.com/en/industries/high-tech/trends/top-trends-for-tech-providers
Google’s AlphaGeometry: can AI discover new mathematics?
Google DeepMind’s AI system, AlphaGeometry, has demonstrated impressive problem-solving skills in geometry, nearly matching those of top students.
In a recent study published in Nature, AlphaGeometry correctly answered 25 out of 30 questions from the International Mathematical Olympiad.
This neuro-symbolic system combines language learning and deductive reasoning, offering a balanced approach to problem-solving.
While this development is significant, there is still a greater challenge ahead: determining whether AI can discover new mathematics to solve previously unanswered questions.
https://www.ft.com/content/c4153a8e-8eeb-4000-b16e-fa09c828bd72?shareType=nongift
Feel good Sunday: Let us cast aside the limitations of conventional thinking
Throughout history, we’ve witnessed economists stumble in their attempts to predict the future. From the chaos of World War I to the devastating 2008 #economic collapse, their crystal balls have proven flawed.
Economist David McWilliams invites us to break free from this cycle of misguided forecasts. Drawing inspiration from the words of W.B. Yeats, McWilliams advocates for embracing the unconventional thinkers among us – the poets, artists, and musicians.
In their unique perspectives lie the keys to a world unburdened by confirmation bias and enriched with profound understanding.
As we navigate these extraordinary times, McWilliams encourages us to ponder: How do we make sense of it all? Let us cast aside the limitations of traditional analysis and venture into a realm where creativity reigns supreme.
https://www.ted.com/talks/david_mcwilliams_the_power_of_unconventional_thinking
Curious Saturday: Why does motivation seem so fickle? And what even is it in the first place?
Motivation, a complex phenomenon, has always intrigued us. Defined by psychologists as the desire or impetus to initiate and sustain a specific behavior, it’s the fuel that propels us forward. Yet, it can be frustratingly elusive. Even when we possess a deep passion for a goal or hobby, summoning the motivation to act upon it can prove challenging. So, why does motivation play hide and seek with us?
https://www.ted.com/talks/ted_ed_how_to_get_motivated_even_when_you_don_t_feel_like_it
SMEs: Fueling growth, innovation, and jobs
By 2030, a staggering 600 million jobs will be required to accommodate the ever-expanding global workforce. This pressing need has placed a significant emphasis on the development of Small and Medium Enterprises (SMEs) by governments worldwide.
SMEs are vital drivers of economic growth, innovation, and job creation. Their distinguishing characteristics include their remarkable flexibility, adaptability, and ability to swiftly respond to market dynamics.
The impact of SMEs extends beyond economic realms, as they play a pivotal role in reducing poverty and fostering social development. These enterprises often provide employment opportunities for marginalized groups, including women, youth, and minorities.
Furthermore, SMEs are renowned for cultivating entrepreneurship and nurturing a culture of creativity and innovation. They serve as fertile grounds for groundbreaking ideas and technologies that have the potential to disrupt traditional industries and propel economic transformation.
Consequently, governments are intensifying their efforts to create a favorable ecosystem for SMEs to flourish. This entails implementing policies that facilitate access to finance, business development services, and skills training.
We are what we repeatedly do
Aristotle’s timeless wisdom reminds us that our character is not defined by occasional moments of brilliance, but by the patterns we establish through our daily choices. It is the habits we cultivate that ultimately determine our level of excellence. This profound insight challenges us to reflect on the power of consistency and the impact it has on our lives.
Instead of seeking fleeting moments of success, let us embrace the idea of making excellence a part of our routine. By instilling positive habits and consistently striving for improvement, we can unlock our true potential.
Aristotle’s words serve as a gentle reminder that true greatness is not an elusive achievement but a lifelong #journey of growth and self-improvement.
Navigating the AI era: Effective board leadership is crucial
In today’s ever-evolving banking landscape, board directors face a multitude of risks that demand their attention. At the forefront of these concerns is the rise of AI and machine learning.
The significance of effective board oversight cannot be overstated, particularly as generative AI presents unprecedented opportunities across various facets of the business, spanning finance, IT, product development, customer service, and #marketing. Forward-thinking banks are poised to harness AI-powered risk management strategies, fortify their operating models, and foster ecosystems anchored by robust data governance and comprehensive ethical, legal, and regulatory frameworks for generative AI.
In evaluating their organization’s readiness, boards must ascertain the presence of a data-driven and innovation-centric culture. Enterprises that have already cultivated such cultures are likely to excel in deploying generative AI. It is crucial that generative AI aligns not only with business objectives but also with the company’s core values. Consequently, change management and workforce alignment should be integral components of the larger equation.
https://www.ey.com/en_us/board-matters/banking-risks-from-ai-and-machine-learning
Banking: bolder strategies to service customers and society are essential
Banks must adapt to disruption in the global financial ecosystem by redefining their competition, partnerships, and value delivery. They need support from governments and regulators.
To succeed, banks should prioritize higher productivity, reduce complexity, and embrace a digital-first approach. Adopting a zero-based business model can increase productivity by 40%.
To enhance value, banks should exit low-return assets and invest in growth areas with favorable returns on equity.
A simplified business model, actively managed balance sheet, modern platform operating model, and digitalization are crucial. Banks should leverage data, technology, and strategic partnerships to build competitive capabilities.
Banks should adopt a “tech product company” mindset, empowering business teams as “product owners” to prioritize customer-centric iterations and collaboration with technical teams.
Incremental transformation is no longer enough. Banks must break free from legacy setups and take a holistic approach to drive economic growth, finance the climate transition, and create lasting shareholder value while fulfilling their obligations to customers and society.
AI: A catalyst for transforming the global economy. Let’s ensure humanity reaps the rewards.
In an insightful analysis, IMF experts delve into the potential impact of AI on the worldwide job market. Numerous studies have foreseen the possibility of AI replacing human workers. However, it’s important to note that AI can also complement human skills in many cases. The IMF’s analysis takes into account both sides of this coin.
The findings are remarkable: nearly 40 percent of global employment faces exposure to AI. While automation and information technology have traditionally affected routine tasks, AI stands out for its ability to impact even high-skilled jobs. Consequently, advanced economies face greater risks but also have more opportunities to harness the benefits of AI compared to emerging markets and developing economies.
In advanced economies, around 60 percent of jobs may be influenced by AI. Approximately half of these jobs could benefit from integrating AI, leading to enhanced productivity. However, the other half might witness AI taking over key tasks currently performed by humans, potentially reducing labor demand, wages, and hiring. In extreme cases, certain jobs may vanish altogether.
Feel good Sunday: Uncover the untold stories around you
Prepare to be captivated by the extraordinary tales that lie within the hearts of those around you. Dave Isay, the visionary behind StoryCorps, has meticulously gathered and shared thousands of interviews, unveiling the hopes, fears, and dreams that connect us all.
In 2003, Isay established the first StoryCorps booth in New York’s bustling Grand Central Terminal. This serene space was designed as a sanctuary, where individuals could pay tribute to the important people in their lives by listening to their stories.
Since then, StoryCorps has blossomed into an unparalleled collection of #human voices, forming the largest archive of its kind. Isay’s TED Prize wish is to expand this digital treasure trove, preserving the collective wisdom of humanity. Discover his ambitious plan to take StoryCorps global, and find out how you can contribute to this remarkable endeavor by utilizing the StoryCorps app to conduct your own interviews.
https://www.ted.com/talks/dave_isay_everyone_around_you_has_a_story_the_world_needs_to_hear
Curious Saturday: Simple, effective tech to connect communities in crisis
In a world where connectivity seems ubiquitous, it’s disheartening that certain communities still suffer from isolation, lacking essential resources such as electricity and healthcare.
Enter Johanna Figueira, an activist determined to find solutions. In her thought-provoking talk, Figueira delves into her work with Code for Venezuela, a platform that unites tech-savvy individuals to tackle the country’s pressing needs for information and medical supplies.
She goes beyond that, proposing a replicable model that can extend its reach to other communities in distress. Figueira’s passionate activism and #innovative ideas shed light on the potential of technology to bridge the gaps and uplift communities in crisis.
https://www.ted.com/talks/johanna_figueira_simple_effective_tech_to_connect_communities_in_crisis
Use storytelling to inspire commitment to a new product vision
Communications that solely focus on the product roadmap and features risk disengagement, confusion, or disagreement among specific stakeholder groups. To avoid this, it is important to appeal to the emotional and purposeful reasons behind the product vision, putting the audience at the center and fostering a meaningful connection.
Creating a product vision that only caters to the product team can alienate stakeholders in other functions and hinder #customer and partner alignment. This can create barriers to accepting the vision, especially when there is a significant change in direction.
To address the diverse needs of different audiences, it is necessary to build a tailored storyline that addresses their wants, needs, issues, and concerns.
https://www.gartner.com/en/doc/797171-use-storytelling-to-inspire-commitment-to-a-new-product-vision
Progress relies on unreasonable man
“The reasonable man adapts himself to the world: the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.”
George Bernard Shaw
More small businesses are owned by males than females
According to recent data, the ownership of small businesses in the United States is still predominantly male-dominated, with males owning a larger share than females. However, it is worth noting that the gap between male and female ownership is gradually decreasing. Currently, females own 43.2% of small businesses, indicating a significant increase in female entrepreneurship in recent years.
In terms of racial diversity, minorities own 19.4% of small businesses. Among these, Hispanics constitute a significant portion, owning 13.8% of small businesses. This highlights the growing entrepreneurial spirit within the Hispanic community, contributing to the overall diversity of small business ownership.
On the other hand, veterans are one of the least represented groups in small business ownership, accounting for just 6.4% of small businesses. This statistic sheds light on the need for increased support and opportunities for veterans to transition into entrepreneurship after their military service.
Overall, while progress has been made in diversifying small business ownership, there is still work to be done to ensure equal representation and opportunities for all individuals, regardless of gender, race, or veteran status.
Igniting prosperity: The power of investment
Investment plays a crucial role in fostering economic growth and development, particularly in emerging market and developing economies. By injecting capital into various sectors, such as infrastructure, education, healthcare, and technology, investment stimulates productivity, creates jobs, and improves living standards. Moreover, it has the potential to reduce poverty by providing opportunities for income generation and improving access to essential services.
In addition to its positive impact on economic prosperity, investment also holds the key to addressing pressing global challenges, such as climate change. By channeling funds towards sustainable and clean technologies, renewable energy projects, and climate adaptation measures, investments can contribute significantly to mitigating the adverse effects of climate change and transitioning towards a low-carbon future.
Furthermore, investment is closely linked to achieving other important development goals, such as reducing inequality, promoting gender equality, and enhancing social inclusion. It can support initiatives that empower marginalized communities, promote education for all, and foster entrepreneurship, thereby creating a more equitable and inclusive society.
Overall, investment is a powerful tool that can drive positive change and pave the way for a more sustainable and prosperous future for all.
Utilize digitalization to improve business outcomes
Digital business optimization involves identifying areas within the organization that can benefit from digitalization. This could include streamlining internal processes, automating repetitive tasks, or implementing data-driven decision-making systems. By harnessing the power of technology and data, companies can optimize their operations, improve efficiency, and ultimately drive better business outcomes.
Feel good Sunday: Stop being a bystander in your own life
In her captivating TED Talk, Tracy Edwards MBE shares her remarkable journey from being a teenage misfit to becoming a sailing legend.
She not only achieved the incredible feat of becoming the first woman to win the Yachtsman of the Year Trophy but also made history by leading the first all-female crew in a grueling ocean race.
The moment of adventure and no turning back encapsulates the spirit of Tracy’s journey and the message she wants to convey: stop being a bystander in your own life.
https://www.ted.com/talks/tracy_edwards_stop_being_a_bystander_in_your_own_life
Curious Saturday: How many leadership languages do you speak?
Rosita Najmi, a seasoned professional with a diverse background in corporations, governments, nonprofits, and philanthropy, sheds light on the importance of developing a leadership language.
Throughout her extensive global career, she has become adept at translating between different sectors, recognizing the significance of effective communication in leadership.
Rather than focusing solely on one’s leadership style, Najmi emphasizes the value of being fluent in various leadership languages. By doing so, leaders can successfully adapt to different audiences and industries, fostering collaboration and achieving collective goals.
https://www.ted.com/talks/rosita_najmi_what_s_your_leadership_language
Which economy did best in 2023?
Greece’s impressive performance as the top economy in 2023 is particularly noteworthy considering its previous reputation for mismanagement. This marks the second consecutive year that Greece has achieved this feat, indicating a remarkable turnaround for the country.
While South Korea also stands out as a top performer, it is worth noting that many other economies in the Americas have also excelled.
The United States secures a respectable third place, closely followed by Canada and Chile.
On the other hand, several northern European countries, including Britain, Germany, Sweden, and Finland, have struggled to keep pace, placing them among the slower-growing economies.
https://www.economist.com/finance-and-economics/2023/12/17/which-economy-did-best-in-2023
“Life must be understood backward. But it must be lived forward .”
Søren Kierkegaard
When is the next investment boom?
Since the 1950s, countries worldwide have experienced nearly 200 investment booms characterized by per-capita investment growth of 4% or more sustained for over six years. These successful episodes were triggered by a comprehensive policy package that included government finance consolidation, increased trade and financial flows, strengthened fiscal and financial institutions, and an improved investment climate for private enterprise.
CFOs: Rethink digital investment leadership for better outcomes
- Develop dynamic project charters as a basis for regular operating reviews, outlining project parameters.
- Evaluate costs for non-financial KPIs to assess project progress earlier, considering the long-term benefits of digital investments.
- Incorporate lessons from previous projects into new initiatives, aligning resource plans, timelines, and metrics with the specific needs of digital projects.
Digitalization requires a clear vision and deliberate execution
Digitalization is a complex process that encompasses various aspects of an organization’s operations. It involves not only implementing new technologies but also rethinking business models, processes, and customer experiences. To successfully embark on a digital transformation journey, organizations need to have a clear vision of what they want to achieve and develop deliberate execution strategies.
One crucial aspect of digitalization is the need for strong leadership and commitment from top management. Leaders must drive the digital agenda, communicate the vision to all stakeholders, and ensure that the necessary resources and capabilities are in place. Additionally, organizations should prioritize building a digital culture that promotes innovation, agility, and collaboration.
Another important consideration is the scale and scope of digital #transformation. It can range from incremental changes in specific areas to a complete overhaul of the entire organization. Regardless of the extent of digitalization, organizations should carefully plan and prioritize initiatives based on their strategic goals and expected outcomes.
Furthermore, digitalization requires a holistic approach that considers the integration of various technologies and data sources. This includes leveraging emerging technologies like artificial intelligence, cloud computing, and the Internet of Things to drive innovation and improve operational efficiency.
https://www.gartner.com/en/information-technology/topics/digital-transformation
Feel good Sunday: When AI can fake reality, who can you trust?
In the age of advanced technology, the rise of deepfakes poses a significant threat to our perception of reality. Sam Gregory, a renowned technologist and human rights advocate, highlights the impending consequences of this phenomenon. As deepfakes become increasingly realistic and widespread, there is a growing concern about the erosion of trust in what we see and hear. The implications for democracy are profound, as the ability to discern between genuine and synthetic content becomes increasingly challenging.
To address this issue, Gregory emphasizes the importance of taking proactive measures to protect our ability to differentiate between human and AI-generated content. He outlines three key steps that can help safeguard our perception of truth in an AI-infused future. By fortifying our understanding of reality, we can combat the potential manipulation and distortion of information.
https://www.ted.com/talks/sam_gregory_when_ai_can_fake_reality_who_can_you_trust
Curious Saturday: Why businesses need a dreamer’s magic and a doer’s realism
In the workplace, dreamers are often celebrated for their grand ideas, yet their detachment from reality can sometimes frustrate the doers who strive to achieve tangible results. However, it is the harmonious collaboration between these two distinct personalities that sparks true #business magic, according to culture strategist Beth Viner. Offering a pragmatic roadmap, she unveils the secret to effectively harnessing the dreamer’s imaginative thinking and the doer’s practicality.
https://www.ted.com/talks/beth_viner_why_businesses_need_a_dreamer_s_magic_and_a_doer_s_realism/
Small business owners: defining success beyond the bottom line
Small business owners have a unique perspective on success that extends far beyond mere financial gains. In fact, nearly 9 out of 10 small business owners proudly define their ventures as successful. Their drive stems from a deep sense of purpose and a genuine desire to serve others. For them, success means more than just making money; it means improving the lives of their customers (90%), providing for their loved ones (91%), and doing what they truly love (91%).
However, the path to success is not without its challenges. While 88% of small business owners find fulfillment in their work, a staggering 83% admit to feeling stressed due to their heavy workloads and lack of time. This demanding lifestyle often takes a toll on personal relationships, with over half of small business owners losing touch with close friends and family (52%) or becoming less attentive romantic partners (51%).
Fortunately, digital solutions offer a glimmer of hope. A significant 82% of small business owners believe that investing in digital tools and technologies would alleviate their stress levels on a day-to-day basis. Despite the hurdles they face, an overwhelming 87% of small business owners remain optimistic about the future of their enterprises.
Everything we hear is an opinion…
Aurelius, a Stoic philosopher and Roman Emperor, suggests that our understanding of the world is subjective, influenced by our opinions and perspectives. It is important to differentiate between opinions and facts, as opinions are personal and can vary, while facts are verifiable and objective. Our perception of reality is shaped by our unique vantage point and can be influenced by emotions and beliefs. Being aware of the subjective nature of our perceptions allows for critical thinking and fosters a more inclusive society.
Cyber resilience: 4 key principles for new businesses
Merely relying on a tool is insufficient; a combination of process, people, and technology is necessary. Here are key principles to guide you:
- If a concept merits investment, executives should dedicate time to consider and mitigate risks. Establish a framework to identify major risks and mitigation measures, keeping future growth and user experience in mind.
- Forward-looking companies view cybersecurity as a core element of their business architecture. They seek external expertise to accelerate delivery and coordinate controls, ensuring cyber experts closely collaborate with the business.
- The role of the parent company in cybersecurity varies based on leadership engagement, crossover potential, and priorities. A collaborative approach is ideal, exceeding established risk and security standards while leveraging parent company resources when appropriate.
- Embed risk management and cybersecurity from product ideation to final delivery. For tech-based companies, adopt DevSecOps principles, integrating security testing at every stage of software development. Tailor tools for specific operational focus areas to protect key investments.
Top Global Brands
US companies dominate the global top 20 list, with only two European businesses included.
Amazon is the world’s largest brand in 2023, valued at around $299.28 billion (€273.49 billion), despite a $51 billion drop in value over the past year.
According to a study by TradingPedia, Amazon surpassed last year’s leader, Apple, which saw a 16% decrease in value to $297.51 billion.
Google secured the third spot, with an increase in value of almost $18 billion compared to last year, reaching $231.38 billion.
The secret to success – Finance and IT shared ownership of digital delivery
Unlocking the secret to a triumphant transformation lies in a powerful alliance – where the realms of Finance and IT unite to conquer the digital realm.
Traditionally, Finance teams have relied on external consultants and internal IT departments to execute technology projects, a process that can drain finances, devour time, and disrupt operations. However, as the digital landscape grows in complexity and magnitude, it becomes increasingly arduous for finance to effectively allocate resources. CFOs who take an active role in digital delivery stand to reap the bountiful rewards of digital transformation, surpassing those who simply delegate or collaborate with IT.
https://www.gartner.com/en/finance/trends/finance-top-priorities-for-cfos
Feel good Sunday: What is a strategic life portfolio?
Ever wondered how you can take control of your life and design it exactly the way you want? Well, that’s where a strategic life portfolio comes into play! It’s like being the CEO of your own life, making smart decisions and taking charge of your personal growth.
Creating a strategic life portfolio involves some serious planning and reflection. You need to set clear goals, assess where you currently stand, and chart a course towards your desired future. It’s all about making conscious choices that align with your aspirations across different areas of life.
But it doesn’t stop there! Managing your strategic life portfolio requires ongoing evaluation and adjustment. You need to identify your strengths, weaknesses, opportunities, and threats, and use that knowledge to improve and overcome obstacles.
So, are you ready to embrace the power of a strategic life portfolio? Get ready to prioritize, allocate resources wisely, and make intentional choices that shape your future. It’s time to take action and create the life you’ve always dreamed of!
https://hbr.org/2023/12/use-strategic-thinking-to-create-the-life-you-want
Curious Saturday: One more reason to get a good night’s sleep
Did you know that the brain, despite accounting for only about two percent of the body’s mass, utilizes a staggering quarter of the body’s entire energy supply? This remarkable organ is constantly at work, even while we sleep, engaging in crucial housekeeping functions that are essential for its proper functioning.
During sleep, when our body is at rest and our #mind wanders in the realm of dreams, the brain undergoes a fascinating process of cleaning and maintenance. This intricate machinery tirelessly works to rid itself of waste products and toxins, ensuring the optimal functioning of this unimaginably complex organ.
Understanding these fundamental housekeeping functions of the brain is not only intriguing but also holds immense importance for the prevention and treatment of various mental illnesses in the future. By delving into the mechanisms behind these processes, researchers hope to unlock valuable insights that can revolutionize our approach to brain health.
https://www.ted.com/talks/jeff_iliff_one_more_reason_to_get_a_good_night_s_sleep
Is gender parity in investing within reach?
Gender parity in investing refers to the equal representation and participation of both men and women in the investment industry. While progress has been made in recent years, there is still a significant gender gap in this field.
Studies have shown that women are underrepresented in investment roles, both as professionals and as investors. This can be attributed to various factors, including societal norms, unconscious bias, and lack of access to opportunities and resources.
However, it is important to note that women have proven to be successful investors when given the chance. Research suggests that women tend to take a more long-term and risk-averse approach to investing, which can lead to better outcomes in the long run.
Efforts are being made to promote gender parity in investing. Organizations and initiatives are working to increase the representation of women in investment firms and provide support and mentorship to aspiring female investors. Additionally, there is a growing recognition of the importance of diversity in investment decision-making, as it can lead to better outcomes and mitigate groupthink.
Overall, achieving gender parity in investing is crucial for creating a more inclusive and equitable investment landscape.
“Life is never made unbearable by circumstances, but only by lack of meaning and purpose.”
Victor Frankl
How the young should invest
A recent analysis conducted by Vanguard, a prominent asset-management firm, sheds light on the investment habits of different generations. The study, which examined 7 million retail accounts at the end of 2022, reveals an interesting trend: younger generations tend to allocate a higher percentage of their portfolios to #cash compared to their older counterparts. Specifically, Generation Z, those born after 1996, had an average cash allocation of 29%, while baby boomers only allocated 19% to cash.
https://www.economist.com/finance-and-economics/2023/11/16/how-the-young-should-invest
Lessons from 37 years of financial journalism
In the world of finance, there are several key lessons that have emerged over the course of 37 years of financial journalism. One important lesson is the recognition that individual incentives can lead to collective instability. This means that when individuals within the financial system are driven by their own self-interest, it can have negative consequences for the overall stability of the system.
Another crucial insight is the understanding that big banks are fundamentally different from conventional businesses. They operate within a heavily regulated environment, enjoy state guarantees, and can be considered quasi-public franchises. Their primary function is to create and distribute money on behalf of governments and central banks.
The role of CEOs in times of corporate turmoil is also worth noting. While they can have a significant impact in protecting or creating value during periods of crisis, their influence may be less pronounced during more stable times.
Furthermore, it is important to recognize that stock analysts often have a narrow focus when it comes to evaluating companies. They tend to focus on specific metrics and may not always consider the broader perspective or long-term implications.
Lastly, debt holds greater significance than equity in the financial world, which is unfortunate but true. Debt can have a profound impact on the stability and performance of companies
https://www.ft.com/content/2d92cb41-9381-44f7-b71f-e859131c7c2e
“Without music, life would be a mistake.”
Friedrich Nietzsche
Happy New Year!!!
Curious Saturday: Exploring the fascinating world of synesthesia
Daniel Tammet, renowned for his exceptional abilities, possesses a rare condition known as synesthesia. With linguistic, numerical, and visual synesthesia, his perception of words, numbers, and colors intertwine, creating a unique way of experiencing and comprehending the world around him. Tammet, a celebrated author known for his memoir “Born on a Blue Day,” not only delves into his personal journey but also shares his remarkable artistry and deep passion for languages.
In his captivating TED Talk, Tammet invites us to peer into the intricate workings of his beautiful mind. He takes us on a mesmerizing journey, shedding light on the extraordinary ways in which his synesthetic experiences have shaped his understanding of the world. By intertwining language, numbers, and colors, Tammet’s perception offers a fresh perspective on the interconnectedness of different forms of knowledge.
https://www.ted.com/talks/daniel_tammet_different_ways_of_knowing
What is the equivalent of a business unit in life?
Companies often rely on portfolio analysis as a strategic tool to evaluate the performance of their various business units and make informed investment decisions. One widely recognized framework for portfolio analysis is the Boston Consulting Group’s (BCG) 2×2 growth-share matrix, which categorizes business units based on their market growth and share.
However, when it comes to personal development and goal setting, what can be considered as the equivalent of a business unit in life? How can individuals apply strategic thinking to create the life they desire?
Strategic thinking in a personal context involves evaluating different aspects of our lives, such as career, relationships, health, and personal growth, and making deliberate choices to allocate resources effectively. It requires understanding our own strengths, weaknesses, opportunities, and threats, and then formulating strategies to maximize our potential and achieve our goals.
By adopting a strategic mindset, individuals can assess the growth potential and current position of different areas in their lives, prioritize their objectives, and allocate their time, energy, and resources accordingly. This approach enables individuals to make purposeful decisions, identify areas for improvement, and ultimately create a more fulfilling and successful life.
https://hbr.org/2023/12/use-strategic-thinking-to-create-the-life-you-want
“Never let your sense of morals prevent you from doing what is right.”
Isaac Asimov
Financial literacy – a key to improve the financial wellbeing
According to a recent OECD report, which covered 39 countries including various G20 and developing nations, the level of financial literacy among adults is alarmingly low. The report reveals that only 34 percent of adults in the participating countries meet the criteria to be considered financially literate. Additionally, it highlights that nearly one in six people have fallen victim to financial #fraud, indicating a lack of awareness and understanding in this area. Another startling revelation is that less than half of the respondents (41 percent) are aware that cryptocurrencies are not legal.
The OECD emphasizes that the ultimate goal of financial literacy policies and programs is to improve individual financial wellbeing. While measuring this benefit can be challenging, the research shows that when individuals surpass the passmark for financial literacy, there is typically a 10 percentage point increase in their financial wellbeing scores. On average, the financial literacy rate stands at 42 percent, with Germany emerging as a standout performer in both financial literacy and financial wellbeing. These findings underscore the importance of improving financial literacy worldwide to enhance individuals’ financial security and protect them from fraud.
https://www.ft.com/content/14b20d6e-e983-4f6c-9670-d051754dc897
What kept CEO’s awake at night in 2023
CEOs faced a multitude of challenges as they embarked on the new year. The CEO Excellence survey conducted by McKinsey in early 2023 shed light on the top concerns that kept these leaders up at night: disruptive digital technologies, the economy, and geopolitics. It comes as no surprise that these issues took center stage, given the prominence of generative AI, the ongoing war in Ukraine, and the prevailing economic uncertainty. To tackle these hurdles head-on, CEOs devised strategies such as advancing AI #technologies, fortifying supplier networks to ensure resilience, and implementing cost-cutting measures. Additionally, these leaders recognized the importance of addressing talent #management, redefining work practices, and taking action against climate change.
https://www.mckinsey.com/featured-insights/2023-year-in-review/2023-the-year-in-charts
Merry Christmas!
Feel good Sunday: The beauty of being a misfit
For those who feel like they don’t quite fit in, take heart. There is something truly extraordinary about being a misfit. Lidia Yuknavitch, a talented author, bares her soul through a heartfelt collection of stories that celebrate the beauty of being different. In her moving talk, she reminds us that even in moments of failure, we possess an inherent beauty. We may not realize it yet, but we have the remarkable ability to constantly reinvent ourselves. That, my friends, is where our true beauty lies.
Misfits, we often struggle to hope, to say yes, or to seize the opportunities right before us. We carry a burden of shame, believing we don’t deserve the admiration of those we admire. But let me share a different perspective, a myth known as the misfit’s myth. It teaches us that even in our failures, we are still beautiful. We possess the power to reinvent ourselves endlessly. Embrace your #uniqueness, for it is your greatest strength.
https://www.ted.com/talks/lidia_yuknavitch_the_beauty_of_being_a_misfit
Curious Saturday: The era of blind faith in big data must end
Algorithms, those powerful decision-makers that determine loan approvals, job interviews, and insurance coverage, may not always guarantee fairness. Renowned mathematician and data scientist, Cathy O’Neil, has brilliantly coined the term “weapons of math destruction” to describe algorithms that are secretive, influential, and harmful. Prepare to uncover the concealed motives lurking behind these seemingly neutral formulas.
Creating an algorithm requires two essential components: historical data and a definition of success. By scrutinizing the past, we can train algorithms to identify patterns associated with triumph. Intriguingly, algorithms are not exclusive to computer code; we all employ them in our daily lives. For instance, even when preparing a meal for my family, I rely on an algorithm of sorts. I consider the ingredients available, the time I have, and my culinary aspirations. However, I don’t consider those measly packages of ramen noodles as genuine sustenance.
Join Cathy O’Neil as she enlightens us on why our blind faith in big data must come to an end. Link: https://www.ted.com/talks/cathy_o_neil_the_era_of_blind_faith_in_big_data_must_end
Use strategic thinking to create the life you want
Amidst turbulent times, it’s natural to question our happiness, security, goals, relationships, and impact on the world. But too often, these important thoughts slip away, drowned out by the noise of our busy lives. We’re left making important decisions based on gut feelings alone, without any solid direction.
But what if we could apply the same strategic thinking model used by organizations to help individuals design more fulfilling futures? The answer is a resounding yes, and the outcome is a program known as “Strategize Your Life,” endorsed by Harvard Business School. Over 500 individuals, ranging from students and young professionals to seasoned executives and retirees, have undergone this transformative experience to craft their own life strategies.
While you can embark on this #journey at any point, certain milestones such as graduation, career advancements, empty-nesting, retirement, or significant life events like health scares, divorces, job losses, midlife crises, or bereavements may call for a well-crafted life strategy.
https://hbr.org/2023/12/use-strategic-thinking-to-create-the-life-you-want
Create the future
Gen AI: Banking’s multi-trillion dollar opportunity
The McKinsey Global Institute has estimated that the rise of gen AI could bring immense value to various industries, ranging from $2.6 trillion to $4.4 trillion annually. In particular, the banking sector stands to benefit significantly, with a potential annual value of $200 billion to $340 billion, equivalent to 9 to 15 percent of operating profits. This surge in #value will primarily stem from increased productivity. All segments and functions within the banking industry are expected to experience economic growth, with the corporate and retail sectors reaping the highest absolute gains of $56 billion and $54 billion, respectively. It is worth noting that while banks have prioritized productivity in their initial gen AI trials due to economic pressures, this technology has the potential to revolutionize job roles and customer interactions, potentially leading to entirely new business models.
What are the three types of CTO roles?
The CTO role can be categorized into three types based on the specific circumstances and level of change required:
- Responder: These CTOs address crises or setbacks and focus on stabilizing the business and achieving rapid financial improvements through increased discipline and execution capabilities.
- Revitalizer: CTOs in this role aim to drive performance improvements in organizations that have experienced a decline over time. They focus on mobilizing and empowering the workforce to bring about sustained, long-term change.
- Reinventor: These CTOs guide organizations through significant strategic changes, such as digital transformations or entering new markets. They emphasize articulating a clear vision and building new capabilities to support that vision.
Decoding technology buying behavior: Unveiling the Who, Why and How
In the fast-paced world of tech products, it is crucial for leaders to have an intimate understanding of the buying organization. This knowledge empowers you to seal the deal on high-quality, regret-free technology purchases on a grand scale.
Harness these invaluable insights from Gartner to conquer buyer’s remorse head-on and reap the following benefits:
- Turbocharge the speed of buying cycles
- Minimize friction that hinders growth opportunities
- Drastically reduce the likelihood of indecisiveness
- Foster stronger, more collaborative relationships with your esteemed clientele.
https://www.gartner.com/en/industries/high-tech/topics/technology-buying-behavior
Feel good Sunday: The power of an image — and the mind behind it
In his TED Talk titled “The Power of an Image and the Mind Behind It,” Misan Harriman, a self-taught photographer, shares his inspiring journey and the impact of images on our lives. As a neurodivergent child, he found solace and inspiration in the vast world of the internet, which he describes as an “endless library of the extraordinary.”
Harriman’s photography career has taken him on a remarkable path, from capturing the essence of significant civil rights movements to breaking barriers as the first Black man to shoot a cover for British Vogue. His work serves as a testament to the transformative power of images and their ability to evoke emotions, challenge societal norms, and spark conversations.
Through his talk, Harriman emphasizes that each person has the potential to contribute to creating a better world. By harnessing their unique talents and passions, individuals can make a difference and inspire positive change. Harriman’s story serves as a reminder that no matter our background or circumstances, we all possess the ability to create a meaningful impact in our communities and beyond.
https://www.ted.com/talks/misan_harriman_the_power_of_an_image_and_the_mind_behind_it
Curious Saturday: Ideas worth spreading – unveiling the ocean’s outlaws
The ocean, once a haven of tranquility, is now under siege by relentless foes: pirate fishermen, oil spills, and other covert criminals. Their actions have wreaked havoc on delicate marine ecosystems. Tony Long, a distinguished ocean conservation expert and proud recipient of the prestigious 2023 Audacious Project grant, unveils the world’s first-ever live map showcasing all human industrial activity at sea.
Thanks to remarkable strides in #technology and AI, we have finally cracked the code. This invaluable information is now freely accessible to the world, empowering us all to make a difference.
https://www.ted.com/talks/tony_long_the_outlaws_of_the_ocean_and_how_we_re_reeling_them_in
Migrants – The quest for a better life
The majority of migrants, a whopping 80%, embark on their journey to greener pastures in search of better opportunities in their chosen destination. These movements are often gradual, mirroring the shifts in economic and demographic trends.
Most migrants are fueled by the desire for higher wages and improved access to essential services. Some individuals also brave the journey in pursuit of personal safety, the rule of law, and the chance to revel in personal freedoms.
Astonishingly, in 2020, around 84% of migrants found themselves residing in countries with significantly higher incomes than their countries of origin.
However, it’s worth noting that migration levels are not solely dictated by the magnitude of welfare disparities. Instead, they are primarily influenced by the demands for specific skills in destination country labor markets, historical or geographic connections, and the costs associated with migration.
Success is a journey
Chief Risk Officers: how to prepare for the future
In the face of multiple crises and disruptions, financial institutions are increasingly realizing the strategic importance of risk management and resilience. Chief Risk Officers (CROs) are proactively preparing for the future by undertaking various long-term initiatives. They are prioritizing the acceleration of digital transformation within their function, recognizing its potential to enhance risk management practices. Additionally, CROs are actively working to attract and retain top risk talent, understanding the critical role skilled professionals play in effective risk management.
Moreover, CROs are focused on building expertise in several key areas. This includes staying up-to-date with evolving regulations, as compliance is crucial for mitigating risk. They are also investing in cybersecurity measures to safeguard against potential threats. Furthermore, CROs are recognizing the value of analytics and digital innovation in risk management, utilizing these tools to enhance decision-making processes.
Rather than perceiving fintechs and other new market entrants as adversaries, forward-thinking risk leaders are embracing their innovative approaches. They understand the potential for collaboration and mutually beneficial partnerships with these disruptors.
Overall, CROs are taking a holistic approach to risk management, recognizing the need for a comprehensive and agile strategy in today’s rapidly changing landscape.
Is your organization prepared for the challenges of information security?
In today’s rapidly evolving digital landscape, the significance of information security cannot be overstated. It has become increasingly evident to senior executives that inadequate security measures can result in irreparable harm to businesses. In fact, it is projected that by 2026, 70% of corporate boards will include at least one member with cybersecurity expertise.
To enhance security capability and effectiveness, security and risk management leaders must develop and execute a comprehensive information security strategy that aligns with the organization’s goals of creating digital value and managing security risks. This entails implementing a mature framework that encompasses planning, architecture, reporting, and adaptive security measures, taking into account both internal and external factors.
Without a well-defined security program, an organization’s security initiatives would merely consist of disparate technical implementations that fail to systematically address risks and countermeasures. Therefore, it is imperative for #businesses to prioritize the establishment of a robust security program to safeguard their assets and mitigate potential threats in the ever-evolving digital landscape.
https://www.gartner.com/en/publications/roadmap-for-maturing-cybersecurity-program
U.S. Small Business Health Index
The U.S. Small Business Health Index (SBHI) provides valuable insights into the health of small businesses in the United States. It does so by measuring payment patterns, failure rates, and credit use at both the Metropolitan Statistical Area (MSA) and Industry (SIC) level. The SBHI focuses on active #smallbusinesses with fewer than 100 employees, offering a representative snapshot of the sector.
The index is calculated quarterly and uses 2004 as the base year, assigning an index value of 100. Any value above 100 indicates improvement in business health. The SBHI takes into account both pro-cyclical and counter-cyclical elements, combining them into a single number for simplicity.
The four factors considered in the SBHI are average #credit card utilization, the percentage of #creditcards with outstanding balances that are 61+ days past due, a ratio based on the number of failures in the past 12 months compared to the prior 12 months, and the percentage of delinquent dollars that are 91+ days past due out of all outstanding balances.
By analyzing these factors, the SBHI provides a comprehensive assessment of the overall health and stability of small businesses across the country.
https://www.dnb.com/perspectives/analytics/us-business-economic-trends.html
Feel good Sunday: Simplify for happiness
In this captivating talk, Graham Hill, a writer and designer, challenges our conventional views on happiness and urges us to reevaluate the importance of material possessions. He encourages us to embrace a minimalist lifestyle and consider the benefits of living with less.
Hill prompts us to reflect on moments of true contentment during our travels or stays in hotel rooms with minimal belongings. These instances make us question the necessity of the excessive stuff we accumulate in our homes. By reducing our possessions and embracing smaller living spaces, Hill argues that we can unlock more freedom and time for the things that truly bring us joy.
This talk presents a compelling case for minimalism, leaving us with a thought-provoking question: Is it time for all of us to edit our lives? By reassessing our priorities and simplifying our existence, we may uncover a path to greater happiness and fulfillment.
https://www.ted.com/talks/graham_hill_less_stuff_more_happiness
Curious Saturday: the power of storytelling and data
Ever wondered how the most exceptional leaders and visionaries gain trust? They don’t rely solely on presenting cold, hard data; they weave captivating stories. Karen Eber, a leadership consultant, unravels the enigma behind effective storytelling and reveals how anyone can harness its power to evoke empathy and ignite action.
Interestingly, Karen discovered that regardless of gender, generation, or geographical location, stories have a universal impact and yield results. However, in my experience working with leaders, I’ve noticed a reluctance to embrace storytelling. They often struggle to locate compelling narratives, unsure of how to convey them, or believe that data-driven presentations leave no room for storytelling.
The true magic lies in the amalgamation of storytelling and data. Together, they construct ideas, unveil the unseen, communicate values, and tap into the emotional realm that influences our decisions. As you venture forth in shaping the passions and purposes of others as leaders, don’t limit yourself to data alone. Embrace the power of storytelling. And remember, there’s no need to wait for the perfect story; take your story and make it perfect.
New business applications: A sign of economic recovery and growth
The U.S. Census Bureau provides valuable insights into the state of new business applications, which are indicators of individuals seeking tax IDs for potential business ventures. This data, available since July 2004, helps forecast future business formations.
In a surprising turn of events, the COVID-19 pandemic sparked a significant surge in business applications. This development is incredibly promising for entrepreneurship, as it plays a crucial role in driving economic recovery and growth.
The latest figures reveal that total business applications reached unprecedented levels. In 2021 alone, there were a staggering 5.4 million applications, reflecting a strong desire for new business ventures. Additionally, high-propensity business applications, which are more likely to involve payrolls, also hit a record high of 1.8 million.
These remarkable numbers point towards a potential wave of entrepreneurial activity, highlighting the resilience and determination of individuals to rebuild and thrive amidst challenging circumstances.
Migration – a fundamental human right
As a global community, we face a choice. Do we want migration to be a source of prosperity and international solidarity, or a byword for inhumanity and social friction?
—António Guterres, Secretary-General of the United Nations, 2018
Migration: Unveiling the global tapestry
Step into the vibrant world of migration, where borders blur and stories intertwine. This dynamic phenomenon knows no bounds, embracing people from all walks of life. From bustling metropolises to remote corners, countries of all stripes play host to this incredible human tapestry.
Why do people migrate? The answer lies in the intricate web of global imbalances. Driven by dreams of prosperity and access to better opportunities, economic #migrants seek greener pastures. Astonishingly, a whopping 84 percent of migrants in 2020 found themselves in wealthier nations than their own.
Yet, let’s not forget the hurdles and sacrifices that migration entails. For those hailing from low-income backgrounds, the costs can be insurmountable. Most migrants fall somewhere between the extremes, navigating the delicate balance between their homeland and new beginnings.
Globally, a staggering 184 million migrants paint this diverse picture, including 37 million refugees. Their stories span #economic migrants, families, students, and more—each seeking a better tomorrow.
Discover the captivating world of migration: https://www.worldbank.org/en/publication/wdr2023
How to tie data and analytics initiatives with business success
In today’s digital landscape, organizations are increasingly recognizing the importance of data and analytics in driving successful growth. According to the Gartner 7th Annual Chief Data Officer Survey, it is predicted that by 2023, the majority of successful Chief Data Officers (CDAOs) will have business backgrounds rather than IT backgrounds. This shift in focus reflects the growing emphasis on leveraging data for digital value.
To achieve digital success, organizations are aligning their data and analytics initiatives with measurable business outcomes and stakeholder objectives. This strategic approach allows them to effectively measure the impact of their data-driven efforts and make informed decisions based on insights gained from analytics.
Furthermore, automation plays a crucial role in driving efficiency and reliability in data and analytics processes. By automating repetitive tasks and implementing reliable, repeatable processes, organizations can streamline their operations and free up valuable time for more strategic initiatives.
In addition, data-driven organizations understand the importance of data governance, collaboration, and sharing. They recognize that data is a valuable asset that needs to be managed, protected, and utilized effectively. By implementing robust data governance practices and fostering a culture of collaboration and sharing, organizations can maximize the value of their data assets.
https://www.gartner.com/en/publications/the-it-roadmap-for-data-and-analytics
How to success as a finance transformation leader?
Succeeding as a new finance transformation leader requires more than just basic skills and knowledge. It demands thorough preparation, meticulous assessment, confident planning, proactive action, accurate measurement, and effective communication.
To start off, preparation is key. Get acquainted with the organization’s current financial landscape, goals, and challenges. Conduct a comprehensive assessment to identify improvement areas and potential obstacles. This will enable you to develop a well-informed plan that aligns with the organization’s objectives and addresses its specific needs.
Once the plan is in place, it’s time to take action. As a #finance transformation leader, you must be proactive and decisive. Implement the necessary changes and initiatives, ensuring you have the right resources and support. Regularly measure outcomes and progress to track effectiveness and make adjustments as needed.
However, success in finance transformation is not just about technical aspects. Communication is crucial. Engage and collaborate with key stakeholders, including senior #management, department heads, and employees, to ensure a shared understanding of transformation goals and progress.
https://www.gartner.com/en/finance/trends/finance-transformation-first-100-days
Feel-good Sunday: Unveiling the unsung heroes assisting Syrian refugees
Our society has a knack for constructing narratives about refugees, painting a picture of who they are and what they represent, laments Feras Fayyad, a TED Fellow and accomplished documentarian. His tireless efforts seek to dismantle the misconceptions surrounding these displaced individuals, serving as a form of resistance against prejudice—for himself, his daughter, and the countless Syrian refugees scattered worldwide. This poignant account serves as a rallying cry against injustice, highlighting the profound impact of storytelling.
However, forging this cinematic universe has been an arduous odyssey, fraught with challenges. Fayyad has faced an uphill battle against the rampant racism and #discrimination entrenched in the film industry.
Those in power, presuming to know the desires of the audience, have perpetuated #stereotypes about superheroes and refugees. Yet, refugees are ordinary people, just like Fayyad himself. These remarkable individuals shattered societal expectations and defied the status quo.
And so, he refuses to surrender. He owes it to them, to his daughter—a symbol of resilience—to amplify the stories of these extraordinary heroes who bear an uncanny resemblance to her. For her sake, he will persist in his resistance.
Feras Fayyad: The real-life superheroes helping Syrian refugees
https://www.ted.com/talks/feras_fayyad_the_real_life_superheroes_helping_syrian_refugees
Curious Saturday: The mind’s enigma: Do we shape reality?
Humans have a deep fascination for enigmas, and there’s one particular unsolved puzzle in the realm of science that captivates many. It’s a personal quest to unravel the mystery of our own existence.
The crux of the mystery lies in understanding the intricate connection between our brains and our conscious experiences. You know, those moments when you savor the taste of chocolate or feel the velvety touch against your skin.
Cognitive scientist Donald Hoffman is on a mission to shed light on a profound question: Do we perceive the world as it truly is, or do we shape it to fit our needs? Prepare to have your mind gently nudged, as he delves into the profound ways our minds construct our reality.
Donald Hoffman’s research revolves around how our visual perception, molded by millions of years of natural selection, meticulously crafts every aspect of our everyday reality. While science has made strides in understanding #brain activity, the elusive link between brain activity and conscious experiences remains shrouded in mystery.
Dive into the mind-boggling research of Donald Hoffman and discover the enigmatic connection between our consciousness and the world around us.
Watch now: https://www.ted.com/talks/donald_hoffman_do_we_see_reality_as_it_is/
UN Adaptation gap report: Wake-up call to climate crisis
The UN Adaptation Gap Report sheds light on the alarming consequences of the slow and inadequate response to climate change mitigation and adaptation efforts. It emphasizes that our failure to take decisive action is now resulting in severe limitations to our ability to adapt to the changing climate. In fact, some of these limits may have already been reached, posing a significant threat to our future.
When the COP28 rolls around, the pressure will be on the wealthier nations to fulfill their previous funding commitments and support developing countries. They also need to step up and meet the promise they made at COP26 in Glasgow, where they pledged to provide around $40 billion annually in adaptation finance support by 2025.
Furthermore, countries are currently locked in tough negotiations on establishing a loss and damage fund. This fund aims to assist nations in dealing with the most severe impacts of climate change. The stakes are high, and finding common ground won’t be easy.
Master the art of leadership
Leadership involves inspiring, motivating, and guiding others towards a shared goal. Leaders possess critical thinking abilities, analyze situations, and devise effective strategies.
Mohandas K. Gandhi exemplified effective leadership through his promotion of nonviolent resistance. He believed that true leaders focus on solutions instead of complaining about problems.
ESG: A Sustainable Investment Framework
ESG, an abbreviation for Environmental, Social, and Governance, is a handy framework used to assess the sustainability and ethical impact of investments. It takes into account various factors, both economic and non-economic, to evaluate the performance and potential risks associated with companies.
The environmental aspect of ESG focuses on how companies impact the natural environment. It scrutinizes their carbon emissions, water usage, waste management, and biodiversity conservation efforts. Companies that prioritize environmental practices tend to attract investors who value sustainability and are genuinely concerned about climate change and resource depletion.
The social aspect of ESG analyzes a company’s impact on society. It delves into factors like labor rights, employee diversity and inclusion, community engagement, and product safety. Companies with positive social practices tend to foster strong relationships with their employees, customers, and communities, ultimately leading to long-term success.
The governance aspect of ESG evaluates a company’s leadership, management structures, and transparency. It examines factors like board diversity, executive compensation, shareholder rights, and ethical business practices. Companies with robust governance practices tend to have effective risk management strategies and are accountable to their stakeholders.
By considering both economic and non-economic factors, ESG offers a comprehensive approach to assessing investments.
Re-thinking growth strategies in software industry: Hybrid approach
McKinsey is challenging the conventional wisdom surrounding growth strategies in the software industry. The long-held belief that product-led growth (PLG) is only suitable for small and medium-sized businesses (SMBs) and tech-savvy consumers, while sales-led growth (SLG) is the preferred choice for enterprise customers, is being put to the test.
Based on extensive research and experience, McKinsey & Company is pushing back against the notion of a strict divide between these two approaches. They argue that most B2B software companies can incorporate elements of a product-led approach to varying degrees. The lines between PLG and SLG are increasingly blurred, with pure PLG companies now employing sales teams to target larger enterprises. At the same time, more traditional SLG-driven companies are investing in product-led experiences to attract SMBs.
Discover the full article here:
https://www.mckinsey.com/industries/technology-media-and-telecommunications/our-insights/from-product-led-growth-to-product-led-sales-beyond-the-plg-hype
Generative AI: The white-collar frenemy
The infiltration of AI into white-collar jobs has become a cause for concern among many individuals. A recent study conducted by US researchers has shed light on this issue, revealing some intriguing findings. It appears that the introduction of #ChatGPT has resulted in a significant decline in job opportunities and earnings for copywriters and graphic designers on popular online freelancing platforms. This implies that generative AI is not only taking over their tasks but also devaluing their work.
Interestingly, the study discovered that even the most skilled freelancers, who previously earned the highest income and completed the most projects, were not exempt from these negative effects. In fact, they faced even worse outcomes, indicating that superior skills do not guarantee protection against job loss or decreased earnings.
However, it is important to note that this study specifically focuses on a particular group of individuals.
On the other hand, #employees across the skills distribution spectrum experienced benefits, with the greatest performance gains observed among the less highly skilled workforce. This can be attributed to the fact that large language models excel at regurgitating and summarizing existing human knowledge available in the public domain. The closer one’s own knowledge is to that limit, the smaller the advantage gained from utilizing these models.
Feel good Sunday: try-out family-democracy meeting system
The realm of politics should be open to all, starting right at home, asserts activist Hajer Sharief. She introduces a remarkable concept: parents can instill political awareness in their children by involving them in household decision-making through candid family gatherings. These meetings provide a platform for everyone to express their opinions, negotiate, and find common ground. Sharief believes it is crucial to convey that political matters are just as relevant as personal and family affairs, urging us to question whether we can truly afford to be disinterested or uninvolved in politics.
Political decision-making necessitates diverse perspectives, encompassing individuals from various backgrounds, interests, #beliefs, genders, races, ethnicities, and ages. Everyone should have an equal opportunity to contribute and influence decisions that directly or indirectly shape their lives.
https://www.ted.com/talks/hajer_sharief_how_to_use_family_dinner_to_teach_politics
Curious Saturday: Alison Killing: a beacon of truth through data-driven journalism
Data-driven journalism is a powerful tool that uncovers human rights abuses by merging online investigations with traditional journalistic techniques. By analyzing social media data, satellite imagery, and other sources, a comprehensive picture of injustice emerges.
This approach not only validates eyewitness accounts but also provides concrete evidence to hold perpetrators accountable. Through the utilization of reliable open source data, such as satellite and social media imagery, journalists can expose the darkest corners of our world.
Alison Killing, an esteemed journalist and TED Fellow, advocates for the increased use of trustworthy open-source data, like satellite and social media imagery, to illuminate the patterns of injustice that plague our #society. Her groundbreaking work sheds light on the truth and inspires action for a more just world.
Small Businesses: Fueling the American Dream
America has a deep-rooted love for small businesses, which play a significant role in shaping the nation’s economy and communities. These enterprises, often family-owned or operated, are the backbone of the American Dream, embodying the spirit of entrepreneurship, hard work, and innovation.
Small businesses contribute extensively to job creation, employing millions of Americans across various industries. They foster local economies by keeping money circulating within communities, supporting other local businesses and services. These enterprises also provide unique products and services, adding diversity and vibrancy to the marketplace.
Furthermore, small businesses foster a sense of #community and personal connection. Customers often develop relationships with the owners and employees, creating a personalized shopping experience. Additionally, small businesses tend to prioritize exceptional customer service, going the extra mile to meet individual needs and preferences.
In recent times, there has been a resurgence in supporting small businesses, driven by a desire to preserve local culture, promote sustainability, and reduce reliance on large corporations. This support is evident in initiatives like Small Business Saturday, where consumers are encouraged to shop locally.
Overall, America’s love for small businesses stems from their essential role in the economy, their ability to create jobs, their contribution to community development, and the unique experiences they offer to customers.
Happy Thanksgiving from the Loquat Team!
The 2023 / 2024 Women, peace and security index
The Women, Peace, and Security (WPS) Index, curated by Georgetown University’s Institute for Women, Peace and Security (GIWPS) and the Peace Research Institute Oslo (PRIO), meticulously evaluates and ranks 177 countries based on the status of women within their societies.
The comprehensive analysis carried out by the WPS Index sheds light on a significant correlation between improved conditions for women and various positive societal outcomes. Countries that prioritize women’s well-being tend to exhibit higher levels of peace, democracy, prosperity, and resilience against climate change. The index takes into account a wide range of factors, including economic participation, health indicators, vulnerability to violence, educational opportunities, safety perceptions, parliamentary representation, maternal mortality rates, legal protections, and proximity to armed conflicts.
Given the pressing global challenges we face today, such as the climate crisis, authoritarianism, forced displacement, armed conflicts, and the ongoing COVID-19 pandemic, the WPS Index underscores the critical importance of investing in women’s empowerment. By doing so, we can ensure the security and well-being of all individuals, fostering a more equitable and harmonious world.
Can CEOs conquer chaos to achieve growth?
In the fast-paced and unpredictable world of business, CEOs have faced an array of challenges in recent years. From the disruptive impact of the COVID-19 pandemic to soaring inflation rates, geopolitical tensions, and environmental crises, it’s been a rollercoaster ride for corporate leaders. However, amidst this chaos, some brave CEOs have managed to steer their organizations towards growth and outperform their competitors.
McKinsey’s latest research sheds light on the strategies employed by these courageous leaders. By adopting an aspirational mindset and fostering a growth-oriented culture, CEOs can set their organizations on a path to success. The study outlines six key strategies that aspiring leaders can leverage to reach the pinnacle of growth in their industries and maintain their position.
If you’re a CEO looking to navigate these turbulent times and achieve continuous growth outperformance, this insightful research is a must-read.
Is the tide turning for interest rates?
The policymakers at the Federal Reserve, European Central Bank, and Bank of England have been on a relentless spree of increasing interest rates for the past couple of years. As a result, borrowing #costs in Europe and the US have reached their highest levels since before the financial crisis.
In the US, these aggressive rate hikes have successfully tamed #consumer price inflation, which currently stands at a modest 3.7 percent, significantly lower than the peak of nearly 10 percent. However, the Federal Reserve is still grappling with an unexpectedly buoyant economy, with a staggering annualized growth rate of 4.9 percent in the latest quarter.
Despite the rising prices and dwindling savings, consumer spending has not yet experienced a significant slowdown. This can be largely attributed to a resilient job market, although a recent jobs report for October fell short of expectations, indicating some potential moderation in the future.
Feel good Sunday: The art of choosing – a cultural perspective
Sheena Iyengar explores the art of decision-making and our perceptions of choice. She challenges the belief that American practices of choice are universally desirable and highlights the importance of understanding different cultural perspectives.
Regardless of our backgrounds, we should welcome a broader understanding of choice to appreciate its true potential and achieve the #freedom it promises. By fostering communication and appreciation for diverse perspectives, we can uncover the complexity and beauty of choice.
https://www.ted.com/talks/sheena_iyengar_the_art_of_choosing
Curious Saturday: Are athletes truly becoming faster, better, and stronger?
If we take a closer look at the progression of sporting achievements in recent decades, it may appear that humans have made remarkable strides in every aspect. However, let’s not get too carried away with self-congratulation, shall we? In this talk by David Epstein, he challenges our assumptions and presents a refreshingly unconventional perspective.
Undoubtedly, technology has played a significant role in transforming athletic performance across various sports. But let’s not forget that there are other factors at play. While we haven’t undergone a radical evolutionary transformation in the past century, the composition of athletes within competitive sports has indeed undergone changes. In the early 1900s, the prevailing belief was that the average body type was optimal for all sports, resulting in a homogeneity among athletes.
However, times have changed. Sports that favor larger physiques have seen a surge in the size of athletes, whereas sports that benefit from smaller statures have witnessed a decrease in size. Additionally, the search for exceptional athletic abilities has led to the inclusion of previously untapped populations, such as Kenyan distance runners, into the competitive world.
But it’s not just physicality that sets today’s athletes apart. They possess a different mindset. Our brain acts as a safety mechanism, holding us back from tapping into our full potential to protect us from harm. But the more we learn about how that limiter functions, the more we learn how we can push it back just a bit, in some cases by convincing the brain that the body won’t be in mortal danger by pushing harder. Endurance and ultra-endurance sports serve as a great example.
https://www.ted.com/talks/david_epstein_are_athletes_really_getting_faster_better_stronger
Welcome the magic of “inglese farlocco”
Fluency in ‘inglese farlocco’ is now a necessity in Italy as hybrid words and #unconventional meanings continue to grow.
From its origins in World War II to its modern-day ubiquity, this linguistic phenomenon has become a must-know for anyone wanting to stay in the loop. Discover the intriguing world of “fake English” where words take on a life of their own, often leaving native English speakers scratching their heads.
While some worry about the infiltration of English, others see it as a vibrant expression of Italy’s adaptability. Business jargon, pandemic lingo, and even the younger #generation’s slang all contribute to this linguistic hybrid. From “schedulare” to “cringiata,” the creativity knows no bounds.
Purists may be appalled, but to Corbolante it’s linguistic dynamism. “Italian is a vital language,” she tells me. “We take foreign material and adapt it to our needs.” All right!
Migration to rich countries at all time high
International migration to rich countries reached an all-time high last year, driven by global humanitarian crises and demand for workers, the OECD said on Monday.
The Paris-based organisation estimated 6.1mn new permanent migrants moved to its 38 member countries last year, 26% more than in 2021 and 14% higher than in 2019, before the pandemic brought an enforced pause to much cross-border movement.
Preliminary figures for 2023 suggested a further increase, the OECD said, indicating that last year’s surge was not solely a post-Covid rebound.
This total did not include a further 4.7mn displaced Ukrainians who were living in OECD countries as of June this year; an increase in temporary migration for work; or a record 1.9mn permits issued to international students — with the greatest number of new students going to the UK.
Both humanitarian and labour-related flows of people look set to continue at high levels, with the latter accounting for a growing share of total migration, driven by a widespread scarcity of workers, the OECD said.
“Most OECD countries are experiencing #labour shortages,” José Luis Escrivá, the Spanish minister responsible for migration, said at the launch of the OECD’s report. “The situation can only get worse in future.”
Simply to stabilise its population, given demographic trends, the EU would need at least 50mn people to come from abroad in the next 25 years, Escrivá said, adding that this created “an absolute need” for significant migration “simply for the maintenance of the welfare state”.
Humanitarian migration to Germany and the US — the top two countries for granting asylum — nearly doubled in 2022, with the largest numbers of applications coming from Venezuela, Cuba, Afghanistan and Nicaragua.
Labour migration through routes that could lead to permanent settlement reached a 15-year high in many countries, the OECD said, including a doubling in the UK. There was a rise of 59 per cent in Germany, 39 per cent in the US and 26 per cent in France. Inflows to New Zealand, meanwhile, were triple the previous record, owing to a one-off policy allowing temporary residence to labour-seeking migrants.
This offset the slower post-pandemic recovery in flows of workers within the EU’s free movement area, and between Australia and New Zealand, and meant labour-related migration now accounted for more than a fifth of cross-border movement, the OECD said.
The migrant employment rate reached its highest on record, with more than 70% in work and fewer than 8% unemployed — in many countries, beating the employment rate of domestic worers.
Global Recovery: Slow and divergent, little room for error
The global recovery continues to trudge along at a sluggish pace, with noticeable disparities emerging across different regions. This lackluster growth leaves no margin for policy mistakes, as any missteps could have significant consequences. According to IMF projections, global growth is expected to decelerate from 3.5 percent in 2022 to 3.0 percent in 2023 and 2.9 percent in 2024. These figures fall well below the average growth rate of 3.8 percent seen between 2000 and 2019.
As economies tighten their policies, advanced economies are anticipated to experience a slowdown from 2.6 percent in 2022 to 1.5 percent in 2023 and 1.4 percent in 2024.
Meanwhile, emerging market and developing economies are predicted to witness a modest decline in growth from 4.1 percent in 2022 to 4.0 percent in both 2023 and 2024. To curb inflation and maintain stability, it is crucial to employ effective monetary policy measures and frameworks.
https://www.imf.org/en/Publications/WEO/Issues/2023/10/10/world-economic-outlook-october-2023
Microbusinesses explosions spells opportunities for credit unions
The rapid growth of microbusinesses has created both risks and opportunities for credit unions. These small-scale enterprises, often run by a single individual or a small team, have seen a significant surge in recent years. This trend can be attributed to various factors such as advances in technology, the rise of the gig economy, and the desire for individuals to have more control over their work-life balance.
For credit unions, this microbusiness explosion presents a unique set of challenges and opportunities. On one hand, these small businesses often have limited financial resources and may require specialized financial products and services tailored to their needs. Credit unions have the opportunity to fill this gap by offering microbusiness loans, business checking accounts, and other financial solutions specifically designed for these enterprises.
However, credit unions must also be cautious as they navigate this new landscape. The inherent risks associated with lending to microbusinesses include higher default rates, limited credit history, and potentially volatile cash flows. It is crucial for credit unions to conduct thorough risk assessments and implement robust underwriting processes to mitigate these risks.
Overall, the rise of microbusinesses presents credit unions with an exciting #opportunity to expand their member base and support local entrepreneurship.
Fed extends rate pause, but for how long?
The Federal Reserve (Fed) recently announced that it will maintain its current interest rate levels, signaling a continuation of its cautious approach to monetary policy.
Despite maintaining the current interest rates, the Fed did not rule out the possibility of future rate hikes. The central bank emphasized that it will closely evaluate incoming data to determine the appropriate timing for any adjustments. This flexibility reflects the Fed’s commitment to supporting inflation targets and maximum employment.
Additionally, the Fed has been gradually tapering its bond-buying program, which was implemented to stimulate the economy during the pandemic. This reduction in asset purchases indicates the central bank’s confidence in the economy’s ability to sustain its recovery.
Overall, the Fed’s decision to maintain interest rates while remaining open to future adjustments highlights its cautious approach to ensure a balanced economic #recovery amidst ongoing uncertainties.
https://www.wsj.com/economy/central-banking/fed-extends-rate-pause-but-keeps-door-open-to-another-hike-0fa978f8
Exciting news, everyone! Tom Penton, our Head of Partnerships is attending American Banker’s SMALL BIZ BANKING conference, coming up November 13–15 in Nashville.
It’s going to be a great opportunity to connect with other banking leaders to discuss what’s working and what’s not for small business clients.
Reach out!
Feel Good Sunday: the secret sauce to success
Leaving a high-flying job in consulting, Angela Lee Duckworth took a job teaching math to seventh graders in a New York public school. She quickly realized that IQ wasn’t the only thing separating the successful students from those who struggled. Here, she explains her theory of “grit” as a predictor of success.
Duckworth started studying kids and adults in all kinds of super challenging settings, and in every study her question was, who is successful here and why?
It wasn’t social intelligence. It wasn’t good looks, physical health, and it wasn’t IQ. It was grit. The reality is; #talent does not equate to success.
Have a listen and uncover more about the traits of successful people: https://www.ted.com/talks/angela_lee_duckworth_grit_the_power_of_passion_and_perseverance
Curious Saturday: Are you consuming “forever chemicals”?
When it comes to PFAS, short for per- and polyfluoroalkyl substances, or “forever chemicals” in some plastic recyclable bottles, this group of synthetic chemicals widely used in various industries due to their water and grease resistance properties are also known to persist in the #environment and have adverse health effects.
Studies have shown that PFAS can leach into food and beverages from packaging materials, including #plastic bottles. This raises concerns about the potential exposure to these harmful chemicals, as plastic bottles are commonly used for storing and consuming drinks.
While recycling is generally seen as a sustainable solution, the presence of PFAS complicates the process. Recycling facilities struggle to effectively remove these chemicals, leading to the risk of PFAS entering recycled plastic products and perpetuating their presence in the environment.
This calls for stricter regulations and guidelines regarding PFAS in plastic packaging and the importance of consumer awareness and demand for safer alternatives. Overall, the presence of PFAS in plastic recyclable bottles underscores the urgent need for sustainable and non-toxic packaging solutions.
AI systems have benefits but risks to stability must be managed
Will reliance on AI extend its power into the hands of technology companies? Tech companies are increasingly make inroads into finance but are not subject to strict oversight. There are parallels with the world of cloud computing in finance. In the west, the triumvirate of Amazon, Microsoft and Google provides services to the biggest lenders.
This concentration raises competition concerns, and affords at least the theoretical ability to move markets in the direction of their choice. It also generates systemic risk: an outage at Amazon Web Services in 2021 affected companies ranging from robot vacuum producer Roomba to dating app Tinder. An issue with a trading algorithm could trigger a market crash.
Watchdogs have pushed back against the awkward nexus of technology and finance in the past, as with Meta’s digital currency, Diem, formerly known as Libra. But to mitigate the risks from AI requires expanding the perimeter of financial regulation or pushing authorities across different sectors to collaborate far more effectively. Given the potential for AI to affect every industry, that co-operation should be broad. The history of credit default swaps and collateralised debt obligations shows how dangerous “siloed” thinking can be.
AI is not inherently negative for financial services. It can be used to speed up the delivery of credit, support better trading or combat fraud. It can ultimately be a friend to finance, if the watchmen have the right tools to keep it on the rails.
Loquat CEO’s insights on leadership
Zarina Tsomaeva, the CEO at Loquat Inc. believes that true leaders are not defined by their ability to possess all the answers, but rather by their skill in asking the right questions. With an unwavering commitment to curiosity, Zarina Tsomaeva encourages leaders to remain open-minded, always seeking innovative solutions.
2024 Gartner Top 10 Strategic Technology Trends
In the fast-evolving age of AI, innovations can help your organization build and protect itself while generating value. Some are driven by AI; others help you to operate and grow effectively and safely as #customer expectations and business models evolve with AI.
You may have pioneered some of these technologies already; others may be new, but all help you establish the infrastructure, governance and tools that your organization and its #employees need as we move toward enhanced resilience and autonomic activities.
Gartner offers insights and actions for business and technology leaders to build and protect itself while generating value in 2024 and beyond:
https://www.gartner.com/en/information-technology/insights/top-technology-trends
4 of the 6 large banks will see Q3 profits fall after loan growth stalls
Net interest income — the difference between what banks pay on deposits and what they earn from loans and other assets — has in the past 18 months lifted earnings for the likes of JPMorgan Chase, Bank of America and Citigroup.
The biggest US banks have benefited from charging more for loans in lockstep with the Federal Reserve lifting benchmark rates without significantly raising interest rates for savers.
While weekly data from the Fed has shown credit card borrowing by consumers is still growing, albeit at a slower pace, corporate borrowing has fallen in the past six months, likely from rising rates.
Analysts forecast that the net charge-offs — the portion of loans with losses that are marked as unrecoverable — will rise for JPMorgan, BofA, Citi and Wells to pre-pandemic levels.
“At some point, presumably, even the strongest consumers will begin to fold under the pressure of higher rates,” said Scott Siefers, a bank analyst at Piper Sandler.
According to Morgan Stanley analysts, the 25 largest US banks by assets had loan growth slow considerably since the start of the year to about 1.5 per cent from a year earlier, when it had been tracking at 8 per cent.
https://on.ft.com/3PNQJdf
The Fed sheds light on structured debt
The Federal Reserve has clarified rules around capital treatment of a type of structured #debt which involves the sale of #credit-linked notes that carry the risk of losses on U.S. bank loan portfolios to investors.
These trades, also known as Total Loss-Absorbing Capacity (TLAC) or long-term debt (LTD) trades, are mechanisms that allow banks to issue debt that can be converted into equity in the event of a financial crisis. This helps ensure that banks have sufficient capital to absorb losses and maintain stability in the financial system.
The Federal Reserve’s new guidance states that these bank capital relief trades will be allowed until the end of 2023, after which they will be phased out. This decision aligns with the international regulatory framework set by the Financial Stability Board and the Basel Committee on Banking Supervision. The goal is to promote financial stability and reduce the risk of taxpayer-funded bailouts.
Such transactions, done privately, have been difficult to get done in the U.S., said Michael Bright, CEO of the Structured Finance Association.
Data on them are not public but banks supervised by the European Central Bank (ECB) completed a record 174 billion euros ($189 billion) of such deals last year, the regulator told Reuters in April.
A bank can normally transfer risks of losses equivalent to around 7% to 12% of a loan portfolio in a European trade, market sources previously said.
These clarifications come after growing calls for clarity on which of these bespoke trades issued by U.S. banks would qualify for capital relief, the banking industry sources said.
https://www.reuters.com/world/us/fed-shines-light-path-us-bank-capital-relief-trades-2023-10-02/
Globalization: a catchy take on the world’s economic shift
Motivated by a belief in market power, globalization surged in the 1990s as governments relaxed travel, investment, and trade controls. China joining the World Trade Organization in 2001 further boosted trade between Asia and the West. While globalization brought benefits like poverty reduction and political freedom, it also presented problems.
The 2007-09 financial crisis was expected to prompt reforms, but ultimately globalization continued largely unchanged. In response to economic, geopolitical, energy, and AI shocks, the concept of homeland economics emerged.
This approach aims to reduce risks to economies and create a safer, fairer, and greener world. However, this report argues that it may have the opposite effect.
For more information, visit: www.economist.com/special-report/2023/10/02/governments-across-the-world-are-discovering-homeland-economics
Curious Saturday: from fear to fearless through unexpected change
Unexpected change like an accident, an illness or a relationship that suddenly ends is inevitable — and disorienting. With a heartfelt and optimistic take on life’s curveballs, cognitive scientist Maya Shankar shares how these challenging moments can inspire transformation, offering three questions to ask when facing uncertainty, so you can let go of rigidity and embrace change.
- How might change change what you value?
- How might a change change what you’re capable of?
- How might a change change how you define yourself?
Be sure to have a listen and discover how unexpected challenges might change what you are capable of, what you value, and how you define yourself:
https://www.ted.com/talks/maya_shankar_why_change_is_so_scary_and_how_to_unlock_its_potential
CEOs embarrassing behavior: will it destroy the company’s reputation?
What is the difference between a hook-up, a fling and a relationship? For a board director of a big company in 2023, this may now be required knowledge.
Global companies president’s are departing more frequently, often due to their failure to disclose past relationships with employees to the board.
This raises the question of how closely directors need to scrutinise the personal conduct of top executives — from workplace relationships, bullying and inappropriate use of social media, to an individual’s tax affairs and embellished CVs.
Reputational risk has become as high a priority as financial risk, but board discussions have historically tended to focus on issues such as product reliability, service quality and compliance, rather than personal conduct. Directors are now increasingly having to make judgments based on what is socially acceptable, as well as legal and ethical, to ensure they maintain the confidence of staff, investors and customers.
In the event that governance processes and HR functions do not catch bad behaviour, there has to be a way for the average employee to take action. Well publicised and effective codes of conduct and properly functioning whistleblowing mechanisms without fear of reprisals are essential. Some companies have ethics champions throughout the company that individuals can turn to.
https://www.ft.com/content/ec803e88-d575-4ce3-a086-70562ea07323?accessToken=zwAGBtUr2Cg4kdPsgD6I1XVM49OghnBWLqBzIw.MEUCIQDFOwe6H4q0kjeFXp-nVqwH6jc0KLMF2eZtavfr9JIExAIgH0sHI8K_MZ1jddohMz6U70Ymp0UGHDl-LzglWimxhWU&sharetype=gift&token=b7be04b4-ffcc-418a-af14-3e729ac9af2c
LOQUAT, a banking-as-a-service (BaaS) platform, can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
The most powerful women in banking for 2023 – Or is it?
At first glance, one might think women are breaking the glass ceiling when looking at the American Banker’s list “The most powerful woman in banking 2023,” but upon closer inspection, it turns out that Fraser remains the only female CEO among the largest banks. For the 21st century, this is not an outstanding achievement and not what most would expect in 2023.
While Loquat supports this prestigious list celebrating the outstanding achievements and leadership of women in the banking industry, it uncovers one thing: there should be further progress since women have risen into top positions within their respective organizations, serving as CEOs, CFOs, COOs, and other influential roles.
This list should emphasize the importance of continued efforts to promote diversity and empowerment for women in all sectors of society:
https://www.americanbanker.com/list/the-most-powerful-women-in-banking-2023
At Loquat, we support the diversity and inclusivity of women from different backgrounds and experiences, their leadership skills, strategic vision, and dedication to driving innovation and growth. We hope more women will be given the opportunity to lead their organizations to success and inspire the next generation of female leaders in banking.
What’s dividing the C-Suite on generative AI?
The rise of artificial intelligence (AI) has brought about significant concerns and challenges for C-suite executives across industries. According to a report by Boston Consulting Group (BCG), these leaders are grappling with various aspects related to the adoption and integration of AI technologies into their organizations.
One of the primary concerns highlighted in the report is the ethical implications of AI. C-suite executives are increasingly aware of the potential risks associated with AI, such as bias in algorithms, privacy concerns, and job displacement. They are actively seeking ways to ensure responsible and ethical AI practices within their organizations.
Additionally, the report sheds light on the challenges faced by executives in terms of talent acquisition and development. The report emphasizes the need for effective AI governance and strategy.
C-suite executives are tasked with developing a comprehensive AI strategy that aligns with their business goals and ensures a smooth integration of AI technologies. They are also responsible for establishing governance frameworks that address issues like data privacy, security, and compliance.
https://www.bcg.com/publications/2023/c-suite-genai-concerns-challenges
As we explore and try to understand what AI solutions are, it is imperative to understand how it could be implemented in the Financial Institutions to drive performance improvements.
Request a demo to see how LOQUAT is leveraging AI and ML: https://loquatinc.io/demo/
6 powerful strategies to slash cloud costs
Cloud cost management is a multifaceted challenge for SaaS companies, demanding a broad and in-depth understanding of the factors driving these costs. From the deployment architecture to the culture among engineering teams, from pricing strategies to the choice of technologies, every facet contributes to the overall cloud expenses.
To confront these challenges head-on, software leaders can take six immediate actions, including:
- Formalize an agile cloud cost governance program
- Foster cloud transparency
- Align pricing models with customer usage
- Emphasize cost considerations in decision-making
- Educate customers about resource consumption
- Optimize deployment architecture
By taking these proactive measures, SaaS companies can enhance their cloud expenses, make accurate cost predictions, and achieve significant savings while ensuring financial sustainability and continued growth.
Bank-fintech partnerships: digitizing your reality
Once viewed as a disruptive force in traditional banking, bank-fintech partnerships have become increasingly common and highly effective.
These partnerships unlock value for parties on each side of the equation. Banks provide fintechs with backend infrastructure, knowledge, compliance, and regulatory controls. Fintechs help banks access new markets, enhance and accelerate the rollout of digital offerings, and deliver a better, more customer-friendly overall experience.
These partnerships help drive down the costs of financial services with improved efficiencies, better and faster decision-making with data analytics, and expanded access to banking and financial offerings. Incumbent financial institutions would not have eliminated or reduced overdraft fees without fintechs like Chime and other digital peers entering the marketplace.
Bank-fintech partnerships are an excellent example of harnessing technology to improve banking, resulting in faster, expanded access to services and capital. Regulators deserve credit for finalizing the third-party guidance and acknowledging the power of these partnerships.
Looking ahead, we welcome regulators’ commitment to deliver more clarity on the expectations for community banking organizations in managing these risks. Banks and fintechs working together can provide even more benefits to consumers, small businesses, and the economy if the laws on the books – and the regulatory mindset – catch up to the digital reality.
Loquat, an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind. Our end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience. Learn more: www.loquatinc.io
Feel Good Sunday: 4 kinds of regret and what they teach you
Regret: a word often associated with negativity, yet it holds profound lessons for us all. Join Daniel H. Pink’s captivating TED Talk as he unveils the four distinct types of regret, each carrying invaluable insights.
Daniel delves into the regrets we experience: regrets for actions taken and actions not taken, both with and without remorse. Remarkably, each type offers a unique window into our values, priorities, and decision-making processes.
Rather than shying away from regret, Daniel emphasizes its importance as a teacher. By reflecting on our regrets, we gain a deeper understanding of ourselves, our desires, and our motivations.
Have a listen:
https://www.ted.com/talks/daniel_h_pink_4_kinds_of_regret_and_what_they_teach_you_about_yourself
Do you find time to reflect and find the silver lining? At Loquat we aim to help small business banks and credit unions find the silver lining with technology that enables them to thrive. Through our transparent portal, we want to make decisionmaking easier and allow them to be future-ready.
Curious Saturday: lessons learned from being a nerd
Jordan’s favorite word is “fandom” and how fandom can enrich your life and build a community of people that you might not have always talked to, right?
She also shares that “Star Wars” taught her that her world can be as big as a galaxy far, far away. Whether that is real or fake.
In this Ted Talk, Jordan shares 10 lessons she’s learned nerding out on all kinds of things and unpacks the joy, creativity and community that comes from being a fan.
Have a listen: https://www.ted.com/talks/jordan_dinwiddie_10_lessons_i_learned_from_being_a_nerd
At Loquat, we nerd out on serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Despite the hype sustainability progress is stalled at most companies
Despite the growing desire to embed #sustainability goals, a recent study reveals that progress is stagnating at most companies.
The study, conducted by a leading consulting firm, examined data from over 500 companies across various industries. It found that while many companies have established sustainability initiatives, they struggle to make significant progress in implementing them effectively.
One of the main challenges identified is the lack of a clear roadmap. Many companies set ambitious goals but have not developed a detailed plan to achieve them. This lack of clarity leads to fragmented efforts and prevents companies from making meaningful strides towards sustainability.
Additionally, the study highlights the need for stronger accountability and measurement systems. Without proper tracking and reporting mechanisms, companies struggle to assess their progress accurately and identify areas for improvement.
https://www.instrategia.com/our-insights/sustainability-progress-is-stalled-at-most-companies
At Loquat, we know that blending employees’ environmental and social values is the only way to achieve any sustainable progress, but like all initiatives, they take time.
Clement Ogujiofor gets real about the effectiveness of Generative AI
Generative AI holds potential for driving enterprise value, but its effectiveness depends on the skills of those who utilize it. The true value of generative AI may be realized when enterprises can deploy enterprise-specific language models that assist employees in accessing and utilizing private information relevant to the organization. This has the potential to unlock substantial value for certain businesses.
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Learn how LOQUAT Inc. can help you with your transformation: https://loquatinc.io/about/
Data Breaches strike half of financial service providers: are you at risk?
In a revelation that highlights the vulnerabilities of content management systems (#CMS) in the financial services sector, a new report has disclosed that 50% of organizations have fallen victim to data breaches over the past three years.
Three-quarters of financial organizations are currently using a CMS, with Adobe, WordPress and HubSpot being the most popular, according to a report released by Forrit, a provider of next-generation CMS solutions. Many – 88% – are also using multiple CMS systems posing an increased security risk.
Half of those surveyed by Forrit admitted to suffering a data breach within the past three years, a number that increased in the banking (61 per cent) and wealth management (68 per cent) sectors.
https://thefintechtimes.com/data-breaches-strike-half-of-financial-service-providers-via-cms/
At LOQUAT Inc. we believe that data privacy is a fundamental human right and democratic societies have a duty to #respect and #protect this right through their respective institutions.
We envision that individuals shall decide “what becomes #data in the first place, what we share, with whom, and to what purpose”.
Customer service is getting worse and so are customers
Many businesses have shifted towards automated systems, chatbots, and self-service options, reducing human interaction and leaving customers feeling frustrated and unheard. Additionally, the outsourcing of customer service operations to low-cost countries has resulted in language barriers and cultural differences that further hinder effective communication and resolution.
However, it is important to note that customers themselves have also contributed to the decline in customer service. The advent of social media and online review platforms has given customers a powerful voice to publicly air their grievances and criticism. While this has led to increased accountability for businesses, it has also fueled a culture of entitlement and impatience among customers, who often resort to public shaming and unrealistic demands.
https://www.economist.com/business/2023/09/28/customer-service-is-getting-worse-and-so-are-customers
At Loquat, we are in a constant search of HOW we can make our customer’s journey a personal, pleasant and up-to-date experience. We believe in the future of Web3 and its chance to democratize the online experience, and enable users to reclaim control of their data
Learn more how at: https://loquatinc.io/financial-institutions/
EU placed cap rules for payday lenders in 2014. When will USA do the same?
The U.S. Supreme Court is set to hear a case that targets the Consumer Financial Protection Bureau (CFPB), a regulatory agency created in the aftermath of the 2008 financial crisis. The case, which is scheduled for argument in the court’s upcoming term, challenges the constitutionality of the CFPB’s structure.
The CFPB was established by legislation signed by Democratic former President Barack Obama to curb the type of predatory lending that contributed to the financial crisis. The agency has delivered $16 billion of relief to consumers as a result of its 300-plus enforcement actions from 2012-22 including a $3.7 billion settlement last year with Wells Fargo (WFC.N).
The New Orleans-based 5th U.S. Circuit Court of Appeals last year ruled that the CFPB’s funding structure violated the appropriations clause. The 5th Circuit also invalidated a CFPB regulation opposed by payday lenders that stops them from trying to charge a borrower’s bank account after two unsuccessful attempts due to insufficient funds.
Many conservatives and their Republican allies see the CFPB as part of an unwieldy “administrative state,” the network of agencies responsible for the array of federal regulations affecting businesses and individuals.
EU placed price caps on payday lenders 9 years ago to ensure fair lending practices. It begs the question when the USA will try to catch up: https://www.reuters.com/legal/us-supreme-court-hear-case-targeting-consumer-financial-watchdog-2023-10-03/
At Loquat, our mission is to serve small and medium-sized businesses (SMB) from new account onboarding through delivering fair lending options, all while preventing fraud and without sacrificing on the user experience.
Learn more how LOQUAT Inc. is the right Banking as a Service partner: https://loquatinc.io/financial-institutions/
Feel Good Sunday: Unveiling my true self — How I discovered me by becoming others
In this captivating TED Talk, the talented comedian and impressionist, Melissa Villaseñor, takes center stage to share her remarkable tale of self-discovery through the art of impersonation.
Melissa opens up about her lifelong passion for mimicking voices and imitating celebrities, which initially served as a refuge from her shyness and anxiety. However, as she delves deeper into her craft, she unveils a profound realization – her impressions are not merely an escape, but a powerful means of self-expression.
Through impersonating various celebrities, Melissa discovers an extraordinary way to connect with different aspects of her own identity. By embodying their voices and mannerisms, she courageously explores and embraces the diverse facets of her personality, leading to a profound understanding of herself.
Have a listen to learn how Melissa found her unique voice:
https://www.ted.com/talks/melissa_villasenor_how_i_found_myself_by_impersonating_other_people
At Loquat, we encourage all individuals to lean into their own unique personality and embrace their own ideas of freedom.
Can we slow down aging?
Our bodies, remarkable machines that they are, possess the power to create and repair themselves. But why do they fall short of perfection?
More than 50% of credit union CEOs are women vs. 3% in banks
In a recent study conducted by the Credit Union National Association (CUNA), it revealed that 51% of credit union CEOs are now women, marking a significant increase in female leadership within this sector.
Still, “Women are significantly underrepresented in executive positions across all industries, particularly within the financial services sector,” said CUNA Vice President of Diversity, Equity, and Inclusion (DEI) Samira Salem.
The study highlights the efforts made by credit unions to promote inclusivity and equal opportunities for women in leadership positions. Additionally, it emphasizes the importance of mentorship programs and professional development initiatives that have helped women advance in their careers.
It suggests that credit unions with a higher representation of women in executive roles tend to perform better in terms of member satisfaction, employee engagement, and overall organizational success.
https://news.cuna.org/articles/119416-cuna-study-finds-51-of-credit-union-ceos-are-women
In the 21st century, this is not to be expected. At Loquat, we focus on diversity and inclusion, promoting fair labor practices, and supporting women and diverse backgrounds. Learn more about our inclusive approach: https://loquatinc.io/about/
Clorox’s Cyberattack: A $593MM wake-up call
In July SEC Adopts Rules on Cybersecurity Risk Management, Strategy, Governance, and Incident Disclosure by Public Companies.
On August 14 Clorox became one of the first companies to disclose via an SEC filing that the company had “identified unauthorized activity on some of its Information Technology (IT) systems” that was “expected to continue to cause disruption to parts of the Company’s business operations.”
Then, on September 18, Clorox filed another SEC report stating it believed the hack was contained but resulting in slower production rates and “an elevated level of consumer product availability issues.” News of the filing spread widely throughout the press and Clorox’s stock price dropped roughly 2% between market close on September 18 and market open the following day.
The incident has shed light on the new SEC rules that mandate disclosure of
It’s a textbook example for why no company wants to advertise a cybersecurity breach and also suggests why manufacturers are so likely to pay ransomware bounties and eliminate the problem.
This unfortunate event underscores the importance of robust cybersecurity measures for all businesses. It’s a clear signal that no company is immune to cyber threats, and the consequences can be severe. As organizations strive to protect their data and maintain customer trust, investing in modern data architecture.
Learn HOW LOQUAT Inc. can help to make financial institutions more secure, #innovative and #successful: https://loquatinc.io/
Agility is key for being future-ready
Agile operating models have emerged as a game-changer for risk and compliance functions in organizations. These models, traditionally associated with software development, are now being applied to various business areas, including risk management and compliance. With their emphasis on flexibility, adaptability, and collaboration, agile operating models enable risk and compliance teams to respond swiftly and effectively to the evolving regulatory landscape and emerging risks.
One of the key benefits of an agile operating model for risk and compliance functions is enhanced responsiveness. By breaking down work into smaller, manageable tasks or “sprints,” teams can quickly address compliance issues or regulatory changes, reducing the time and effort required for implementation. This iterative approach allows for continuous improvement and learning, ensuring that risk and compliance strategies remain up-to-date and effective.
When businesses bring together individuals from different departments, such as legal, IT, and operations, organizations can leverage diverse expertise and perspectives to develop comprehensive risk and compliance solutions. This collaborative approach also promotes transparency and communication, enabling teams to identify and address potential risks more proactively.
Loquat, an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners. The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Credit Unions can lead today’s digitally disruptive era
Credit unions have the opportunity to not only continue their tradition of exceptional service but also lead the era of digital disruption.
By implementing innovative technologies and digital solutions, credit unions can enhance their member experience and stay competitive in an increasingly digital world. For instance, implementing mobile banking apps, online loan applications, and digital payment solutions can provide members with convenient and seamless access to their accounts and services.
By leveraging data analytics and artificial intelligence, credit unions can gain valuable insights into their members’ needs and preferences. This information can be used to personalize offerings, provide targeted financial advice, and proactively address potential issues.
Additionally, credit unions can collaborate with fintech startups and other industry players to foster innovation and develop more member-centric solutions. By forging strategic partnerships, credit unions can tap into the expertise and resources of these companies, enabling them to stay at the forefront of digital transformation.
https://www.cutimes.com/2023/09/29/credit-unions-can-lead-the-era-of-digital-disruption/
LOQUAT, a banking-as-a-service (BaaS) platform, can help the diverse needs of customers, allowing credit unions, banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today: https://loquatinc.io/demo/
Middle market economic sentiment remains elevated
Middle market businesses are bullish about the future for their companies and the economy. They are planning to put money behind that optimism, adding new employees and expanding their infrastructure. However, a tight labor market and credit restrictions could dampen those plans. Policymakers can help by expanding the workforce and by ensuring that new regulations don’t limit access to credit.
Seventy percent of Middle Market Business respondents expect revenue to rise over the next six months, while 68% anticipate an improvement in net earnings over the same period.
Should these trends hold, they will provide more evidence that the American economy will muddle though and avoid a recession.
https://rsmus.com/middle-market/mmbi.html
LOQUAT Inc.’s modern data architecture can help financial institutions manage large volumes of data while improving the customer experience and profitability.
Learn HOW LOQUAT Inc. can help to make financial institutions more #innovative and #successful: https://loquatinc.io/
Feel Good Sunday: companies driving social good in 2023
Fast Company recently released its annual list of the “Most Innovative Companies for Social Good” in 2023, a list of organizations that are making a positive impact on society through their innovative approaches and solutions.
The companies featured on this list are driving change in various sectors, including healthcare, education, sustainability, and technology.
In the education sector, several companies are reimagining traditional learning methods by incorporating gamification, virtual reality, and personalized learning platforms. These advancements are making education more engaging, accessible, and inclusive for learners of all ages and backgrounds.
Not surprisingly, many companies on the list are dedicated to sustainability and are actively working towards creating a greener future. They are developing innovative solutions to combat climate change, reduce waste, and promote renewable energy sources.
This list of companies serve as inspiring examples of how businesses can drive positive change and make a meaningful difference in the world.
https://www.fastcompany.com/90849070/most-innovative-companies-social-good-2023
Curious Saturday: are we the last generation — or the 1st sustainable one?
In this TED Talk, Hannah Ritchie explores the pressing question of whether we are the last generation to witness the Earth’s beauty and resources or the first generation to build a sustainable future. She highlights the urgent need for action to address global challenges such as climate change, deforestation, and inequality.
Ritchie concludes by emphasizing the importance of collective action and individual responsibility. She urges us to use our voices, vote for sustainable policies, and make conscious choices in our daily lives. By doing so, she believes we can be the first sustainable generation.
Have a listen:
https://www.ted.com/talks/hannah_ritchie_are_we_the_last_generation_or_the_first_sustainable_one
While Ritchie examines this large scale issue, the truth is “sustainability” gets thrown around a lot these days. But what does it actually mean for humanity to be sustainable? When you look at how much the global population has grown, the number of areas sustainability ties into (consumption, recycling, batteries, pollution, etc.), it’s all relative.
Success Story: Georgia’s Credit Union boosts audit efficiency by 66%
Credit unions are constantly seeking ways to improve their audit processes and increase efficiency. Georgia’s Own Credit Union recently achieved a significant milestone by increasing their audit throughput by 66%. This impressive improvement was made possible through the implementation of innovative technologies and strategic process enhancements.
By leveraging advanced auditing software and automation tools, the credit union was able to streamline their audit procedures and reduce manual efforts. This not only saved time but also minimized the risk of errors and improved accuracy. Additionally, the credit union implemented a centralized data management system that allowed for easy access and retrieval of audit-related information.
Furthermore, the credit union invested in employee training and development programs to ensure that their staff members were equipped with the necessary skills to effectively carry out audits. This investment in human capital played a crucial role in achieving the increased audit throughput.
Overall, Georgia’s Own Credit Union’ success story serves as an inspiration for other financial institutions looking to optimize their audit processes. By embracing technology, implementing process improvements, and investing in employee development, credit unions can enhance their audit capabilities and drive greater efficiency.
LOQUAT Inc.’s modern data architecture can help financial institutions manage large volumes of data while improving the customer experience and profitability.
Learn HOW LOQUAT Inc. can help to make financial institutions more #innovative and #successful: https://loquatinc.io/
The potential of data — the new game in financial planning and analysis
“FP&A (financial planning and analysis) used to hold all the cards; they had all the data at their fingertips. Nowadays, valuable data resides across the business. It’s a battle to find out who has the best data, much less what this data is. Otherwise, a vacuum will develop that smart executives will fill up with their own data. The CFO has to be on top of information flow at all times.”
– Mark Partin, CFO of BlackLine
Level up your business with tech transformation
In today’s fast-paced world, technology is the key to staying ahead. But who are the true leaders in this digital revolution? Look no further than the tech-savvy experts who are shaping the future of business.
Inside PwC’s Pulse Survey on Technology Leaders, this report unveils the secrets of top-performing companies that have successfully reinvented themselves through technology.
From AI and automation to cybersecurity and cloud computing, this survey provides insights into leveraging cutting-edge technologies and adapting to changing market dynamics.
https://www.pwc.com/us/en/library/pulse-survey/business-reinvention/technology-leaders.html
Today’s trends require financial institutions to invest in digital transformation initiatives, optimize their products and services, and cooperate with other players in the ecosystem to serve customers better. Loquat platform uses AI and ML technologies to remove biases that exist within the financial industry.
Learn more how at: https://loquatinc.io/financial-institutions/
What does open banking mean for the financial industry?
Open banking is changing the financial industry by allowing customers to securely share their financial data with third-party providers through application programming interfaces (APIs). This allows customers to access a wide range of innovative financial products and services, ultimately leading to a more competitive and customer-centric banking landscape.
In the US, open banking is gaining momentum, driven by regulatory initiatives such as the Consumer Financial Protection Bureau’s (CFPB) proposed rule on consumer access to financial records. This rule aims to establish clear guidelines for financial institutions to provide consumers with secure and convenient access to their financial data.
US banks must proactively prepare for this transformative shift. They need to invest in robust API infrastructure, ensuring seamless connectivity with third-party providers while maintaining the highest standards of security and data privacy. Additionally, banks should prioritize customer education and transparency, clearly communicating the benefits and risks associated with open banking to build trust and encourage adoption.
In order to unlock new opportunities, banks can collaborate with fintech startups, offer personalized financial solutions, and improve the overall customer experience.
https://www.forrester.com/blogs/us-banks-must-get-ready-for-open-banking-now/
Banks must act now and drive their strategies for transformation, remembering to think positively and proactively about it as an avenue to compete. Loquat, an end-to-end-platform, allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
AI in Finance: Overcoming Hurdles for Transformation
Generative AI holds the potential to help financial services firms re-imagine their entire businesses around the needs and desires of their customers.
There are several areas where generative AI can help firms dramatically improve their operations.
First hurdle: Generative AI poses unique risks that traditional AI systems don’t have to contend with. One is defamation: programs inadvertently producing defamatory content. Another is hallucinations and opaque logic and processing. Generative AI also creates confidentiality concerns such as data leakage and copyright issues. To address these, financial institutions need to beef up their governance, data quality, talent functions and other dimensions.
Second hurdle: regulators. The potential perils of AI span the enterprise, including operations, technology, legal, compliance, process, data, technology and reputational risks. Banks need an enterprise-wide framework to holistically manage these risks. Government bodies have offered guidelines on best practices in the US, the EU, the UK and Hong Kong. When these guidelines turn into hard rules, we estimate fines for lack of governance could approach 6% of the industry’s global revenue.
Third hurdle: the technology itself. Today’s models lack desires and self-directed learning. They have extensive knowledge of the world, but don’t “know what they know,” and lack any sense of truth. As for reasoning, models’ abilities remain brittle and likely to fail unexpectedly, especially when asked to apply logic and knowledge in new contexts. And they don’t yet offer predictability, with unwanted outputs creeping into models frequently.
As a result, significant productivity improvements from generative AI will take time. Learning curves are steep, there is still insufficient scale of adoption, and model tweaks and redesigns have been slow. Firms must navigate a collision course: In one direction, ongoing advancements are likely to drive more widespread use as tools become integrated into our daily lives.
https://www.oliverwyman.com/our-expertise/insights/2023/sep/ai-can-transform-finance.html
At Loquat we believe in the transformative power of AI in finance.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Feel Good Sunday: Does more freedom at work mean more fulfillment?
In this TED Talk, Sarah Aviram delves into the concept of work freedom and its impact on employee fulfillment. Aviram, a renowned organizational psychologist, argues that traditional workplace structures often stifle creativity and limit employees’ sense of autonomy, leading to decreased job satisfaction and productivity. She emphasizes the need for organizations to embrace a more flexible and empowering approach to work, allowing employees the freedom to make decisions and explore their passions.
Aviram draws on various studies and real-life examples to illustrate how increased autonomy and trust in the workplace can lead to greater job satisfaction, innovation, and overall well-being. She also highlights the importance of aligning individual values and purpose with the organization’s mission to foster a sense of fulfillment and engagement among employees. Aviram’s talk challenges the traditional notion of work and offers insights into creating a more fulfilling and empowering work environment.
Have a listen:
https://www.ted.com/talks/sarah_aviram_does_more_freedom_at_work_mean_more_fulfillment_sep_2023
CEO’s role: shaping decisions, not making them
The CEO’s role is not about making every decision but rather shaping them. With countless decisions to be made daily, it would be impractical for the CEO to be involved in all of them. Instead, the CEO’s focus should be on enabling others to make decisions that they can support. While there are instances where the CEO must make final decisions, it is generally better to minimize their involvement.
To shape decisions, CEOs have various tools at their disposal. They can align the organization around a shared purpose, establish priorities and goals, develop a clear strategy, create an effective organizational structure, foster a strong culture, and implement a performance measurement and reward system.
However, CEOs cannot completely distance themselves from decision-making. They must choose where and how they personally engage in decision-making. By categorizing decisions based on their nature and the organizational level they pertain to, CEOs can determine their level of involvement. This includes designing the decision-making process, deciding when to participate directly, monitoring progress, and clarifying who will make each decision.
This perspective on the CEO’s role is based on years of experience teaching CEO workshops at Harvard Business School and advising CEOs as a board member and advisor.
https://hbr.org/2023/09/the-myth-of-the-ceo-as-ultimate-decision-maker?ab=HP-topics-image-15
Coco Gauff: The tennis sensation leading the way
Coco Gauff, the sensational tennis prodigy, continues to astound the world of sports with her awe-inspiring achievements. At a tender age of 17, she has already etched her name in the annals of tennis history while captivating the hearts of fans across the globe. Gauff’s unwavering determination and unparalleled talent have propelled her to go head-to-head with tennis giants like Serena Williams and Naomi Osaka, leaving spectators in awe.
Hailing from the sunny state of Florida, Gauff’s journey to stardom began at a young age, showcasing her extraordinary prowess on the court. However, it was her remarkable victory over Venus Williams at Wimbledon in 2019 that truly propelled her into the limelight, securing her place as the youngest player to triumph at the tournament since 1991. Since then, she has consistently proven herself as an unstoppable force.
But Gauff is more than just a tennis sensation; she’s a true inspiration. Using her platform to fight for social justice and equality, she fearlessly takes a stand against racial injustices. Her maturity and activism at such a young age have earned her immense respect from fans and fellow athletes alike.
“Yes, on the court, track, field or wherever they compete, women can be as challenging, ornery, competitive and controversial as men. That needs to be celebrated.” – https://www.nytimes.com/2023/09/17/sports/tennis/coco-gauff-women-sports-streeter.html?smid=nytcore-ios-share&referringSource=articleShare
LOQUAT Inc., a banking-as-a-service (BaaS) platform, can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
African American and Louisiana Credit Union League partner up
The African American Credit Union Coalition is teaming up with the Louisiana Credit Union League to foster talent and promote diversity within the industry. This partnership aims to address the underrepresentation of African Americans in leadership positions and create more opportunities for them to excel in the credit union sector.
The collaboration will involve various initiatives, including mentorship programs, leadership development training, and networking opportunities. These programs will not only provide guidance and support to aspiring African American professionals but also help them build valuable connections within the industry.
By working together, these credit union groups hope to break down barriers and create a more inclusive environment that reflects the diverse communities they serve. This partnership is a significant step towards achieving greater representation and equality in the credit union sector, which has historically faced challenges in promoting diversity.
The African American and Louisiana credit union groups are committed to nurturing talent, empowering individuals, and fostering a culture of inclusivity within the industry. Through this collaboration, they aim to inspire other credit unions and organizations to prioritize diversity and create opportunities for underrepresented groups.
At Loquat, we focus on diversity and inclusion, promoting fair labor practices, and giving back to the Earth.
LOQUAT Inc., a banking-as-a-service (BaaS) platform, can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
The customer journey needs to continuously adapt and innovate
The digital age has revolutionized the banking industry, transforming the way customers perceive and interact with financial institutions. In this era, customer value has become a crucial factor in determining the success of banks.
In the digital age, customer value encompasses various aspects. It goes beyond traditional banking services and encompasses personalized experiences, convenience, and seamless integration of digital platforms. Banks must adapt to the changing needs and expectations of customers by leveraging technology to enhance their offerings.
BCG’s report highlights the importance of data analytics in understanding customer behavior and preferences. By harnessing the power of data, banks can gain valuable insights into customer needs, enabling them to tailor their products and services accordingly. This data-driven approach allows banks to create personalized experiences, build stronger customer relationships, and ultimately drive customer loyalty.
Moreover, the report emphasizes the significance of agility and innovation in the digital age. Banks need to continuously innovate and adapt to stay relevant in a rapidly evolving landscape. This includes embracing emerging technologies such as artificial intelligence, machine learning, and blockchain to streamline processes, enhance security, and deliver innovative solutions to customers.
https://www.bcg.com/publications/2022/customer-value-and-banking-in-the-digital-age
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Learn how LOQUAT Inc. can help you: https://loquatinc.io/about/
BCG Global Payments Report: urgent action required by payment leaders
Financial institutions must modernize their technologies promptly for long-term advantage. Key highlights:
- Total payments revenues: $1.6 trillion
- Expected annual revenue growth rate until 2027: 6.2%
- Projected growth rate for transaction revenue: 7.1%
- Projected growth rate for non-transaction revenue: 5.7%
- Factors causing slower revenue growth: changes in retail payments mix and macroeconomic factors
- Payments-focused fintechs contribute: $100 billion
- Over 90% of central banks actively experimenting with digital currencies; operational in 5-10 years
- Technological advancements and GenAI transforming payments industry
- Regulatory authorities increasing scrutiny on risk management and compliance practices
- M&A focus shifting towards capability-led moves, alternative payment methods, software vendors, value-added services, and loyalty
- Leaders must refresh strategy, revisit partnerships, and modernize tech infrastructure to navigate disruption and preserve shareholder value.
https://www.bcg.com/publications/2023/bcg-global-payments-report-2023
LOQUAT Inc., a banking-as-a-service (BaaS) platform, can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
Calling all bankers: Your voice matters in regulatory proposals
Federal Reserve Governor Michelle Bowman recently urged bankers to actively participate in the regulatory process by providing feedback and comments on proposed regulations. Speaking at a conference, Bowman emphasized the importance of industry input in shaping effective policies that balance safety and soundness with innovation and economic growth.
Bowman highlighted that the regulatory process is not just an exercise in compliance but an opportunity for banks to share their expertise and insights. She encouraged bankers to engage constructively with regulators, offering specific suggestions and data-driven analysis to support their viewpoints. This engagement, according to Bowman, can help regulators better understand the potential impact of proposed rules on banks of different sizes and business models.
The governor also stressed the need for banks to be proactive in identifying potential regulatory challenges and proposing solutions. She emphasized that regulators value the industry’s perspective and rely on it to make informed decisions that foster a resilient and efficient financial system.
Bowman’s call to action comes at a time when the banking industry is facing a multitude of regulatory changes, including potential reforms to capital requirements, stress testing, and anti-money laundering rules. By actively participating in the rulemaking process, banks can help shape regulations that are both effective and tailored to their unique needs and circumstances.
https://www.americanbanker.com/news/feds-bowman-urges-bankers-to-comment-on-regulatory-proposals
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Learn how LOQUAT Inc. can help you with your transformation: https://loquatinc.io/about/
Feel Good Sunday: Same Berns philosophy for a happy life
Born with a rare genetic disorder called progeria, Sam Berns knew he’d be facing more obstacles in life than most. This didn’t stop him from taking charge of his own happiness. In this moving and inspirational talk, Berns lays out the three principles of the personal philosophy that allowed him to do so.
Curious Saturday: How to hack your brain when you’re in pain
In this TED Talk, Amy Baxter, researcher and physician, delves into the fascinating world of pain management and introduces us to her innovative device, Buzzy.
Buzzy is a handheld device that uses a combination of cold and vibration to alleviate pain. Amy Baxter explains how this unique approach can help disrupt the pain signals being sent to the brain, providing relief for various types of discomfort, including needle pain, chronic pain, and even migraines. She goes on to discuss the science behind this technique, highlighting the gate control theory of pain and the role of distraction in pain management.
Amy not only provides valuable insights into pain management but also encourages us to think outside the box when it comes to finding solutions for common problems. It serves as a reminder that innovation and curiosity can lead to groundbreaking discoveries that have the potential to change lives.
To think outside the box when seeking relief, have a listen: https://www.ted.com/talks/amy_baxter_how_to_hack_your_brain_when_you_re_in_pain
SEC climate risk disclosures
The Securities and Exchange Commission (SEC) has become increasingly focused on climate-related disclosures, recognizing the importance of environmental, social, and governance (ESG) factors in investment decision-making. In response to growing investor demand for transparency and accountability, the SEC has been actively working on updating its guidelines for climate-related disclosures.
The SEC’s efforts aim to provide investors with consistent, reliable, and comparable information on climate-related risks and opportunities. This includes encouraging companies to disclose their greenhouse gas emissions, climate-related risks, and strategies for mitigating these risks. The SEC is also considering the establishment of a mandatory reporting framework for climate-related disclosures.
Furthermore, the SEC has been engaging with stakeholders to gather insights and perspectives on climate-related disclosures. This includes seeking input from investors, companies, and other interested parties through public comment periods and roundtable discussions.
The SEC’s focus on climate-related disclosures aligns with global initiatives, such as the Task Force on Climate-related Financial Disclosures (TCFD), which promotes the disclosure of climate-related risks and opportunities in financial filings. By enhancing climate-related disclosures, the SEC aims to empower investors to make more informed decisions and promote sustainable investments.
https://www.pwc.com/us/en/services/esg/library/sec-climate-disclosures.html
LOQUAT Inc.’s modern data architecture can help #financialInstitutions manage large volumes of data while improving the customer experience and creating transparency.
Learn how LOQUAT Inc. can help to make financial institutions more #innovative and #successful: https://loquatinc.io/
“Risk is neutral. Without it, there’s no reward. We have to shift the finance team’s mindset from “no risk taking” to “taking the right risks”. Yes, you will fail from time to time, but you will also learn from it.” – Anders Liu-Lindberg, COO and Partner at the Business Partnering Institute
Consumers will share financial information if they perceive benefits
Consumers today are becoming increasingly aware of the importance of data privacy and are more cautious about sharing their personal information. However, a recent study conducted by CCG Insights reveals that consumers are still willing to share their data if they see value in doing so, particularly for the purpose of personalization.
The study found that 68% of consumers are willing to share their data with companies if it results in a more personalized experience. This indicates that consumers are willing to trade their data for customized recommendations, tailored offers, and personalized communication. However, it is important to note that there are limits to the extent to which consumers are willing to share their data.
The research suggests that consumers are more likely to share their data if they have control over what information is being collected and how it is being used. Additionally, transparency and trust are key factors in determining whether consumers are comfortable sharing their data. Companies that are transparent about their data collection and usage practices and prioritize data security are more likely to gain the trust of consumers.
In conclusion, while consumers are becoming more cautious about data privacy, they are still open to sharing their data if they perceive a benefit in terms of personalization.
At Loquat, we believe that data privacy is a fundamental human right and democratic societies have a duty to respect and protect this right through their respective institutions. We believe in the future of Web3 and its chance to democratize the online experience, and enable users to reclaim control of their data.
Learn more how at: https://loquatinc.io/financial-institutions/
Opportunity for Small and Medium sized businesses in Insurance
Small commercial insurance is a sector that holds immense potential for profitability and growth. Oliver Wyman, a leading global management consulting firm, has identified ten key opportunities within this space. One such opportunity lies in the niche markets that are often underserved by traditional insurers. By catering to the unique needs of these niche industries, insurers can tap into a previously untapped customer base and establish themselves as leaders in these specialized sectors.
Additionally, digital transformation presents a significant avenue for growth in small commercial insurance. Embracing technological advancements such as artificial intelligence and data analytics can streamline processes, enhance underwriting capabilities, and improve customer experience. Insurtech startups are already leveraging these technologies to disrupt the market, and traditional insurers must adapt to stay competitive.
Furthermore, the rise of the gig economy and the increasing number of small businesses present another promising opportunity. Insurers can develop tailored coverage options for gig workers and micro-entrepreneurs, providing them with the necessary protection against potential risks.
In summary, small commercial insurance offers numerous profitable opportunities for insurers. By targeting niche markets, embracing digital transformation, and catering to the evolving needs of the gig economy, insurers can position themselves for success in this dynamic sector.
https://www.oliverwyman.com/our-expertise/insights/2023/sep/small-size-commercial-insurance-10-profitable-opportunities.html
At Loquat Inc, we believe small businesses are the roots of a diverse society that drives innovation forward and there should be no barriers or limits to their growth.
Learn more: https://loquatinc.io/about/
Fed signals higher-for-longer rates with hikes almost finished
The Federal Reserve has recently indicated that it is nearing the end of its interest rate hikes, signaling a “higher for longer” approach to monetary policy. This decision comes as the central bank aims to support the economic recovery and address inflation concerns. The Fed’s move suggests that it will maintain interest rates at their current levels for an extended period, allowing for sustained economic growth and stability.
By adopting a more patient stance, the Federal Reserve aims to strike a balance between supporting the economy and preventing excessive inflation. The central bank has been gradually raising interest rates over the past couple of years to counter inflationary pressures and ensure that the economy does not overheat. However, with recent signs of moderating inflation and concerns about global economic growth, the Fed is now signaling a pause in its tightening cycle.
This decision has important implications for businesses and consumers alike. Lower interest rates can stimulate borrowing and investment, which can drive economic activity and job creation. Additionally, it can provide relief for consumers with variable-rate debt, such as mortgages and credit cards.
Overall, the Federal Reserve’s decision to halt interest rate hikes suggests a cautious approach to monetary policy, prioritizing sustained economic growth and stability while closely monitoring inflationary pressures and global economic conditions.
Feel Good Sunday: How to enter flow state
Flow state, also known as being “in the zone,” is a mental state of complete immersion and focus in an activity. It is characterized by a feeling of energized focus, full involvement, and enjoyment in the process rather than the outcome. Achieving flow state can lead to increased productivity, creativity, and overall well-being.
To enter flow state, it is important to choose activities that match our skills and interests. Engaging in activities that are too easy can lead to boredom, while activities that are too challenging can cause anxiety and frustration. Finding the right balance is key.
Creating a conducive environment can also help us enter flow state. Minimizing distractions, having a clear goal, and setting aside dedicated time for the activity can enhance our focus and concentration.
Additionally, being mindful and present in the moment can facilitate the experience of flow. By fully immersing ourselves in the activity and letting go of any worries or distractions, we can tap into our innate potential and experience the joy of flow.
In this TED Talk, explore what steps to take to increase your chances of finding flow. [Directed by Leah Putnam, narrated by Alexandra Panzer, music by Salil Bhayani, cAMP Studio]: https://www.ted.com/talks/ted_ed_how_to_enter_flow_state
The molecular love story that could help power the world
In her captivating TED Talk, Olivia Breese introduces us to the fascinating world of molecular love and its potential to revolutionize our energy sources. She begins by highlighting the urgency of finding sustainable alternatives to fossil fuels, given the environmental challenges we face today.
Breese then delves into the concept of molecular love, explaining how it involves manipulating the interactions between molecules to harness energy. She provides examples of how this phenomenon occurs naturally in living organisms, such as during photosynthesis, where sunlight is converted into chemical energy.
But what if we could harness this molecular love for our energy needs? Breese shares her groundbreaking research, where she and her team are exploring ways to recreate and enhance these molecular interactions in artificial systems. By doing so, they aim to develop efficient energy storage and conversion technologies that could potentially replace traditional batteries and fuel cells.
Furthermore, Breese emphasizes the importance of interdisciplinary collaboration in this field, as scientists, engineers, and chemists work together to unlock the full potential of molecular love. She also highlights the ethical considerations surrounding this technology, urging us to approach its development responsibly and with a focus on sustainability.
Have a listen:
https://www.ted.com/talks/olivia_breese_the_molecular_love_story_that_could_help_power_the_world
The new sustainability mandate
With growing concerns about climate change, resource depletion, and social inequality, companies are under increasing pressure to adopt sustainable practices.
Sustainability is no longer just a buzzword; it has become a strategic imperative. Businesses are recognizing that embracing sustainability is not only good for the planet but also for their bottom line. Consumers are demanding eco-friendly products and services, and investors are increasingly considering environmental, social, and governance (ESG) factors when making investment decisions.
To meet this new sustainability mandate, companies are implementing various initiatives. They are investing in renewable energy sources, reducing waste and carbon emissions, and implementing responsible supply chain practices. Additionally, businesses are focusing on diversity and inclusion, promoting fair labor practices, and giving back to the communities in which they operate.
The benefits of embracing sustainability are numerous. Not only does it help protect the environment and improve social conditions, but it also enhances brand reputation, fosters innovation, and drives long-term profitability. Moreover, sustainable businesses are better equipped to navigate regulatory changes and mitigate risks associated with climate-related events.
How is your business adopting sustainable practices and creating a positive impact?
SOURCE: https://strategybusiness.pwc.com/the-new-sustainability-mandate/p/1
“If you want the team to move in the same direction, you need to show them how the work they do every day translates into numbers and facts.”
– Camille Soulier, CFO at Germinal
Responsible GenAI Adoption in the Financial Services sector
The adoption of artificial intelligence (AI) and genetic algorithms (GenAI) in the financial services sector has been gaining momentum in recent years. These technologies offer immense potential to revolutionize various aspects of the industry, from customer service and risk management to fraud detection and trading strategies.
However, it is crucial to ensure responsible and ethical implementation of GenAI in order to mitigate potential risks and maximize the benefits. Financial institutions must prioritize transparency, fairness, and accountability in their AI systems, as well as comply with regulatory requirements and data privacy regulations.
To achieve responsible GenAI adoption, financial institutions should establish clear governance frameworks that outline the decision-making processes and responsibilities related to AI systems. This includes involving diverse stakeholders, such as data scientists, compliance officers, and legal experts, to ensure a holistic approach to AI implementation.
Additionally, continuous monitoring and auditing of AI systems are essential to identify and address any biases or unintended consequences. Regular assessments should be conducted to evaluate the accuracy, fairness, and robustness of AI models, and appropriate measures should be taken to rectify any issues that arise.
Furthermore, collaboration and knowledge sharing among financial institutions, regulators, and industry experts are crucial to establish best practices and guidelines.
https://www.ey.com/en_us/financial-services/responsible-genai-adoption-in-fs
As we explore and try to understand what AI solutions are, it is imperative to understand how it could be implemented in the Financial Institutions to drive performance improvements.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Google DeepMind co-founder calls for US to enforce AI standards, Financial Times reports
In a recent development, the co-founder of Google DeepMind has reportedly urged the United States to take decisive action in enforcing standards for artificial intelligence (AI).
The Financial Times sheds light on this call, highlighting the significance of regulating AI technologies. The co-founder’s plea comes at a time when AI is rapidly advancing and permeating various aspects of our lives. With its immense potential for both positive and negative impacts, it is crucial to establish a robust framework that ensures ethical and responsible AI practices.
By implementing clear standards, the United States can lead the way in shaping the future of AI, promoting innovation while safeguarding against potential risks. This call serves as a reminder that as AI continues to evolve, it is essential for governments and organizations to work together in establishing guidelines that prioritize the well-being and interests of society as a whole.
At Loquat we believe it is imperative to understand how AI can be implemented in Financial Institutions to drive performance improvements. Our platform uses AI and ML technologies to remove biases that exist within the financial industry.
Learn more how at: https://loquatinc.io/financial-institutions/
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
OECD SME and entrepreneurship outlook 2023
The OECD recently released its SME and Entrepreneurship Outlook report, shedding light on the current state of small and medium-sized enterprises (SMEs) and entrepreneurs around the world. This comprehensive study provides valuable insights into the challenges and opportunities faced by these crucial players in the global economy.
The report highlights the resilience of SMEs, which have proven to be key drivers of job creation and economic growth. However, it also emphasizes the need for policymakers to address the barriers that hinder SMEs’ full potential. These barriers include limited access to finance, skills shortages, and burdensome regulations.
Furthermore, the report underscores the importance of fostering innovation and digitalization in SMEs. By embracing new technologies and adopting digital strategies, SMEs can enhance their competitiveness and adapt to rapidly changing market conditions.
Ultimately, the SME and Entrepreneurship Outlook report serves as a call to action for governments, urging them to create an enabling environment that supports SMEs and entrepreneurs. By implementing targeted policies and providing adequate support, countries can unlock the full potential of SMEs and drive inclusive economic growth.
https://www.oecd.org/publications/oecd-sme-and-entrepreneurship-outlook-8d707502-en.htm
Loquat’s end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Feel Good Sunday: How to Nurture Curiosity
Curiosity is a fundamental human trait that drives learning, creativity, and personal growth. It ignites a sense of wonder and empowers us to explore the world around us. Nurturing curiosity is not only important for children, but also for individuals of all ages.
One way to foster curiosity is through the exploration of nature. Encouraging children to engage with their surroundings and discover the beauty of plants and animals can spark their curiosity and deepen their understanding of the world. For instance, introducing them to unique fruits like loquats can pique their interest and open up conversations about different cultures and ecosystems.
Another effective method is to nurture imagination. Providing children with open-ended toys and encouraging pretend play allows them to explore their creativity and develop problem-solving skills.
Motivation is also crucial in nurturing curiosity. Recognizing and celebrating a child’s efforts and achievements can encourage them to continue exploring and learning. This can be done through praise, rewards, or even small incentives, which can fuel their curiosity and drive to discover more.
How do you fuel your curiosity?
https://psyche.co/ideas/this-is-how-to-nurture-curiosity-in-children-and-yourself
Curious Saturday: The first-ever cargo ship powered by green fuel
In a groundbreaking development for the shipping industry, a Danish company has successfully launched the world’s first cargo ship powered by green fuel. Morten Bo Christiansen, the CEO of the company, recently gave an inspiring TED Talk, where he shared the remarkable journey of creating this innovative vessel.
The cargo ship, equipped with cutting-edge technology, runs on a sustainable fuel made from plant waste and residues. This groundbreaking initiative aims to significantly reduce carbon emissions and combat climate change, as traditional cargo ships are notorious for their heavy reliance on fossil fuels.
Christiansen highlighted the challenges faced during the ship’s development, including the need for extensive research, collaboration with scientists and engineers, and securing funding for the project. He emphasized the importance of thinking outside the box and taking risks to drive positive change in the shipping industry.
The successful launch of this green-powered cargo ship marks a significant milestone in the quest for sustainable transportation. It serves as a shining example of how innovation and determination can reshape entire industries and contribute to a greener future.
Have a listen to learn more: https://www.ted.com/talks/morten_bo_christiansen_the_first_ever_cargo_ship_powered_by_green_fuel
People continue to work from home: does it matter?
This article from the Financial Times highlights the ongoing prevalence of remote work. It emphasizes that even as restrictions ease and businesses gradually reopen, a significant number of individuals continue to work remotely. This shift has not only affected employees but has also prompted organizations to reevaluate their long-term strategies and consider the potential benefits of maintaining remote work options.
The article further explores the challenges and opportunities associated with remote work, discussing the impact on productivity, employee well-being, and the future of office spaces. It also delves into the potential implications for cities and urban planning, as remote work may lead to changes in commuting patterns and demand for office space.
Overall, the article underscores the enduring nature of remote work and its potential to reshape traditional work environments in the post-pandemic era.
Cybersecurity: A common threat, but SMBs and large enterprises require different responses
Small and medium-sized businesses (SMBs) and large enterprises are both facing a common threat in the form of cyber attacks. However, they often require separate response routes to effectively mitigate these risks. The increasing digitization of business operations has made organizations of all sizes vulnerable to cyber threats, which can result in data breaches, financial losses, and reputational damage.
SMBs, due to their limited resources, may struggle to invest in robust cybersecurity measures. This makes them attractive targets for cybercriminals looking for easy prey. Therefore, it is crucial for SMBs to prioritize cybersecurity by implementing basic measures like strong passwords, regular software updates, and employee training on recognizing phishing attempts.
On the other hand, large enterprises face a different set of challenges. They often possess a larger attack surface due to their complex systems and networks. This requires a comprehensive cybersecurity strategy that includes advanced threat detection systems, network segmentation, and incident response plans. Large enterprises should also consider investing in cybersecurity insurance to mitigate potential financial losses.
In conclusion, while SMBs and large enterprises share the common threat of cyber attacks, they need tailored approaches to address their unique vulnerabilities and protect their digital assets. Prioritizing cybersecurity and adopting appropriate measures is essential for businesses of all sizes.
Loquat platform is built on three pillars: Data Privacy and Information Security, Transparency, and Simplicity. We use AI and ML technologies to remove biases that exist within the financial industry.
To learn more about Loquat, visit: www.loquatinc.io
AI Interest in Financial Services Hits Upswing
The financial services industry is experiencing a significant surge in interest and adoption of artificial intelligence (AI) technology. According to recent research, the use of AI in financial services has reached new heights, with companies seeking to leverage its capabilities for improved efficiency and decision-making.
The incorporation of AI into various aspects of financial services has proven to be highly beneficial. AI-powered algorithms can analyze vast amounts of data in real-time, enabling businesses to make more accurate predictions and identify trends. This technology has the potential to revolutionize risk management, fraud detection, and customer service in the financial sector.
Furthermore, AI has the capacity to automate repetitive tasks, freeing up valuable time for employees to focus on more complex and strategic endeavors. It also has the potential to enhance customer experiences by providing personalized recommendations and faster response times.
As the interest in AI continues to grow, financial institutions are actively exploring ways to integrate this technology into their operations. The future of finance is undoubtedly being shaped by the transformative power of AI.
https://www.ccginsights.com/research-snapshot/ai-interest-in-financial-services-hits-major-upswing/
Loquat’s platform uses AI and ML technologies to remove biases that exist within the financial industry.
Learn more how at: https://loquatinc.io/financial-institutions/
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Bank of America leader shares why Miami small businesses are bullish on revenue growth
In a recent interview with the Bank of America regional leader, it was revealed that Miami small businesses are experiencing a significant surge in revenue growth. This positive trend can be attributed to various factors, including the transformation of the local business landscape and the adoption of digital banking solutions.
The article highlights the impact of community banks, credit unions, fintech companies, and traditional banks on the growth of small businesses in Miami. These financial institutions have played a crucial role in providing access to credit, offering innovative financial products, and fostering a supportive environment for entrepreneurs.
Moreover, the rise of Banking-as-a-Service (BaaS) and technological advancements in the financial sector have contributed to the success of small businesses in Miami. The integration of tech solutions has allowed entrepreneurs to streamline their operations, enhance customer experience, and expand their reach.
The Bank of America regional leader further emphasized the importance of strong leadership and financial expertise in driving small business growth. By providing guidance, resources, and personalized financial solutions, banks have become valuable partners for Miami’s small business community.
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Learn how LOQUAT Inc. can help you: https://loquatinc.io/about/
What do SMBs want in a Small Business Bank Account?
In today’s competitive business landscape, small and medium-sized businesses (SMBs) are increasingly recognizing the importance of choosing the right bank account to support their financial needs. While traditional banks have long been the go-to option, the rise of digital banking has opened up new possibilities and expectations for SMBs.
As noted in this Forbes article, SMBs are looking for banks that understand their unique challenges and provide tailored solutions. This includes personalized customer support, specialized business lending options, and tools to help them track and analyze their financial performance.seeking a bank account that offers convenience, flexibility, and cost-effectiveness.
SMBs also want the ability to easily manage their finances online or through mobile apps, with features like real-time transaction notifications and easy integration with accounting software.
In conclusion, SMBs are demanding more from their bank accounts. They want a banking partner that not only offers basic services but also understands their specific needs and provides innovative solutions to help them thrive in today’s competitive market.
https://www.forbes.com/sites/ronshevlin/2023/08/21/what-do-smbs-want-in-a-small-business-bank-account/?sh=52e4cbd4d965
Loquat, an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners. The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Feel Good Sunday: Morning routines that can set you up for joy and productivity
CEOs often share their morning rituals, and exercise seems to be a common thread. Research indicates that engaging in morning exercise enhances mood, cognitive function, and triggers the release of those delightful endorphins, known as “feel-good” hormones.
Of course, breakfast cannot be overlooked when discussing morning routines. Some prefer to eat immediately upon waking, while others opt for a beverage-only start. Did you know that Ludwig van Beethoven brewed his coffee with precisely 60 beans?
There’s no one-size-fits-all solution here. The key is to find the combination of morning activities that bring you the most joy and productivity. And remember, your routine doesn’t have to be set in stone. If you find yourself lacking energy, a simple tweak can make all the difference.
If you’re seeking inspiration and a peek into the mindset of influential figures, I highly recommend diving into this article. It explores the strategies employed by these successful individuals, offering valuable insights to optimize your mornings and set yourself up for triumph.
The “adjacent possible” — and how it explains human innovation
Check out this captivating TED Talk by theoretical biologist Stuart Kauffman. Kauffman explains that the “adjacent possible” refers to the set of all possible next steps or potential innovations that are achievable from the current state of things. It encompasses the ideas, technologies, and possibilities that are just within reach, waiting to be discovered or created.
According to Kauffman, innovation occurs when individuals or societies explore the adjacent possible by combining existing elements in new ways. By constantly pushing the boundaries of what is currently possible, humans expand the adjacent possible and create new opportunities for further innovation. This concept emphasizes the interconnectedness of ideas and the importance of building upon existing knowledge and resources.
Have a listen to learn how to unlock new realms of innovation: https://www.ted.com/talks/stuart_kauffman_the_adjacent_possible_and_how_it_explains_human_innovation/transcript
American Mothers are Re-entering the Workforce at High Rates
According to a recent article in the Financial Times, there has been a significant increase in the number of American mothers re-entering the workforce.
The article highlights that many mothers are choosing to return to work due to financial pressures brought on by the pandemic. With job losses and reduced income, families are facing increased financial strain, leading mothers to seek employment opportunities to support their households.
Additionally, the article mentions that some mothers are motivated to return to work to regain a sense of personal fulfillment and professional identity. Many women have put their careers on hold to prioritize childcare and family responsibilities, but are now eager to re-engage in the workforce.
Overall, the increasing number of American mothers re-entering the workforce reflects the resilience and determination of women in the face of challenging circumstances.
The Financial Impact of Diversity and Culture
Diversity and culture, two powerful forces that can significantly impact a company’s financial success. It’s not just about ticking boxes and meeting quotas; it’s about embracing the unique perspectives and experiences that individuals from diverse backgrounds bring to the table.
Research has shown that diverse teams are more innovative and creative, leading to better problem-solving and decision-making. By fostering an inclusive culture where everyone feels valued and respected, companies can attract and retain top talent from a wide range of backgrounds.
This not only enhances the overall performance of the organization but also opens up new markets and opportunities. It turns out diversity is not only the right thing to do; it’s the smart thing to do.
SOURCE: https://impaxam.com/insights-and-news/blog/the-financial-impact-of-diversity-and-culture/
More than a banking-as-a-service (BaaS) platform, LOQUAT Inc. is dedicated to fostering an inclusive and collaborative environment to inspire positive action and drive meaningful change for all.
LOQUAT Inc. can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
Deloitte’s study on Banking-as-a-Service
As customers continue to feel dissatisfied, Banking-as-a-Service (BaaS) offerings are rapidly gaining ground — here are a few key stats on the state of the market:
- 30% of customers are considering switching banks
- 42% of customers have used a Buy Now, Pay Later service
- 2x ROAA for banks focused on BaaS offerings
Humans: The Secret Ingredient for Retail Banking Success
In today’s digital age, it may seem that technology is the be-all and end-all of retail banking. However, we firmly believe that humans are the secret ingredient for success in this industry. While technology has undoubtedly transformed the way we bank, it is the human touch that truly sets banks apart.
Customers crave personalized experiences and genuine connections. They want to be understood, valued, and supported in their financial journey. This is where human bankers excel. They possess the empathy, intuition, and interpersonal skills necessary to build trust and foster long-term relationships.
Moreover, humans bring a level of expertise and problem-solving ability that technology cannot replicate. They can navigate complex financial situations, provide tailored advice, and address unique customer needs. By combining the power of technology with the human touch, banks can deliver exceptional service and create a competitive edge.
In conclusion, while technology plays a vital role, it is the human element that truly drives retail banking success. Investing in skilled and empathetic bankers will undoubtedly pay off in the long run, ensuring satisfied customers and a thriving industry.
Loquat, an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners. The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Deloitte’s POV on The future of Financial Services
Deloitte recently published an insightful article discussing the 7 forces that are shaping the future of the financial services industry. This thought-provoking piece provides a comprehensive overview of the key trends and challenges that financial institutions must navigate in order to stay relevant in the ever-evolving landscape.
Deloitte’s analysis sheds light on the increasing influence of technology and digitalization, emphasizing the need for financial institutions to embrace innovation and adapt to changing consumer preferences. The article also highlights the importance of regulatory compliance and risk management in an era of heightened scrutiny.
Will the industry rethink its traditional business models and explore new opportunities for growth? Anyone interested in understanding the forces that will shape the future of financial services won’t want to miss this read:
https://www2.deloitte.com/us/en/pages/financial-services/articles/future-of-financial-services.html
Feel Good Sunday: The Secret to a Happy Life
Check out this captivating TED Talk by psychiatrist Robert Waldinger, who leads the Harvard Study of Adult Development. According to Waldinger, the happiest and healthiest people are those who have warm relationship. In this TED Talk, he delves into how relationships matter in our lives, how they affect our health, what kinds of relationships give us this big benefit in happiness, and which tools you can start using today to make your relationship stronger.
When asking people, when they got to be in their 80s, to look back on their lives and to tell us what they were proudest of, almost everybody said something about their relationships. They didn’t say, “I made a lot of money” or “I won some big awards.” They said, “I was a good mentor,” “I was a good friend,” “I raised healthy kids,” “I was a good partner.” And so what we find is that what seems to mean the most to people when they get to the end of their lives is the strength and the warmth of their connections to others.
If you are curious about how to approach life and your own pursuit of happiness, have a listen:
https://www.ted.com/talks/robert_waldinger_the_secret_to_a_happy_life_lessons_from_8_decades_of_research?language=en
Curious Saturday: What is your version of diversity?
At Loquat Inc, we believe that diversity encompasses a mix of women, men, backgrounds, cultures and mindsets. This combination lends itself to an incredible combined culture. We are driven by social responsibility, transparency, and an inclusive approach. But that’s not all. We also believe that communication is the key to implementing transformative change.
Loquat helps small business owners of different ethnic and cultural backgrounds, sexual orientations and gender identities put their dreams into action.
More than a banking-as-a-service (BaaS) platform, we are dedicated to fostering an inclusive and collaborative environment to inspire positive action and drive meaningful change for all.
LOQUAT Inc. can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
Banking for People with Disabilities
Accessible banking is a critical aspect of ensuring equal opportunities and financial inclusion for people with disabilities. While significant progress has been made in recent years, there is still a long way to go in terms of making banking services truly accessible for all.
One key area of focus is physical accessibility. For example, teller counters and ATMs should be designed at a height that can be easily reached by individuals using wheelchairs.
Moreover, digital accessibility is becoming increasingly important as more banking services are being offered online. Websites and mobile applications should be designed with accessibility in mind, including features such as screen readers, magnification options, and compatibility with assistive technologies.
Training staff members on disability awareness and inclusive customer service is another crucial aspect. Bank employees should be knowledgeable about the specific needs of customers with disabilities and be able to provide assistance and support when required.
Overall, accessible banking is not just a legal requirement but also a moral imperative. By ensuring that banking services are accessible to all, we can empower individuals with disabilities to manage their finances independently and participate fully in the economy.
“Messi’s” takes time to get!
The journey of David Beckham and his Inter Miami project has been a true testament to perseverance. It took him 9 years to get to his first Inter Miami Trophy.
This trophy is a testament to David Beckham’s unwavering commitment and the immense effort he has put into making his vision a reality.
Entrepreneur Myth: If you build it, they will come
Have you ever heard the phrase “if you build it, they will come”? This is a myth.
Being an entrepreneur has many trials and tribulations before success. Research asserts that more than 21% percent of startups fail the first year, 30% in the second year, 50% in the fifth year, and 70% in their 10th year. Many have built their dream for years, invested their time, energy and life savings, believing that their sponsors will notice their hard work and come for them to no avail.
Most people notice the success of companies like Google and Facebook. People just see a free website that people flock to and this only gives a false sense of confidence to entrepreneurs who think building something and putting it out in the market is all you need to do to attract users. They fail to realize that Google floundered for years before getting noticed. Facebook was not very popular at Harvard University — and took several iterations to gain traction. The point is — we only see the tip of the success iceberg.
The real journey of Entrepreneurship often means overcoming struggles, iterating your business plan, and having a steadfast determination to succeed.
Credit Union Members Maintained Spending in July
Credit union members demonstrated responsible spending habits in the month of July, according to recent data. Despite the ongoing economic uncertainties, individuals showed commendable restraint and maintained their card spending levels. This is a positive indicator of financial prudence and responsible money management within the credit union community.
The data suggests that credit union members are making conscious decisions to prioritize their financial well-being amidst the current economic climate. By not exceeding their usual spending patterns, individuals are displaying a commendable level of fiscal discipline. This behavior is not only beneficial for their personal financial stability but also contributes to the overall strength and resilience of the credit union sector.
https://www.cutimes.com/2023/08/18/cu-members-maintain-card-spending-in-july/
Loquat is a banking-as-a-service (BaaS) platform, which allows FIs to open small business checking account, get a virtual card and secure a loan within minutes. Learn more how LOQUAT Inc. is the right partner: https://loquatinc.io/financial-institutions/
FedNow Presents Opportunity of Instant Payments for Credit Unions
The launch of FedNow by the Federal Reserve has brought instant payments into the mainstream. This service allows payment transfers to be available for use by the receiving party within seconds, making it a crucial consideration for credit unions.
Among 57 early adopters of the FedNow Service, six credit unions and seven corporate credit unions have already embraced this technology. To facilitate the processing of FedNow instant payments, several service providers familiar to the credit union movement have stepped up, including Fiserv, FIS, ACI Worldwide Corp., Alacriti, Jack Henry, and Juniper Payments (a PSCU Company). This diverse range of vendors ensures that credit unions have access to a variety of options when it comes to implementing FedNow.
As the adoption of instant payments continues to grow, credit unions must stay informed and prepared to leverage this technology to meet the evolving needs of their members.
Besides the initial adopters, the Federal Reserve continues to work with and onboard financial institutions and service providers planning to join later in 2023 and beyond, as the initial step to growing a robust network aimed at reaching all 10,000 U.S. financial institutions.
Curious to see the early adopters? Here’s the list:
https://www.frbservices.org/financial-services/fednow/certified-organizations
Loquat, an innovative financial technology company, allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Credit Unions Step Up to the Plate for Small Office Loans
Banks are growing more hesitant when it comes to office lending. However, credit unions are taking a different approach by seeing this as a chance to make a positive impact.
Wells Fargo recently raised concerns about office lending, as evidenced by its decision to increase its allowance for credit losses in commercial real estate to $3.6 billion in the second quarter. This represents a significant 64% rise compared to the previous year. In contrast, credit unions are stepping up to fill the void left by retreating banks. Recognizing the importance of supporting small businesses, credit unions are offering innovative solutions to help office owners secure the financing they need.
By leveraging their community-focused approach, credit unions are able to provide personalized service and flexible terms that cater to the unique needs of small office owners. They understand that these businesses are the backbone of local economies and play a vital role in job creation.
Moreover, credit unions are not just providing loans; they are actively partnering with small office owners to ensure their success. Through financial education programs and business support services, credit unions are empowering these entrepreneurs to thrive in a challenging economic landscape.
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Learn how LOQUAT Inc. can help you with your transformation: https://loquatinc.io/about/
Feel Good Sunday: In the age of AI art, what can originality look like?
Check out this captivating TED Talk by Eileen Isagon Skyers, an expert on digital art and culture. According to Skyers, AI can stretch the scope of human imagination and help create worlds we could never design alone.
From an AI model trained on classic works to generate a seemingly infinite stream of portraits to a neural network that envisions otherworldly life forms in extensive detail, media art curator Eileen Isagon Skyers showcases mind-bending art that embraces our increasingly technological future.
Have a listen: https://www.ted.com/talks/eileen_isagon_skyers_in_the_age_of_ai_art_what_can_originality_look_like?language=en
Request a demo to see how LOQUAT Inc. is leveraging AI: https://loquatinc.io/demo/
Curious Saturday: The Brain Changing Effects of Exercise
According to Neuroscientist, Wendy Suzuki, exercising not only boosts your mood and memory, but it protects your brain against neurodegenerative diseases.
“As a curious neuroscientist, I went to the literature to see what I could find about what we knew about the effects of exercise on the brain. And what I found was an exciting and a growing literature that was essentially showing everything that I noticed in myself. Better mood, better energy, better memory, better attention. And the more I learned, the more I realized how powerful exercise was. Now, after several years of really focusing on this question, I’ve come to the following conclusion: that exercise is the most transformative thing that you can do for your brain today.”
https://www.ted.com/talks/wendy_suzuki_the_brain_changing_benefits_of_exercise/
Women disproportionately affected by tech layoffs
According to a recent report, the tech industry is currently experiencing a wave of layoffs, and unfortunately, women are being disproportionately affected. This trend highlights the ongoing gender disparity within the sector.
The impact of these layoffs on women goes beyond just job loss. It also exacerbates the existing gender pay gap and hampers efforts towards achieving gender equality in the tech industry. Furthermore, the loss of female talent in the sector hinders diversity and inclusion initiatives, which have been proven to enhance innovation and drive better business outcomes.
In conclusion, the disproportionate impact of tech layoffs on women is a concerning issue that highlights the need for greater gender equality and inclusivity in the industry.
SOURCE: https://www.axios.com/2023/07/06/tech-layoffs-2023-female-workers
Federal Reserve Impacts on Economic Activity
In July, the Federal Open Market Committee (FOMC) raised the target range for the federal funds rate by 25 basis points and made the decision to continue reducing the Fed’s securities holdings, both with the intention of bringing down inflation.
The Fed has raised its benchmark rate for the 11th time in 17 months in its ongoing drive to curb inflation. Gain further insight into the financial outlook here:
https://www.federalreserve.gov/newsevents/speech/bowman20230807a.htm
Fintech by the Numbers: Emerging Trends
There is a common misconception that digital financial services are used primarily by wealthy or tech-savvy consumers, but many industry findings reveal that fintech continues to be adopted across various demographic groups worldwide.
https://www.pwc.com/us/en/industries/financial-services/library/banking-industry-trends.html
Realizing the Digital Promise: Transformation in an Ecosystem
In the pursuit of digital transformation, organizations need to embrace the power of ecosystems. By participating in an ecosystem, businesses can leverage the strengths of others to drive innovation, enhance customer experiences, and achieve sustainable growth.
However, successfully navigating this digital ecosystem requires a strategic approach. Organizations must identify their core competencies and determine how they can contribute to the ecosystem. They need to establish strong partnerships and develop a collaborative mindset to effectively share resources and knowledge.
To fully realize the potential of digital transformation, organizations must also prioritize data and analytics. By harnessing the power of data, businesses can gain valuable insights, make informed decisions, and create personalized experiences for their customers.
How can organizations be agile and adaptable in this rapidly evolving digital landscape? They should continuously monitor market trends, examine emerging technologies, and be willing to experiment and learn from failures.
Ultimately, by adopting the digital ecosystem, organizations can seize new opportunities, drive innovation, and create sustainable value for all stakeholders involved.
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Learn how LOQUAT Inc. can help you with your digital transformation: https://loquatinc.io/about/
Uncovering Value in Embedded Finance
Embedded finance, previously limited to services like rental car insurance, has emerged as a transformative force in the financial sector, driving innovation and growth. It now encompasses diverse applications such as seamless payments in online stores, personalized insurance, instant credit options, and pay-per-use services. As non-financial platforms integrate banking tools, the embedded finance market is set to expand from $54.3 billion in 2022 to $248.4 billion by 2032.
This rapid evolution presents an opportunity for established players to reshape their business models for renewed growth. Neo-banks, agile insurers, and Buy Now, Pay Later (BNPL) schemes are disrupting the industry, with BNPL transactions expected to reach $596.7 billion by 2026.
Fintech enablers, particularly those offering APIs, are facilitating intricate communication between financial and non-financial entities. Meanwhile, major tech platforms are leveraging their reach and financial prowess to drive extensive integration, extending customer ecosystems through digital identity and payment wallets. This is projected to exceed 5.2 billion global wallets in 2026, up from 3.4 billion.
In this dynamic landscape, some ambitious platforms, including select fintech companies, are actively pursuing and obtaining banking licenses, marking a noteworthy shift in the financial industry.
Feel Good Sunday: Rory Sutherland: Insights from an Advertising Guru
Check out this captivating TED Talk by Rory Sutherland, where he shares his unconventional perspective on the power of advertising. According to Sutherland, advertising doesn’t just sell products, it alters our perception of their value. He challenges the notion that only tangible value matters and suggests that perceived value can be equally fulfilling. This shift in mindset has profound implications for how we approach life.
Let’s face it, advertising often gets a bad rap for creating intangible value. But think about it: if we aspire to live in a world with fewer material possessions, we have two choices. We can settle for a poorer existence, which most people wouldn’t prefer. Alternatively, we can embrace the idea that intangible value holds a significant place in our lives. In fact, intangible value can be a remarkable substitute for consuming limited resources or labor.
https://www.ted.com/talks/rory_sutherland_life_lessons_from_an_ad_man
Curious Saturday: Blindness isn’t a tragic binary — it’s a rich spectrum
In his thought-provoking TED Talk, Andrew Leland delves deeper into the concept of blindness, challenging the common perception of it as a binary condition. He shares his personal experience of gradually losing his vision and highlights the paradoxical truth that blindness is not simply a black-and-white distinction.
Leland emphasizes that while blindness is often seen as a clear-cut state, it is, in fact, a diverse spectrum. Within this spectrum, individuals experience varying degrees and styles of blindness. For instance, some people have limited vision, only perceiving the world through their peripheral vision while having no central vision. Others may have blurred or distorted vision, as if looking through smeared glasses or a hazy fishbowl.
By shedding light on this nuanced perspective, Leland challenges our preconceived notions and encourages us to reconsider how we perceive blindness. His insights prompt us to appreciate the complexity and diversity within the blind community, fostering a more inclusive and understanding society.
https://www.ted.com/talks/andrew_leland_blindness_isn_t_a_tragic_binary_it_s_a_rich_spectrum
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
Tap into the Power of SMEs: Integrated Finance Holds $92 Billion Potential!
A recent Accenture survey highlights the immense potential of integrating financial services into offerings for small and medium-sized enterprises (SMEs). By doing so, global bank revenues could witness a remarkable increase of up to US$92 billion by 2025.
This finding comes at a crucial time when commercial banks are facing tough competition from digital platforms and specialized fintech firms. Chris Jaggard, Commercial Banking Lead for Australia and New Zealand, stresses the urgency for commercial banks to swiftly adopt embedded finance as a countermeasure against these competitors.
Accenture’s research, which involved studying over 2,500 SMEs across the globe, further underscores the enormous revenue growth opportunities that await commercial banks catering to SMEs. To capitalize on this potential, it is imperative for commercial banks to promptly integrate embedded finance into their distribution channels. By embracing this approach, banks can tap into a lucrative market and secure their position in the evolving financial landscape.
https://bankingblog.accenture.com/big-banks-need-to-embrace-embedded-finance-and-fast
“Successful transformation requires innovating from the top, building a thriving culture, achieving technological flexibility, and balancing risk and reward.” – Zarina Tsomaeva, CEO & Founder at LOQUAT Inc.
“Injustice anywhere is a threat to justice everywhere.” – MLK Jr.
In his famous letter from the Birmingham Jail in 1963, Martin Luther King Jr. made a powerful statement that resonates even today: “Injustice anywhere is a threat to justice everywhere.” These words encapsulate the idea that when injustice is allowed to prevail in one place, it has the potential to undermine justice in all other areas. King’s letter was a response to the criticism he faced for his nonviolent protests against racial segregation and discrimination. He argued that the fight for civil rights was not confined to Birmingham alone, but rather a universal struggle for equality and justice. By emphasizing the interconnectedness of injustice and justice, King highlighted the importance of addressing and confronting injustice wherever it may be found. This quote serves as a reminder that no one can remain indifferent to injustice, regardless of its location or target. It urges individuals and societies to actively challenge and rectify injustice in order to uphold the principles of justice and equality for all.
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion for all.
How BaaS will scale in 2023 and beyond
According to Sherri Haymond, EVP of Global Digital Partnerships at Mastercard, the convergence of Banking as a Service (BaaS) and embedded finance is playing a significant role in shaping the future of the financial industry. The ongoing pandemic has drastically transformed customer expectations, with a growing demand for seamless digital financial experiences. BaaS, in collaboration with non-banking platforms, is projected to become a massive $7 trillion opportunity by 2030. This approach allows companies to offer financial services within the context of their own platforms. On the other hand, embedded finance is revolutionizing the industry by providing real-time personalized credit and payment options. A prime example of this is the co-branded credit card offered by Chase Bank in partnership with Instacart. The integration of BaaS and embedded finance is expected to bring about significant advancements in the financial sector, catering to the evolving needs of customers and enabling businesses to provide enhanced financial services.
LOQUAT Inc., a banking-as-a-service (BaaS) platform, can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
The Banking Battleground
CCG Catalyst’s 2023 US Banking Study, called The Banking Battleground, presents insights from C-level bank executives. The study surveyed 122 executives, categorized as traditional or progressive, and focused on their perspectives in three key areas: business trends and priorities, technology and innovation, and new frontiers.
The report reveals that progressive banks prioritize integration with fintechs, while traditional banks are more customer-centric. Both groups feel less technologically prepared compared to last year. The study also explores emerging areas like open banking, Banking-as-a-Service, cryptocurrency, cannabis banking, and sustainability. It’s important to note that the findings are directional and not prescriptive, as each bank will apply them based on their own strategy. Source: https://www.ccginsights.com/research/the-banking-battleground-2023-pulling-back-and-pushing-ahead/
Loquat is a banking-as-a-service platform, which allows FIs to open small business checking account, get a virtual card and secure a loan within minutes.
Learn more how LOQUAT Inc. is the right partner: https://loquatinc.io/financial-institutions/
Traditional banking VS Embedded finance
The emergence of non-banking platforms as customer-centric hubs for user-friendly and customizable financial applications is reshaping the banking business model. These platforms, part of the embedded finance landscape, offer seamless access to financial services, creating a contrast with traditional banking.
Embedded finance involves various roles like platforms, enablers, and license holders, diverging from the integrated process of traditional banking. Some banks are partnering with these platforms, but they need to carefully assess the pricing pressure and advantages of such collaborations.
Banks face the challenge of potentially being relegated to capital-intensive and highly regulated backend activities, with limited user interaction. To counter this, some banks are expanding their platforms to collaborate with non-banks or extending their offerings, like embedded insurance and concierge services, to adjacent sectors such as travel and mobility.
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Learn how LOQUAT Inc. can help you with your transformation: https://loquatinc.io/about/
Feel Good Sunday: A 30-Day Challenge
Have you ever found yourself putting off something you’ve always wanted to do? Matt Cutts has a brilliant solution: the 30-day challenge. In his inspiring TED Talk, he encourages us to break free from our comfort zones and commit to trying something new for just 30 days.
Cutts emphasizes that the next 30 days will pass, whether we take action or not. So why not seize this opportunity to embark on a personal journey of growth and self-discovery? By dedicating ourselves to small, sustainable changes, we can pave the way for remarkable transformations.
Imagine the sense of accomplishment and fulfillment that comes with completing a 30-day challenge. It’s a chance to explore untapped potential, conquer fears, and broaden our horizons. Moreover, these challenges provide us with unforgettable memories that would otherwise fade into oblivion.
So, what are you waiting for? Take a leap of faith and choose something you’ve always wanted to try. Whether it’s learning a new instrument, adopting a healthier lifestyle, or starting a creative project, the possibilities are endless. Embrace the power of 30-day challenges and unlock the extraordinary within you.
To learn more, watch Matt https://www.ted.com/talks/matt_cutts_try_something_new_for_30_days?language=en
Curious Saturday: Mental Health Care — Health for All
Mental illness affects a staggering 450 million individuals worldwide, highlighting the pressing need for better care and support. Unfortunately, only about half of those in affluent nations receive the appropriate treatment, while an alarming 90 percent in developing countries go without any form of care due to the scarcity of psychiatrists. This glaring disparity calls for innovative solutions.
Enter Vikram Patel, who proposes an incredibly promising approach to address this global challenge: training members of communities to provide mental health interventions. By empowering ordinary individuals to care for others, this strategy, known as task shifting, has the potential to revolutionize mental healthcare delivery. Its impact extends beyond developing countries, as it democratizes medical knowledge, empowers communities, and brings us closer to the vision of “Health for All.”
Patel’s advocacy for the rights of those living with mental illness to lead lives of dignity resonates on a global scale, urging us to recognize the transformative power of community-based mental health care.
Watch Vikram Patel’s insightful TED Talk on this topic: https://www.ted.com/talks/vikram_patel_mental_health_for_all_by_involving_all
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
Learn more about LOQUAT Inc.: https://loquatinc.io/about/
We believe small businesses are the roots of a diverse society that drives innovation forward, and there should be no barriers or limits to their growth.
Attention: Urgent Action Required! Sea Levels Rising at an Alarming Rate!
Sea level rise is a pressing issue that demands immediate attention. The latest measurement, taken in February 2023, indicates that sea levels have risen by approximately 99 (± 4.0) mm. This increase is alarming, as it surpasses any recorded rates in the past 2,500-plus years. The primary cause of this rise is the global warming induced by human activities.
Melting ice sheets and glaciers contribute significantly to the rising sea levels. As temperatures rise, these frozen bodies of water melt and release water into the oceans. Additionally, the warming of seawater itself leads to its expansion, further exacerbating the sea level rise.
The consequences of sea level rise are far-reaching and pose a threat to coastal communities, ecosystems, and infrastructure. Increased flooding, erosion, and salinization of freshwater sources are just a few of the impacts already being observed. Urgent action is needed to mitigate these effects and reduce greenhouse gas emissions to slow down the rate of sea level rise.
BCG’s study on financial Giants: Are they missing out on ecosystem power?
BCG has conducted a comprehensive analysis of the top 100 financial institutions in terms of market capitalization for 2021. Their objective was to evaluate how these institutions are interacting with business ecosystems and how it affects their financial performance and valuation. The results of the study are quite interesting: – Surprisingly, only 27% of the top banks are actively engaging with ecosystems, while the majority, 52%, are still in the experimental phase. Another 21% have limited involvement. – The banks that fully embrace ecosystems have a clear competitive advantage and are able to generate significant value. – However, there is a need for more targeted and strategic engagement with ecosystems in order to fully capitalize on the available opportunities. For more detailed information, you can refer to the following link: https://www.bcg.com/publications/2023/exploring-digital-financial-ecosystem-opportunities
At LOQUAT Inc. we believe in the strategic alliances between banks and fintechs.
By working together and successfully leveraging each other resources, two businesses will thrive in meeting and exceeding their customer expectations.
Mastering the Ecosystem Game – Execution is Everything
Achieving a triumphant ecosystem strategy entails more than just having brilliant ideas; it requires the art of effective execution. Banks can follow a few key steps to master this art. To begin with, a thoughtful and deliberate approach is essential. Taking the time to carefully assess the bank’s capabilities and market aspirations is crucial in determining the most suitable strategy archetypes. While there may be a sense of urgency to jump into the ecosystem game, hastily rushing through the planning phase can lead to half-hearted investments and disappointing outcomes. It is imperative to thoroughly consider the intricate details and business viability to ensure optimal returns.
https://www.ccginsights.com/research/the-banking-battleground-2023-pulling-back-and-pushing-ahead/
LOQUAT Inc., a banking-as-a-service (BaaS) platform, can with help the diverse needs of customers, allowing banks and financial institutions to offer a range of products and services with varying fees, features, and requirements.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
Banking Success in the Digital Era: Champion the Ecosystem Transformation
Banks face a crucial decision in the digital financial ecosystem transformation. Collaboration and innovation are key in this game-changing era. By 2030, digital ecosystems could determine banking success, but only a few big players are taking advantage.
BCG’s analysis shows a strong connection between adopting ecosystems and financial performance. Banks must adapt and fully welcome digital transformation to thrive in this new landscape. Source: https://www.bcg.com/publications/2023/exploring-digital-financial-ecosystem-opportunities
At LOQUAT Inc. we believe in the strategic alliances between banks and fintechs. By working together and successfully leveraging each other resources, two businesses will thrive in meeting and exceeding their customer expectations.
Feel good Sunday: Staying Calm in Stressful Situations — Tips from Daniel Levitin
In stressful situations, our brains release cortisol, hindering rational thinking. Neuroscientist Daniel Levitin suggests a pre-mortem approach to avoid critical mistakes caused by clouded thinking. By anticipating potential failures, we can prepare and minimize damage. It’s important to remember that stress shuts down various systems in our body, prioritizing survival. Therefore, training ourselves to think ahead and implement preventive measures is crucial.
www.ted.com/talks/daniel_levitin_how_to_stay_calm_when_you_know_you_ll_be_stressed
Curious Saturday: Why do we work?
Barry Schwartz, a renowned scholar studying the link between economics and psychology, sheds light on the broken perception of work in his captivating TED Talk titled “The way we think about work is broken.” Schwartz believes that the answer to why we work lies in the realm of technology, but not in the traditional sense of automation and machines. He introduces the concept of “idea technology,” which he defines as the creation of ideas and ways of understanding through science.
While technology has undeniably transformed our lives, Schwartz emphasizes that it is the technology of ideas that significantly influences how we think, what we aspire to, and how we act. He refers to the social sciences as a prime example of this idea technology, as they create frameworks for understanding ourselves and our society.
With his deep insights into the intersection of economics and psychology, Schwartz challenges conventional notions about work and encourages a reevaluation of our relationship with it. By exploring the profound impact of idea technology, he prompts us to reconsider the purpose and meaning of work in our lives.
https://www.ted.com/talks/barry_schwartz_the_way_we_think_about_work_is_broken
Miami: The Epicenter of US Sports – Messi’s Grocery Store Stroll and FIFA’s World Cup Blitz!
As Miami continues to magnetize finance and tech companies, it was the iconic moment when Lionel Messi casually wheeled a trolley through a Publix grocery store that marked this city as the ultimate hotspot. But that’s not all! FIFA, the football governing body, is now in talks to secure a Miami property ahead of the thrilling 2026 World Cup. And they’re not alone. CONCACAF, the football federation for North and Central America, and the Caribbean, has already set up shop in this vibrant city.
Miami’s transformation into the US sports capital is undeniable, attracting both global football icons and major sporting organizations. With these developments, it’s clear that Miami has solidified its status as the place to be for sports enthusiasts, leaving no doubt that the city’s sporting legacy is only just beginning.
https://www.ft.com/content/f8b180dc-f1aa-4445-87fd-37ae0e4cc144
Loquat Inc., a Miami based financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners. The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
Banking-as-a-Service (BaaS): The future of banking
“BaaS enables financial institutions to access a diverse range of services, expanding possibilities for personalized financial experiences.
It is not just an option, but an imperative that will define the success of modern financial institutions in an ever-evolving digital landscape.” – Minesh Valera, CTO, Loquat Inc.
Loquat platform is built on three pillars: Data Privacy and Information Security, Transparency, and Simplicity. We use AI and ML technologies to remove biases that exist within the financial industry.
Transforming Customer Experiences — Addressing Real-time Needs
According to a recent survey conducted by EY teams, the global fintech industry is increasingly recognizing the importance of offering financial products that cater to customers’ real-time needs. In fact, a staggering 94% of fintech leaders believe that this is the key to success in the industry. This finding highlights a significant shift from traditional financial products that often fail to meet the immediate demands of customers.
As a result, there is a growing interest among both nonfinancial and financial institutions to develop embedded propositions. These propositions involve integrating financial services seamlessly into nonfinancial platforms, such as e-commerce websites or social media platforms. This approach allows customers to access financial products and services at the exact moment they need them, without having to navigate away from their current activities.
The emergence of embedded finance presents exciting opportunities for both nonfinancial and financial institutions. By leveraging this trend, they can tap into significant growth potential and provide customers with personalized, real-time financial solutions. This shift towards addressing real-time needs is reshaping the customer experience and revolutionizing the way financial services are delivered.
To learn more about this transformative trend in the fintech industry, you can visit the following link: https://www.ey.com/en_us/banking-capital-markets/fintech-ecosystems/how-banks-are-staking-a-claim-in-the-embedded-finance-ecosystem
Loquat is a banking-as-a-service platform, which allows FIs to open small business checking account, get a virtual card and secure a loan within minutes.
Learn more how LOQUAT Inc. is the right partner: https://loquatinc.io/financial-institutions/
Responsible by Design: Five Principles for Generative AI in Financial Services
As financial service institutions embrace generative artificial intelligence (AI) models and witness the rapid adoption of this technology by consumers, it has become imperative for companies to understand the risks and opportunities associated with it. While managing and mitigating risks is not new for financial institutions, the introduction of generative AI brings forth both familiar concerns and novel challenges.
One significant risk is the potential for bias in AI applications. Previously, bias was managed through fairness policies and compliance efforts. However, with generative AI, there is a possibility that bias could unknowingly be embedded into applications based on these models. The extent of risk faced by each company will depend on how and where they implement generative AI, as well as the maturity of their AI governance framework.
To effectively navigate these risks, companies utilizing generative AI must proactively identify emerging risks, align their applications with existing and upcoming regulations, and strengthen internal functions such as machine learning engineering, technology, and legal expertise. By doing so, they can ensure responsible and ethical use of generative AI in the financial services sector.
https://www.bain.com/insights/five-principles-for-generative-ai-in-financial-services/
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Discover Your Path to Success: Strategies for Banks in the Shifting Financial Landscape
Banks are facing a significant challenge as customers increasingly prefer embedded channels for their basic financial needs, leading to a decline in traditional bank channel usage. To prevent customer attrition, it is crucial for banks to actively engage with customers through embedded channels. However, embedding complex products presents a greater challenge and is not easily replicated.
To navigate this shift and capitalize on the embedded finance trend, banks can adopt various distribution strategies. Firstly, a customer- or product-centric approach entails focusing on innovation and gaining a deeper understanding of customers to extend the product range and cater to a wider audience. Secondly, an enabler approach involves embracing a platform business model, selecting suitable products to embed, and forming partnerships with third-party platforms to expand offerings.
Additionally, the builder approach entails owning the platform and effectively coordinating in-house and third-party products to deliver exceptional services, albeit with significant technology investments and collaboration. Lastly, the owner orchestrator approach involves taking full ownership of the platform, orchestrating various products, and controlling customer distribution channels. This strategy may involve investing in non-financial services sectors and creating direct points of interaction with customers.
At LOQUAT Inc. we believe in the strategic alliances between banks and fintechs. By working together and successfully leveraging each other resources, two businesses will thrive in meeting and exceeding their customer expectations.
Neurodiversity: Lessons from a Maverick Entrepreneur
Neurodiversity and innovation are often a dynamic duo, but does that mean visionary entrepreneurs can do and say whatever they please without consequences? Andy Dunn, the founder of Bonobos and a mental health advocate, shares his personal journey with bipolar I disorder while successfully managing his startup. He imparts valuable lessons he learned along the way towards achieving wellness and emphasizes the importance of accountability in creating a future where everyone can pursue audacious dreams.
In the workplace, Dunn believes that therapy should be strongly encouraged for team leaders. Furthermore, granting second chances to unethical leaders should be a decision made with utmost care and deliberation.
https://www.ted.com/talks/andy_dunn_lessons_from_losing_my_mind/transcript
The power of global talent: Don’t let your business fall behind
Why aren’t more businesses tapping into the power of international talent if it leads to a stronger company? Johann Daniel Harnoss, an expert in innovation and migration strategy, sheds light on the benefits of embracing global talent and provides guidance on creating an inclusive environment for immigrants within your workforce.
Johann, who spearheads research on global migration at BCG and advises governments and companies on migration strategy, highlights the immense economic impact migrants already have on local economies. In fact, their contribution is projected to reach a staggering $20 trillion per year by 2050, up from $9 trillion in 2020.
Migration presents a remarkable opportunity for all of us, and it’s a chance that businesses cannot afford to miss. By embracing the most educated and globally diverse generation in history, companies can gain a significant advantage in the marketplace. Those who choose to remain on the sidelines, however, risk being left behind.
Breaking Barriers: Financial Inclusion for all
The world is witnessing a groundbreaking transformation through digital financial services. These services have the potential to revolutionize the way people access and manage their finances, making it easier and more convenient for individuals to save, invest, and transact. However, despite the progress made, millions of people are still left out of the financial system.
To address this issue, tech pioneers, governments, and aid organizations are coming together to bridge the gap and bring financial services to the underserved. They are leveraging technology to develop innovative solutions that can reach even the most remote areas, ensuring that everyone has access to basic financial services.
While the push for financial inclusion is commendable, it is important to be cautious of the risks involved. With the rise of digital transactions, the threat of fraud has also increased.
It is crucial to understand that financial inclusion is not solely about joining the digital revolution. It goes beyond technology and requires addressing the underlying issues that prevent individuals from accessing financial services. This includes factors such as financial literacy, affordability, and cultural barriers.
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion
Stay Ahead of the Game: Safeguarding Your Finances in the Digital Age
It is crucial for banks to educate their customers about potential threats and how to protect themselves. This can be done through regular communication channels, such as newsletters, emails, and social media. Banks should also provide resources, such as online tutorials and guides, to help customers understand the importance of strong passwords, secure internet connections, and the risks associated with sharing personal information.
Moreover, investing in advanced technologies, such as artificial intelligence and machine learning, can greatly enhance fraud detection and prevention capabilities. These technologies can analyze vast amounts of data in real-time, identify patterns and anomalies, and flag suspicious activities. By leveraging these tools, banks can stay one step ahead of fraudsters and protect their customers from financial losses.
Furthermore, collaboration between banks, regulatory bodies, and law enforcement agencies is crucial in combating digital banking fraud. Sharing information and best practices can help identify emerging threats and develop effective countermeasures. Regular audits and assessments can also ensure that banks are continuously improving their security measures and addressing any vulnerabilities.
In conclusion, as digital banking continues to evolve, so does the risk of fraud. By adopting a proactive and comprehensive security approach, educating customers, leveraging advanced technologies, and fostering collaboration, banks can effectively mitigate the impact of fraud and safeguard their customers.
Loquat is a banking-as-a-service platform, which allows FIs to open small business checking account, get a virtual card and secure a loan within minutes. Learn more how LOQUAT Inc. is the right partner: https://loquatinc.io/financial-institutions/
NFIB’s latest small business economic trends report has once again captured the pulse of small business owners across various industries. Unfortunately, the prevailing sentiment remains overwhelmingly pessimistic when it comes to future business conditions and sales prospects. While certain sectors like construction, healthcare, transportation, and select consumer services continue to demonstrate robust spending and labor demand, the overall picture is less promising. The number of firms reporting employment gains has been steadily declining, casting doubt on the government’s claims of significant job growth. Curiously, small business owners on Main Street seem to be missing out on these supposed employment gains. Furthermore, capital spending and inventory investment have taken a hit, contributing to an overall slowdown in economic growth. While this may help control inflation, it comes at the expense of diminished employment opportunities.
https://www.nfib.com/surveys/small-business-economic-trends/
LOQUAT Inc. was founded with a passion to connect local Financial Institutions with Small Businesses who need a fast, secure and convenient digital banking experience.
NFIB’s latest small business economic trends report reveals some noteworthy insights:
- There has been a slight improvement in small business owners’ expectations for better business conditions in the next six months. The percentage of owners with this positive outlook increased by 10 points from May, reaching a net negative 40%. While this is still not ideal, it is 21 percentage points better than last June.
- The difficulty in finding qualified employees remains a challenge for small businesses, with 42% of owners reporting job openings that are hard to fill. This figure has remained stubbornly high.
- The outlook for higher real sales has also improved, with a 7-point increase from May to a net negative 14%.
- Hiring remains a priority for many small business owners, as 59% of them reported hiring or attempting to hire in June. However, a staggering 92% faced difficulties finding qualified applicants.
- Capital outlays have been made by 53% of owners in the past six months, primarily on new equipment, vehicles, and facility improvements. Additionally, 25% of owners plan to make capital outlays in the coming months. – The sales performance in the past three months has been lackluster, with a net negative 10
https://www.nfib.com/surveys/small-business-economic-trends/
Loquat, an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners. The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience. To learn more about Loquat, visit www.loquatinc.io
Banking-as-a-Service takes a center stage in the transformation of financial services, offering a fresh approach to deliver better products to consumers.
BaaS seamlessly merges the resources of regulated banks with fintech providers, resulting in an improved and accessible banking experience for customers. However, traditional banks face significant hurdles in fulfilling the promises of BaaS. Outdated legacy systems and slow processes hinder their ability to swiftly adapt to market changes and meet customer demands. In contrast, fintech companies, with their modern technology and agile practices, are designed to quickly develop and modify their offerings to cater to their clients’ needs.
Learn how LOQUAT Inc. can help you with your transformation: https://loquatinc.io/about/
Feel Good Sunday: Jonathan Haidt: The moral roots of liberals and conservatives
Jonathan Haidt delves into the fascinating realm of moral values that shape our political choices, regardless of whether we identify as left, right, or center. Through his thought-provoking talk, he uncovers the core moral values that liberals and conservatives typically hold dear.
Let’s explore the concept of innateness, where the brain’s initial organization is not solely dependent on experience. Nature provides a foundation, which experience then refines. It’s important to note that “built-in” doesn’t imply rigidity; rather, it signifies an organization pre-established before encountering life’s experiences, as Gary Marcus aptly explains.
Take a moment to step outside the confines of your own moral perspective. Recognize the ongoing struggle in which everyone believes they are right, even if their beliefs differ from yours. Each person has their reasons. So, let’s challenge ourselves to step out of the moral matrix and gain a broader understanding.
Step out of the moral Matrix, just try to see it as a struggle playing out, in which everybody thinks they’re right, and even if you disagree with them, everybody has some reasons for what they’re doing. Step out.
https://www.ted.com/talks/jonathan_haidt_the_moral_roots_of_liberals_and_conservatives
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
Curious Saturday: Tom Graham: The mesmerizing realm of deepfakes — and the disconcerting trajectory of AI
Prepare yourselves, for the infiltration of AI-generated media that mirrors reality is imminent. How can we brace ourselves for its arrival? AI developer Tom Graham delves into the astonishing power of this rapidly progressing technology, showcasing cutting-edge examples on the TED stage. In a captivating discussion with TED’s head honcho Chris Anderson, Graham explores the boundless creative potential of this hyperreal content, commonly known as “deepfakes,” while shedding light on the risks of exploitation and the need for new legal rights to safeguard our control over AI-generated replicas of ourselves.
Raising awareness about manipulated media is of paramount importance. We must establish robust institutions that can authenticate the veracity of media. Once we achieve that, we can delve into the exciting possibilities that lie ahead.
Securing property rights over data is paramount when discussing real-world data powering these advancements. We should not relinquish ownership through terms of service or give it away. By retaining ownership, we can maintain control and be at the forefront of the economic and historical implications that will arise. It’s a challenging journey, but progress is underway.
At LOQUAT Inc. we believe that data privacy is a fundamental human right and democratic societies have a duty to respect and protect this right through their respective institutions.
We envision that individuals shall decide “what becomes data in the first place, what we share, with whom, and to what purpose”.
The second edition of Microsoft Store’s “Small Business State of Mind” report delves into the thoughts and concerns of small business owners. Through a comprehensive survey of 1,000 individuals running businesses with 0-24 employees, the report sheds light on their top challenges and priorities. Moreover, it explores their outlook on the potential impact of AI on their own ventures and other small businesses.
LOQUAT Inc. was founded with a passion to connect local financial institutions with small businesses who need a fast, secure and convenient digital banking experience.
Loquat Inc. welcomes Clement Ogujiofor to its team!
Loquat Inc., an innovative financial technology company today announced that Clement Ogujiofor has joined the company’s Leadership Team as the Head of Product.
Clement, a seasoned business strategy executive, brings over 15 years of experience in technology and telecommunication industries. He has successfully led digital transformations, cost optimizations, financial due diligence, and product delivery. With a strong focus on the intersection of technology and business, Clement ensures a clear business strategy that guides any technology transformation.
“We are excited to welcome Clement Ogujiofor to our team. His proven track record of delivering results in various engagements and transformations will be invaluable to us as we continue to expand our business and strengthen our market position. We are confident that Clement will help us continually improve on our already stellar platform and take Loquat to the next level.”
– Zarina Tsomaeva, Chief Executive Officer & Founder of Loquat
Please read our full Press Release: https://loquatinc.io/news/loquat-inc-welcomes-clement-ogujiofor-to-its-team/
Impact of AI on Banking: Potential productivity Lift
The advent of artificial intelligence (AI) has brought about a significant transformation in the banking industry, promising a potential productivity lift. AI technologies, such as machine learning and natural language processing, have enabled banks to automate various tasks and streamline their operations.
One area where AI has made a substantial impact is customer service. Chatbots powered by AI algorithms can handle customer queries and provide personalized assistance, reducing the need for human intervention. This not only improves efficiency but also enhances the overall customer experience.
Moreover, AI has proven to be a valuable tool in risk management and fraud detection. Machine learning algorithms can analyze vast amounts of data to identify patterns and anomalies, enabling banks to detect fraudulent activities in real-time. This proactive approach helps minimize financial losses and protect customers’ assets.
Additionally, AI has revolutionized the lending process. By leveraging AI-powered algorithms, banks can assess loan applications more accurately and efficiently, reducing the time and resources required for manual underwriting. This not only speeds up the lending process but also enhances the accuracy of credit decisions.
Furthermore, AI has the potential to revolutionize investment management. Robo-advisors, powered by AI algorithms, can offer personalized investment advice based on an individual’s financial goals and risk tolerance.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Generative AI: Transforming the Banking Industry
Prepare to witness a thrilling transformation in the banking industry as Generative AI steps onto the scene. This groundbreaking technology is set to transform the sector, taking on mundane risk management tasks and freeing up precious resources for more crucial endeavors.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Artificial Intelligence: A Journey of Hope and Triumph!
Artificial intelligence, an academic discipline born in 1956, has experienced its fair share of highs and lows. It has witnessed cycles of hope, followed by disappointment and funding setbacks, commonly known as “AI winters.” However, with every setback, the field has emerged stronger, with new approaches, achievements, and increased financial support.
AI research encompasses various sub-fields, each with its own objectives and tools. These include reasoning, knowledge representation, planning, learning, natural language processing, perception, and object manipulation. The ultimate goal is to achieve general intelligence, enabling AI to solve any problem it encounters.
To tackle these challenges, AI researchers have adapted and integrated diverse problem-solving techniques. These techniques include search algorithms, mathematical optimization, formal logic, artificial neural networks, and statistical, probabilistic, and economic methods. AI draws inspiration from computer science, psychology, linguistics, philosophy, and many other disciplines to pave the way for future breakthroughs.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Feel Good Sunday: Hilarious Truth of American Dream
Harrison Scott Key guy knows how to entertain. He’s the genius behind books like Congratulations, Who Are You Again? and The World’s Largest Man: A Memoir, which even won the prestigious Thurber Prize for American Humor. But here’s the twist: he’s about to challenge all those motivational speakers out there. Prepare yourself for some truth bombs, because Harrison Scott Key is here to reveal the mildly outrageous reality of achieving the so-called American Dream.
Join Harrison Scott Key on his extraordinary journey from a simple country boy to a literary star (according to his mom, at least).
Watch the hilarious Harrison Scott Key on “The Funny Thing About the American Dream” here: https://www.ted.com/talks/harrison_scott_key_the_funny_thing_about_the_american_dream
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
Curious Saturday: Ian Bremmer: The next global superpower isn’t who you think
Who truly holds the reins of the world? According to political scientist Ian Bremmer, it’s not as straightforward as it once seemed. With thought-provoking inquiries about the essence of leadership, he urges us to ponder the consequences of the ever-changing global order and the choices we make as active participants in shaping the future of democracy.
However, in today’s world, our identities are shaped by a combination of nature, nurture, and algorithms. Challenging the system requires more than simply questioning authority, as we were taught in our formative years. Nowadays, we must also question the algorithms, and this grants an astonishing amount of power to technology companies.
Don’t miss out on Bremmer’s enlightening talk that sheds light on the true forces shaping our world.
https://www.ted.com/talks/ian_bremmer_the_next_global_superpower_isn_t_who_you_think
Microsoft study: Small businesses intrigued by AI and the opportunities it brings
Microsoft conducted an internal study called the “Small Business State of Mind” report in May 2023. The report reveals that small businesses, which make up 99% of all businesses in the U.S. and employ nearly half of the workforce, are facing increased pressures and limited resources. However, with the emergence of AI, small businesses have the opportunity to benefit from next-generation tools and resources. The study highlights key findings, including the growing pain points of inflation and data security, small business owners being overwhelmed with mundane tasks, the optimism surrounding AI as a game-changer, and the need for small business owners to become more knowledgeable about AI.
Loquat, an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners. The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Cruelty does not bring order when it comes to refugee policy
The capsized boat off the coast of Greece that resulted in the death of 78 people, with 500 still missing, is a tragedy beyond measure. It is a clear indication of the failure of governments to fulfil their international legal obligation to save drowning people. The situation is further exacerbated by the fact that almost 110 million people are currently fleeing conflict and disaster around the world, with one in 74 of the global population affected.
https://www.ft.com/content/35326258-3506-461c-b8a5-207594f6ed16?shareType=nongift
Generative AI: Impact on Marketing
One of the most significant benefits of generative AI for marketing is the ability to create high-quality content in a fraction of the time it would take a human. This technology can analyze data and consumer behavior, which helps businesses optimize their SEO strategy and personalize product discovery for customers.
However, there are also risks involved in using generative AI for marketing. One of the biggest concerns is copyright infringement and brand recognition. Businesses need to ensure that the content generated by AI aligns with their brand image and messaging. Additionally, there is a risk that AI-generated content may not resonate with the target audience, leading to a negative impact on sales.
In terms of sales, generative AI can help businesses identify potential leads and improve their follow-up strategy. This technology can analyze customer data and behavior to determine which leads are most likely to convert into paying customers. By automating the lead development process, businesses can increase the probability of sale and generate additional revenue.
The benefits of generative AI are vast, and it’s up to businesses to harness its potential while mitigating the risks involved.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Generative AI: Impact on Banking
The banking industry is on the brink of a technological uplift with the emergence of Generative AI. This innovative technology has the potential to transform the industry by taking on lower-value tasks in risk management.
In addition to cost savings, Generative AI can also improve customer satisfaction, decision-making, and mitigate risks. The banking industry is already technology-enabled and has benefited significantly from AI applications. With a vast customer-facing workforce and a stringent regulatory environment, Generative AI can streamline content generation, create personalized marketing, and sales content.
However, integrating Generative AI into operations requires careful consideration of factors such as regulation, end-users, intended level of work automation, and data constraints. Banks must be strategic in their approach to reap the full benefits of this technology.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
The Future is Here: Generative AI for Unmatched Creativity and Efficiency
Generative AI is a type of artificial intelligence that can create new content, such as images, videos, and even text, based on a set of rules or parameters. Unlike traditional AI algorithms, it doesn’t just analyze data, but it can also generate new data based on a set of rules and parameters. This opens up a whole new world of possibilities for businesses and individuals alike.
What’s truly exciting about generative AI is its ability to learn and improve over time. As more data is fed into the system, it becomes more sophisticated and can create even more complex and creative content. The economic potential of this technology is limitless, and it has the power to transform the way we live and work in the future.
In a world where content is king, generative AI can help businesses create unique and engaging content at scale. It can also be used to automate repetitive tasks, freeing up time for more strategic work. This means that the economic potential of generative AI is virtually limitless, and it has the potential to transform the way we live and work in the future.
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Feel good Sunday: “Why I must come out” – Geena Rocero’s Journey
Model and filmmaker Geena Rocero reveals her journey of self-discovery, breaking down the complexities of gender identity. Assigned male at birth, Rocero always knew she was a woman, and now she’s inviting you to join her on her journey. She shares how important it is to create a space where people can self-identify and encourages conversations about gender identity. The transgender community is just beginning, and Rocero is leading the way with her inspiring story. She invites you to be her ally and approach the topic with curiosity and an open mind. Gender is a complex and fluid concept, and Rocero’s story is a reminder to embrace and accept people for who they truly are. Join Rocero on her journey of self-discovery and learn how to be an ally to the transgender community.
https://www.ted.com/talks/geena_rocero_why_i_must_come_out
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
Curious Saturday: Why AI is incredibly smart and shockingly stupid – A TED Talk by Yejin Choi
Are we creating a new intellectual species with AI? In her captivating TED talk, computer scientist Yejin Choi reveals the problems and challenges we face with massive artificial intelligence systems. She highlights the three key issues with cutting-edge large language models, including their inability to reason with common sense. But that’s not all – extreme-scale AI models come with a hefty price tag, leading to power concentration and a lack of transparency. Plus, their carbon footprint is massive, and their safety and effectiveness are questionable. So, what’s the solution? Choi suggests democratizing AI by making it smaller and safer, teaching it human norms and values. Drawing an analogy from “David and Goliath,” she urges us to know our enemy, choose our battles, and innovate our weapons.
https://www.ted.com/talks/yejin_choi_why_ai_is_incredibly_smart_and_shockingly_stupid/c
Request a demo to see how LOQUAT Inc. is leveraging AI and ML: https://loquatinc.io/demo/
Why Do Competitors Cluster Together? The Surprising Game Theory Behind Your Favorite Stores
Have you ever wondered why all the gas stations, cafes, and restaurants are in one crowded spot? Or why fast food chains, clothing boutiques, and mobile phone kiosks are all at the mall? It turns out, there’s a game theory behind it. In this fascinating TED Talk, Jac de Haan explores the Nash Equilibrium and how it informs the retail hotspots we see today. Discover how two competitive cousins vying for ice-cream-selling domination on one small beach can teach us about the power of clustering. While customers may benefit from distributed services, businesses prefer to keep their competition close. Learn how marketing strategies, product differentiation, and price cuts all play a role in the competitive landscape.
https://www.ted.com/talks/jac_de_haan_why_do_competitors_open_their_stores_next_to_one_another/
Loquat is a banking-as-a-service platform, which allows FIs to open small business checking account, get a virtual card and secure a loan within minutes. Learn more how LOQUAT Inc. is the right partner: https://loquatinc.io/financial-institutions/
Loquat Executive Interview Series: Mitch Blaser | Digitizing relationships in a post-pandemic world
Loquat Inc. is an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners. The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
Schedule a demo today and learn how LOQUAT Inc. can help: https://loquatinc.io/demo/
Transform Your Customer Service with Generative AI: Elevate Efficiency and Enhance Customer Satisfaction
According to McKinsey & Company‘s latest research paper, “The economic potential of generative AI: The next productivity frontier” by utilizing digital self-service and enhancing agent skills, generative AI has the ability to improve the customer experience and boost productivity. The technology has already proven successful in automating interactions with customers using natural language, leading to increased issue resolution and reduced handling time. In one company with 5,000 customer service agents, the application of generative AI resulted in a 14% increase in issue resolution per hour and a 9% decrease in handling time. Additionally, agent attrition and requests to speak to a manager decreased by 25%. Interestingly, less-experienced agents benefited the most from AI assistance, as it helped them to communicate more effectively and improve their skills. Overall, generative AI has the potential to revolutionize the customer service industry and improve the quality of service provided to customers.
Learn how Loquat Inc. can help you with your transformation: https://loquatinc.io/about/
Happy 4th of July!
Generative AI: The Next Trillion-Dollar Frontier
According to McKinsey & Company ‘s latest research paper, “The economic potential of generative AI: The next productivity frontier”, this technology could add trillions of dollars in value to the global economy. The research found that generative AI could address specific business challenges in ways that produce measurable outcomes across 63 use cases, adding between $2.6 trillion to $4.4 trillion annually. This could increase the impact of all artificial intelligence by 15 to 40 percent.
The four areas where generative AI could deliver 75 percent of the value are customer operations, marketing and sales, software engineering, and R&D.
By understanding the technology’s potential, companies can make critical decisions about how to implement it and reap the benefits. McKinsey’s research provides valuable insights into where generative AI can deliver the biggest value and how big that value could be.
Learn HOW Loquat Inc. can help to make financial institutions more #innovative and #successful: https://loquatinc.io/
Feel Good Sunday: Disabled? Not Your Inspiration
Meet Stella Young, the hilarious comedian and journalist who refuses to be reduced to a mere inspiration for others just because she uses a wheelchair. In her TED Talk, Young takes on society’s tendency to turn disabled people into “inspiration porn” and challenges us to view them as complex individuals with their own unique experiences and personalities. With wit and charm, Young breaks down the misconceptions and stereotypes surrounding disability, urging us to see disabled people as they truly are: human beings with their own strengths, weaknesses, and quirks. Don’t miss this eye-opening talk that will challenge your perceptions and leave you laughing out loud. Watch it now on TED.
https://www.ted.com/talks/stella_young_i_m_not_your_inspiration_thank_you_very_much
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
Curious Saturday: Transgender healthcare – The knowledge gap that’s costing lives
Kristie Overstreet is a passionate advocate for transgender healthcare. Her TED Talk debunks myths and provides a primer on gender identity. Overstreet believes that everyone deserves respect and dignity when seeking medical care. Unfortunately, many healthcare providers lack the necessary training to work with transgender patients. This knowledge gap can lead to discrimination, violence, and a lack of medical care. Overstreet’s mission is to change this by educating healthcare providers on transgender health care. She emphasizes that transgender individuals are human beings who deserve competent and trained health care providers. In 2015, a survey found that 72% of healthcare providers did not feel well-informed on the health care needs of the LGBT community. This gap in education and training must be addressed. Overstreet invites everyone to face fear together as we walk into a brave new world.
Kristie Overstreet is on a mission to ensure that the transgender community gets their health care needs met. In this informative, myth-busting talk, she provides a primer for understanding gender identity and invites us to shift how we view transgender health care — so that everyone gets the respect and dignity they deserve when they go to a doctor.
Kristie Overstreet: What doctors should know about gender identity
https://www.ted.com/talks/kristie_overstreet_what_doctors_should_know_about_gender_identity
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
It’s Time for Men to Step Up in a Fight for Gender Equity
Jimmie Briggs, an essayist and intersectional justice advocate, urges men to confront their traditional notions of masculinity and promote personal safety, dignity, and empowerment for all. It’s not just a matter of being politically correct; it’s about understanding that equity, justice, inclusivity, and safety for women, girls, and nonbinary people ultimately benefit us all. We need to acknowledge that broken masculinity harms societies and work towards creating safe environments where everyone is treated with mutual respect. Men around the world are already taking steps towards a true gender reckoning, but we need more men to join the fight.
https://www.ted.com/talks/jimmie_briggs_3_things_men_can_do_to_promote_gender_equity
At Loquat we stand for humanity, respect for all people, individual freedoms and financial inclusion.
Don’t let success make you complacent
As Andy Grove famously said, “Success breeds complacency, complacency breeds failure.”
As a CEO, it’s crucial to stay ahead of the game and continually improve performance. So, how can you do this? McKinsey & Company research https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/staying-ahead-how-the-best-ceos-continually-improve-performance and experience in CEO excellence has shown that the following strategies can greatly increase the odds:
- Enhance your learning agenda by seeking new knowledge and skills to stay on top of industry trends and advancements.
- Take an outsider’s perspective by seeking feedback from stakeholders and experts outside of your organization.
- Collaboratively define the next S-curve to identify new opportunities for growth and innovation.
- Future-proof your organization by anticipating and adapting to potential disruptions.
“Successful transformation requires innovating from the top, building a thriving culture, achieving technological flexibility, and balancing risk and reward.” – Zarina Tsomaeva, CEO & Founder at Loquat Inc.
Labor productivity growth has been the key driving force behind the US economy’s success and prosperity since World War II. It has contributed 2.2% annually to economic growth and played a crucial role in the 1.7% annual gain in real incomes. However, the productivity growth rate has been declining in the past 15 years, averaging only 1.4%, despite incredible advances in digital technology. This decline is not unique to the US, as most OECD countries have experienced a drop in labor productivity growth since 2005.
To confront the challenges of workforce shortages, debt, inflation, and the cost of the energy transition, the US economy needs to regain historical rates of productivity growth. This would add $10 trillion to the GDP, a boost that is essential for the country’s economic stability and growth.
Currently, seven states lead the way in productivity growth:California, Colorado, Massachusetts, New York, North Dakota, Texas, and Washington. These states are not only more productive than the US average, but they are also increasing productivity faster. Together, they provide nearly one-third of the nation’s jobs and 40% of GDP.
https://www.mckinsey.com/mgi/our-research/rekindling-us-productivity-for-a-new-era#introduction
Learn how Loquat Inc. can help you with your transformation: www.loquatinc.io
How do you know if a digital transformation is working?
According to McKinsey & Company, https://www.mckinsey.com/featured-insights/mckinsey-explainers/what-is-digital-transformationthe first step is to identify what to measure. Digital transformations usually have three key performance indicators (KPIs):
- Value creation: Digital solutions aim to improve operational KPIs that translate into financial benefits.
- Team health: Many digital transformations progress slower than planned due to understaffing, outdated work methods, and lack of critical capabilities. High-performing teams can be five times more productive than low-performing teams.
- Change-management progress: These metrics measure the progress of building new capabilities and the transformation’s health. Are teams mobilizing as planned? Are people engaged? Are we building talent and capabilities? Are people seamlessly using the technology and tools developed?
Managing change requires balance. The perfect is the enemy of good, and progress should be celebrated.
Learn how Loquat Inc. can help you with your transformation: https://loquatinc.io/
Transform your organization and gain a competitive edge in the digital age with digital transformation
The new book, Rewired: A McKinsey & Company Guide to Outcompeting in the Age of Digital and AI, emphasizes the importance of deploying technology at scale to enhance customer experience and reduce costs. But how can you achieve successful transformation? The book provides a roadmap with six critical capabilities, including crafting a clear strategy, building a strong in-house engineering team, and implementing robust adoption and change management. By establishing these capabilities, you can scale your operating model, enable independent innovation with distributed technology, and leverage valuable data.
https://www.mckinsey.com/featured-insights/mckinsey-explainers/what-is-digital-transformation
Learn how Loquat Inc. can help to make financial institutions more innovative and successful: https://loquatinc.io/
Expand your radius — Expand your World View
In a captivating TED Talk, J. Marshall Shepherd, a renowned meteorologist and expert in weather and climate, delves into the three kinds of bias that shape our worldview when it comes to science.
He explains how confirmation bias, the Dunning-Kruger effect, and cognitive dissonance can impact what we think we know about science. Confirmation bias occurs when we seek out information that confirms our pre-existing beliefs, while the Dunning-Kruger effect is when we overestimate our knowledge and expertise on a subject. Cognitive dissonance is the discomfort we feel when we are presented with information that contradicts our beliefs. Shepherd emphasizes the importance of replacing these biases with knowledge and expanding our radius of understanding.
He believes that expanding our radius is not just about creating a better future but also about preserving life as we know it. By recognizing and addressing these biases, we can develop a more accurate and informed understanding of science.
https://www.ted.com/talks/j_marshall_shepherd_3_kinds_of_bias_that_shape_your_worldview
Is “normal” really normal?
We’ve been conditioned to think that “normal” means typical, expected, and correct. But what if we’ve been wrong all along? Yana Buhrer Tavanier explores the concept of normality and why it may not be as straightforward as we think.
In statistics, a normal distribution follows a bell curve, with most values falling within the hump. But when we apply a standard of normal to all of humanity based on non-representative data, we’re choosing from the wrong distribution. A lot of behavior science research draws from samples that are pretty WEIRD — meaning Western, educated, industrialized, rich, and democratic. These features can skew norms even in research that doesn’t have an obvious link to them.
To this day, people are often targeted and discriminated against on the basis of disabilities, mental health issues, sexual orientations, gender identities, and other features deemed “not normal.”
But the reality is that the differences in our bodies, minds, perceptions, and ideas about the world around us — in short, diversity — is the true normal.
Yana Buhrer Tavanier: What is “normal” and what is “different”?
https://www.ted.com/talks/yana_buhrer_tavanier_what_is_normal_and_what_is_different
Gender and Sex: More Than Meets the Eye
Your sex was likely one of the first things ever said about you. But who you are is much more complex than that. Sexual orientation and gender identity can take years to fully understand.
According to the Human Rights Campaign, sexual orientation is an enduring emotional, romantic, or sexual attraction to other people. Gender identity is one’s innermost concept of self as male, female, a blend of both, or neither. Gender expression is the external appearance of one’s gender identity. Transgender is an umbrella term for people whose gender identity and/or expression is different from cultural expectations based on the sex they were assigned at birth. Gender transition is the process by which some people strive to more closely align their internal knowledge of gender with its outward appearance. Gender dysphoria is clinically significant distress caused when a person’s assigned birth gender is not the same as the one with which they identify.
Understanding these concepts is key to creating a more inclusive society that respects and celebrates diversity.
https://www.hrc.org/resources/sexual-orientation-and-gender-identity-terminology-and-definitions
Celebrate Diversity this Pride Month: Why Are People Still Fixated on Others’ Sexual Preferences?
“I’m baffled by the obsession some people have with other people’s sexual preferences. At the end of the day, it’s a personal choice that doesn’t affect anyone else’s life. It’s long overdue to move beyond that dogmatic thinking and embrace the beauty of diversity.” — Zarina Tsomaeva
The Future of Cryptocurrencies: Secure and Stable
The future of cryptocurrencies appears to be stable and secure, with crypto technology and blockchain infrastructure being transferred to more reliable hands. The global financial world recognizes the significance of this technology, which has become a protagonist in the industry. However, no sector is free of risks, especially when it involves money. The good news is that crypto technology penalizes wrongdoers quickly, leaving them with few places to hide.
Despite the occasional bad actors, crypto and blockchain will continue to be integral parts of the modern economic toolkit. With the right people at the helm, the future of cryptocurrencies is looking brighter than ever.
At LOQUAT Inc., we are in a constant search of HOW we can make our customer’s journey a personal, pleasant and up-to-date experience. We believe in the future of Web3 and its potential to democratize financial services.
https://www.weforum.org/agenda/2023/01/future-of-cryptocurrencies-davos2023/
What is Decentralized Finance (DeFi)?
DeFi has been gaining momentum in recent years due to its decentralized nature, which allows users to transact directly with each other without the need for intermediaries. This not only reduces costs but also increases transparency and security, as all transactions are recorded on a public blockchain ledger.
DeFi applications include decentralized exchanges, lending platforms, stablecoins, and prediction markets, among others. These applications are built on open-source protocols, enabling developers to create new financial products and services that are accessible to anyone with an internet connection.
The growth of DeFi has been driven by several factors, including the increasing adoption of cryptocurrencies, the rise of blockchain technology, and the growing dissatisfaction with traditional financial institutions. DeFi has the potential to disrupt the financial industry by providing more accessible and inclusive financial services to individuals and businesses worldwide.
Moreover, DeFi is not limited to a single geographic location, making it a truly global phenomenon. It has already gained significant traction in emerging markets where traditional financial services are often inaccessible or unaffordable. DeFi is also attracting institutional investors, who are looking for new ways to diversify their portfolios and generate higher returns.
DeFi is a rapidly growing sector that is poised to transform the financial industry.
Web3: Is the Future Decentralized?
Web3 is the new buzzword in the tech industry, and it’s not just a concept anymore. Web3 is a term that refers to the third generation of the internet. It is a decentralized and more secure version of the internet that uses blockchain technology to create a more transparent and democratic online environment. The goal of Web3 is to shift the power from large corporations to individuals, allowing them to own and control their data, content, and digital identity.
Web3 is not just a concept, but it is already being implemented in various ways. For instance, decentralized finance (DeFi) is one of the most popular use cases of Web3 technology. It allows people to access financial services without intermediaries such as banks.
In addition to DeFi, Web3 also includes other technologies such as decentralized autonomous organizations (DAOs), non-fungible tokens (NFTs), and decentralized storage systems. These technologies are still in their early stages, but they have the potential to revolutionize the way we interact with the internet.
To prepare for the Web3 era, businesses need to understand the underlying technologies and the potential applications of Web3. They also need to be aware of the regulatory challenges that come with this new version of the internet.
Feel Good Sunday – From Tragedy to Forgiveness: A Story of Hope and Redemption
In 1995, a tragic event occurred that changed the lives of Azim Khamisa and Ples Felix forever. Khamisa’s son was murdered by Felix’s 14-year-old grandson in a gang initiation fueled by drugs and alcohol. However, instead of seeking vengeance, Khamisa and Felix chose the path of forgiveness. They both embarked on a journey of deep meditation and eventually met to forge a lasting bond. Their story is a testament to the power of forgiveness and reconciliation.
Khamisa is now a renowned speaker on nonviolence, forgiveness, and peace-building. He firmly believes that nonviolence can be learned, but it must be taught. Children are not born violent, and it is up to us to teach them the values of goodwill, friendship, trust, empathy, compassion, and peace.
Their TED Talk, “What Comes After Tragedy? Forgiveness,” is a must-watch for those seeking inspiration and hope. As Khamisa says, “Peace is possible,” and he knows this to be true because he has found peace within himself.
Sustained goodwill creates friendship, sustained friendship creates trust, sustained trust creates empathy, sustained empathy creates compassion, and sustained compassion creates peace. I call this my peace formula. It starts with goodwill, friendship, trust, empathy, compassion and peace.
Azim Khamisa, Ples Felix: What comes after tragedy? Forgiveness
https://www.ted.com/talks/azim_khamisa_and_ples_felix_what_comes_after_tragedy_forgiveness
Curious Saturday: Unmasking Racial Bias: How to Disrupt It and Create Change
Join psychologist Jennifer L. Eberhardt in a thought-provoking TED talk that exposes the pervasive nature of unconscious bias and its devastating impact on Black people. From schools to the justice system, our brains are wired to categorize and make snap judgments based on patterns, perpetuating bias. Eberhardt challenges us to create friction points that disrupt our biases and make us aware of our assumptions. She urges us to question who our biases protect and who they put at risk. By reflecting on the evidence of our assumptions, we can demand change from institutions and create a safer, more equitable society.
Don’t miss this powerful talk: https://www.ted.com/talks/jennifer_l_eberhardt_how_racial_bias_works_and_how_to_disrupt_it
How do we encourage a constructive conflict?
Are you tired of being surrounded by people who always agree with you? Margaret Heffernan, former CEO of five businesses, reveals how disagreement can be the key to progress. In her TED Talk, she explains how the best partners are not just echo chambers, and how great research teams, relationships, and businesses allow people to deeply disagree.
But how do we encourage constructive conflict? First, we need to seek out people who are different from us. Instead of sticking to our comfort zones, we must engage with people from different backgrounds, disciplines, and ways of thinking. Unfortunately, most executives are afraid to raise issues or concerns at work, leading to stagnation and missed opportunities.
Openness is just the beginning. To truly harness the power of disagreement, we must develop the skills, habits, and moral courage to use it.
https://www.ted.com/talks/margaret_heffernan_dare_to_disagree
As the digital age continues to evolve, financial institutions (FIs) are faced with the challenge of ensuring security and compliance in their operations.
To address this issue, Loquat, has developed a range of solutions that act as checkpoints to reduce data breaches and fraud for the FIs they work with. The company’s Chief Compliance Officer, Pawneet Abramowski, offers her insights into how FIs can approach security concerns in the digital age.
In a recent executive interview, Abramowski highlights the importance of Business as a Service (BaaS) solutions for reducing fraud risk and maintaining compliance in banking. She emphasizes that FIs need to be proactive in their approach to security, and that BaaS solutions can provide the necessary tools and support to help them achieve this.
By leveraging the latest technologies and best practices, FIs can stay ahead of the curve and ensure that their operations remain secure and compliant. With Loquat’s expertise and solutions, FIs can achieve their security and compliance goals with confidence.
Tune into our executive interview with Loquat CCO Pawneet Abramowski: https://loquatinc.io/blog/baas-is-the-secret-weapon-to-reduce-fraud-risk-and-maintain-compliance-in-banking/
In today’s world, businesses are expected to operate with social impact and environmental sustainability in mind. And the financial sector is no exception. Many companies now expect banks to offer sustainable financing products and incorporate ESG (Environmental, Social, and Governance) principles into their operations, from investments to partnerships.
Loquat is a Banking-as-a-Service (BaaS) technology platform that is committed to ESG initiatives. We believe in social responsibility, diversity, and financial inclusion, and we strive to promote these values throughout our business. We work closely with financial institutions that share our commitment to ESG, and we are dedicated to providing a platform that helps small business owners succeed.
At LOQUAT Inc., we believe that incorporating #ESG into a financial institution’s strategy is essential for several reasons. First, it helps to mitigate risks and improve long-term financial performance. Second, it aligns with the values and expectations of customers, employees, and other stakeholders. Third, it promotes sustainable growth and supports the transition to a low-carbon economy. And finally, it helps to build trust and reputation, which are critical for success in today’s business environment.
To learn more about why financial institutions must have an ESG strategy, visit our blog at https://loquatinc.io/blog/4-reasons-financial-institutions-must-have-an-esg-strategy/
If it were up to SMBs, they prefer to bank with local financial institutions – to the tune of 89%!
However, when it comes to conducting business, convenience and innovation reign supreme. 45% of SMBs primarily bank with large national banks due to the availability of digital banking tools.
69% shared that the pandemic and resulting economic crisis have accelerated the dire need for convenient, digital banking solutions.
To meet the tech expectations of banking users, local banks need to make some changes.
If you’re interested in learning more about the future of small business banking and how local banks can adapt to meet the needs of their customers, check out this informative blog post: https://loquatinc.io/blog/small-business-banking-of-the-future-what-we-need-to-know/
Discover the Future of Banking: Banking as a Service (BaaS) is transforming the financial industry
One of the key advantages of BaaS is that it allows credit unions and smaller banks to remain competitive by improving the customer experience, which is crucial in today’s highly competitive market.
BaaS platforms like Loquat help combat potential revenue loss and member churn, reduce fraud and customer acquisition costs, and increase speed and efficiency.
Additionally, BaaS simplifies time to market, enabling banks to scale at the speed they desire.
By leveraging BaaS, financial institutions can offer a range of innovative services to their customers, including mobile banking, digital payments, and more.
Learn more about how LOQUAT Inc. is revolutionizing the banking industry: https://loquatinc.io/blog/how-baas-is-revolutionizing-the-banking-industry-four-fast-facts/
Feel Good Sunday: Don’t Feel Sorry for Refugees — Believe in Them
Luma Mufleh, a Jordanian immigrant and Muslim of Syrian descent, shares her inspiring stories of hope and resilience in her TED Talk, “Don’t feel sorry for refugees — believe in them.”
As the founder of the first accredited school for refugees in the United States, Mufleh is helping young people from war-torn countries navigate the difficult process of building new homes. We should not be stopping refugees from coming into our countries, but rather, we should be focusing on not forcing them to leave their own. Mufleh’s talk is a reminder that we need to do more to prevent the escalating anti-refugee sentiment that is spreading globally.
With 65,3 million people forced out of their homes due to war, it’s time for us to create a world where refugees are welcomed and embraced, not shamed and rejected.
Check out Mufleh’s inspiring talk and join the movement towards a more compassionate world.
https://www.ted.com/talks/luma_mufleh_don_t_feel_sorry_for_refugees_believe_in_them
Is Working Hard Really All It Takes to Be a Good Person? Azim Shariff Says No!
We’ve all heard the phrase “hard work pays off,” but what if that’s not entirely true? Social psychologist Azim Shariff challenges the notion that working hard equates to being a good person. He explores the roots of this belief and proposes a shift towards valuing meaningful effort over labor for labor’s sake.
Imagine your job being replaced by a computer, but you still have three years left on your contract. Would you continue to work or take advantage of the situation and stay home? Shariff reveals that those who choose to keep working are often seen as more moral, even if they add no extra value.
We’re all searching for the best collaborators in life, and we want to show others that we are that person too. But what if we’re asking for the wrong thing? Shariff suggests that we should focus on producing something meaningful instead of just putting in effort.
If what we ask from each other is to produce something meaningful, we will create a world full of meaning. And what could be more moral then that.
https://www.ted.com/talks/azim_shariff_does_working_hard_really_make_you_a_good_person/c
Women’s Leadership: Are women leaders competent or likable? Why can’t they be both?
Robin Hauser’s TED Conferences Talk delves into the issue of bias against women in leadership roles. She highlights the dilemma faced by women in leadership positions, where competence and likability are often at odds with each other. Hauser uncovers the unconscious beliefs and gendered thinking that distort the perception of what makes a good leader.
Bias is an inherent part of our survival instinct, but it’s also unconscious. We often believe that we’re open-minded and unbiased, but we’re limited in our ability to recognize our biases. Women in leadership positions are judged more harshly because of the association of leadership with masculine traits.
Hauser suggests that we need to redefine what it means to be a leader and a woman. We need to disrupt stereotypes and focus on being smart, compassionate, and effective leaders. We need to speak up against gender bias and question comments made about a woman’s appearance or personality. We need to slow down and reconsider our snap judgments.
Hauser’s talk is a reminder that leadership and likability should not be mutually exclusive for women or men. We need to value each other for the unique contributions we bring to the table, regardless of gender.
https://www.ted.com/talks/robin_hauser_the_likability_dilemma_for_women_leaders_jan_2022
“Even the smartest economic policymakers are going to make mistakes. And when those mistakes involve very powerful technologies, and some people control that, and they can shape them in a way that empowers them further or makes them the beneficiaries, makes them the takers, that’s when you’re going to have a lot of trouble”. – Massachusetts Institute of Technology Economist Daron Acemoglu
https://www.ft.com/content/67e49261-d046-424e-adf7-7cef5cb00292?shareType=nongift
The importance of community banks cannot be overstated
Community banks are more than just financial institutions; together with the credit unions they are pillars of their communities. They are locally owned and operated, which means they understand the unique needs of their customers and are committed to supporting the local economy.
With their unique ability to build strong relationships with their customers, community banks have become major players in small-business lending, accounting for 36% of all small-business loans and 31% of farm-sector debt, according to the Federal Deposit Insurance Corporation (FDIC).
Furthermore, community banks are often more resilient during economic downturns than larger banks. They tend to have lower levels of debt and are less exposed to risky investments. This stability helps to ensure that they can continue to serve their customers even during difficult times.
To preserve the diversity of the banking system and ensure that small businesses and agriculture can access the funding they require, supporting community banks is critical.
Protect your data from falling into the wrong hands
Data privacy is a crucial aspect of our digital lives that demands serious attention. It is an inalienable human right that empowers individuals to take charge of their personal information. With the growing dependence on technology, it has become more critical than ever to shield our data from potential misuse or exploitation.
It is essential to recognize that we should have the power to determine what constitutes data, what details we disclose, to whom, and for what purpose.
Data privacy is a fundamental right that deserves utmost respect and protection, and it is our duty to take appropriate measures to safeguard our personal information.
LOQUAT Inc.‘s Small Business Banking Platform is built on three pillars: Data Privacy and Information Security, Transparency, and Simplicity. We use AI and ML technologies to remove biases that exist within the financial industry.
Learn more HOW at: loquatinc.io
Gartner, a top research and advisory firm, has recently published a report that outlines over 100 predictions on data and analytics through 2028. The report provides insights into emerging trends and opportunities in this rapidly evolving field, offering valuable guidance for organizations looking to harness the power of data and analytics to drive growth and innovation.
The report emphasizes the increasing importance of data and analytics in driving business strategy and creating value. With the rapid acceleration of digital transformation, organizations have access to vast amounts of data that can be used to develop data-driven business strategies and information products.
However, many organizations struggle to adopt a data-centric approach, highlighting the need for data and analytics leaders to elevate their strategies and develop a new vision of problem-solving. This shift also requires a rethinking of enterprise competencies and management ethos, potentially leading to significant workforce change management impacts.
https://www.gartner.com/en/doc/over-100-data-and-analytics-predictions-through-2028
Experience a Feel Good Sunday with Elif Shafak: The Revolutionary Power of Diverse Thought.
Discover the unique voice of novelist Elif Shafak. Blending East and West, feminism and memory, the local and the global, Shafak’s writing champions complexity and diversity. Her work gives voice to the voiceless and disempowered, connecting us across borders and reminding us of life’s fluidity and ambiguity. In a world where some promote division, Shafak reminds us of the indispensability of democracy, the need for global solidarity, and the beauty of cosmopolitanism. Don’t miss out on the insights of this thought-provoking author.
https://www.ted.com/talks/elif_shafak_the_revolutionary_power_of_diverse_thought/transcript
From Snooze to LOLs: The Secret to Turning a Sad Story into a Hilarious Hit!
Are you tired of telling stories that put your audience to sleep? Jodie Houlston-Lau has the answer! In this animated TED talk, she reveals how to add humor to your stories and make them unforgettable.
By incorporating comedic relief, you can create a balance between emotions and keep your audience engaged. Jodie shares tips on how to use characters, situations, and language to create a humorous effect. But, timing and contrast are essential!
https://www.ted.com/talks/jodie_houlston_lau_how_to_make_a_sad_story_funny
Protect Your Business in the Digital Age: Don’t Overlook the Human Factor!
In today’s fast-paced digital world, cybersecurity has become an essential aspect of any organization. However, it is crucial to note that human error is the leading cause of cybersecurity breaches. It is vital to remain vigilant and not let cybersecurity fatigue set in. When designing cybersecurity controls, it is essential to consider human factors and involve senior leadership to mitigate insider risks.
Deepfakes and misinformation are also emerging threats that can harm your business. Fortunately, AI can help you stay ahead of these threats. By incorporating AI support for human decision-making, you can outsmart these emerging threats. However, it is essential to be cautious when discussing zero trust beyond the security team to protect employee trust.
If you are looking for a banking platform that prioritizes DataPrivacy, InformationSecurity, Transparency, and Simplicity, Loquat is the perfect choice for you.
To learn more about Loquat, visit: www.loquatinc.io
Innovation is a crucial aspect of business growth and success. It is a process that involves generating new ideas, products, or services that can help a company stay ahead of the competition. However, it isn’t just about adopting the latest technology or trend. Innovation is about addressing the most pressing business challenges and finding solutions that can provide tangible results that boost the bottom line.
Innovation can take many forms, from introducing new products or services to improving existing ones. It can also involve enhancing internal processes, streamlining operations, and reducing costs. To be truly innovative, companies must be willing to take risks, experiment, and embrace change.
Innovation is essential in today’s fast-paced business environment, where disruptive technologies and market forces can quickly render existing models obsolete. By focusing on innovation, companies can stay ahead of the curve, anticipate future trends, and better serve their customers.
In conclusion, innovation is not just a buzzword; it is a vital component of business success. Companies that prioritize innovation and invest in it will be better equipped to navigate the challenges of the future and thrive in today’s competitive landscape.
In today’s fast-paced business environment, banks need to stay abreast of the latest technological advancements to remain competitive. While a bank’s core technology may have served it well in the past, it may not be suitable for the future.
With the rise of fintech products, banks are being forced to compete in new and innovative ways. This means that banks must be able to adapt quickly to changing market conditions and customer preferences. One way to achieve this is by upgrading their core technology.
Have you heard of DTaaS?
DTaaS is an all-in-one solution that uses advanced technologies like cloud computing, AI, machine learning, big data analytics, and IoT to help businesses transform seamlessly and continuously. DTaaS providers offer a range of services, from consultation to ongoing support, so businesses can implement digital transformation strategies without the need for in-house expertise. This approach helps businesses avoid the common pitfalls of traditional IT projects, such as cost overruns, delays, and failed implementations.
LOQUAT Inc., an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners.
The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMB) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
To learn more about Loquat, visit: www.loquatinc.io
Is your outdated core banking system holding you back? It’s time to consider an upgrade! But before you take the leap, make sure you’re prepared for the future.
Evaluate your current technology infrastructure and explore new technologies like AI and blockchain.
A core upgrade can bring improved efficiency, enhanced customer experience, and increased flexibility. But beware of potential risks and challenges like data migration issues and system downtime.
To ensure success, a core banking upgrade should be part of your overall technology modernization plan. Don’t let an outdated system inhibit your business and operations. Keep up with market changes and stay competitive by upgrading your core banking system. Ask the right questions and make an informed decision that supports your long-term goals.
LOQUAT Inc. entered into a Strategic Partnership with FIS (NYSE:FIS) to enhance and accelerate the delivery of its end-to-end digital small business banking platform to credit unions and community banks.
The Loquat | FIS Partnership will allow financial institutions to expedite and reduce the cost of new customer onboarding including KYC and KYB, streamline information flow, maximize data security, and manage information privacy throughout the entire customer journey.
Find Inspiration this Sunday: Have you ever asked yourself what you’re doing with your life?
Diana Nyad, a record-breaking long-distance swimmer, is here to inspire you to pursue your wildest dreams.
In her TEDMED talk, Nyad shares the story of her most impressive feat yet: attempting to swim from Cuba to Florida at the age of 60. She provides insight into her mental preparation and encourages viewers to chase their own extreme dreams.
Nyad’s talk is both powerful and humorous, leaving you feeling motivated to make the most of your life. So, take a moment to reflect on your own aspirations. What do you want to achieve? Let Nyad’s words inspire you to take action and pursue your biggest goals.
https://www.ted.com/talks/diana_nyad_extreme_swimming_with_the_world_s_most_dangerous_jellyfish
Curious Saturday: Get ready to level up your learning game!
Video games have a natural ability to captivate our attention and track our progress towards specific objectives. Kris Alexander, a video game design expert and avid gamer, believes that these same elements can be harnessed in traditional education to cater to diverse learning styles and engage students worldwide, whether in-person or online.
With their dynamic blend of audio, text, video, and interactivity, video games are a potent tool for intensifying focus. And Kris knows firsthand – he earned his PhD studying the impact of these elements on gameplay. Now, he’s on a mission to bring the power of video games to the classroom and beyond. So, whether you’re a seasoned gamer or a curious learner, get ready to unlock your potential and achieve your goals with the help of video game-inspired education.
https://www.ted.com/talks/kris_alexander_how_video_games_can_level_up_the_way_you_learn/c
Unleash the Power of Community: A New Playbook for Business!
Spreadsheets can only tell us so much. It’s time to shift our focus from numbers to the people who make it all possible. The old playbook for businesses and CEOs is outdated and ineffective. We need a new playbook that prioritizes people and communities.
The future of business is all about community. Let’s stop asking what a community can do for us and start asking what we can do for the community. The most successful businesses are the ones that are deeply rooted in their communities and actively seek ways to help.
Collaboration is key! It’s time to break down the walls and start working with the communities we serve. We need to listen to their needs and work together to achieve success. Are you ready to embrace a new way of doing business that puts people first?
Check out Hamdi Ulukaya’s TED Talk on “The Anti-CEO Playbook” for more inspiration!
https://www.ted.com/talks/hamdi_ulukaya_the_anti_ceo_playbook
Albert Einstein, one of the most brilliant minds in human history, believed that imagination was the key to unlocking the mysteries of the universe. He recognized that imagination was not just a fanciful notion, but a powerful tool that could help us to envision and create the future we desire.
Imagination is the ability to form mental images or concepts that are not present in our immediate surroundings. It allows us to explore new ideas, create new possibilities, and envision a better world.
Our imagination is what drives us to pursue our goals and aspirations, and it is what keeps us motivated and inspired.
Small Business Optimism Index Hits New Low, But Don’t Panic!
The National Federation of Independent Business (NFIB) recently reported that small business optimism has hit its lowest level since 2013. While this may sound concerning, it’s important to remember that sentiment doesn’t always reflect reality.
The good news is that 30% of small businesses reported having all their credit needs met, and 59% were not interested in a loan. Plus, a net 6% of small businesses found their last loan easier to obtain than previous attempts.
So, while the NFIB’s report highlights some challenges, it’s not all doom and gloom. Don’t panic, keep a level head, and remember that sentiment isn’t always a reliable indicator of economic activity.
Don’t wait for the storm to hit!
According to McKinsey, banks can stay ahead of the game during economic uncertainty by developing early warning signals at an industry level. By keeping a close eye on customer behavior, supply chain disruptions, and market demand, banks can proactively mitigate credit risks and maintain financial resilience.
Don’t leave your bank’s success up to chance! By taking a strategic and proactive approach to credit risk management, you can position your bank for long-term success. Don’t let economic uncertainty knock you down – be prepared with early warning signals and stay ahead of the game.
Banks Hit the Brakes on Lending: Are Small Businesses at Risk?
The latest Senior Loan Officer Opinion Survey (SLOOS) conducted by the Federal Reserve has revealed that banks are slamming the brakes on lending, with credit terms becoming more stringent. This trend is particularly evident for small businesses, with almost half of banks surveyed reporting tighter credit conditions than in previous surveys.
What does this mean for the economy? While the survey suggests that demand for loans has declined, it remains to be seen whether this will have a significant impact on the wider financial system. Nonetheless, it is clear that banks are taking steps to manage risk and ensure the stability of the financial system.
Are small businesses at risk? With credit conditions tightening, it may be harder for small businesses to secure the financing they need to grow. Stay tuned for updates on this developing story.
Feel Good Sunday: I’m tired of people telling me to “grind”
They sleep – I grind.. Why?… May be you would not need to grind so much if you sleep at night..
Check out this TED Talk by Pardis Parker on why we need to reevaluate our obsession with grinding and embrace a healthier approach to success. Let’s make self-care a priority and stop glorifying burnout culture.
https://www.ted.com/talks/pardis_parker_i_m_tired_of_people_telling_me_to_grind
Curious Saturday – Surf’s Up: The Physics of Catching the Perfect Wave
What’s holding you back from catching the perfect wave? If you’re curious about the physics of surfing, then you’re in for a treat! Join Nick Pizzo as he takes you on an educational and exciting ride on what it takes to catch the ultimate wave.
From weather patterns in the South Pacific to tectonic geology and fluid mechanics, Nick uncovers the science behind the art of surfing. Get ready to be amazed at how much goes into catching that perfect wave!
Don’t miss out on this cool and informative animation that’s sure to make you appreciate the sport of surfing even more. Watch “The Physics of Surfing” now on TED and get ready to hit the waves like a pro!
We believe smallbusinesses are the roots of a diverse society that drives innovation forward, and there should be no barriers or limits to their growth
Small Businesses are the Heart and Soul of our Communities!
Small businesses are the backbone of our society, adding a unique flavor to our neighborhoods that cannot be replicated. Without them, the world would be bland and uninspired, lacking the diversity and vibrancy that makes it so special. These small ventures symbolize the grit and determination of individuals who dared to pursue their dreams and passions.
“The world without small businesses would be a very boring place. Their mere existence makes communities unique and the world more diverse.” – Zarina Tsomaeva, CEO & Founder, LOQUAT Inc.
They offer us a chance to explore new and exciting products and services that are not available from large corporations. By supporting small businesses, we not only sustain our local economies but also invest in the creativity and innovation that propels our society forward.
The “State of AI Report 2022” by Nathan Benaich & Ian Hogarth is a fascinating read, offering insights into the latest developments in Artificial Intelligence. The report aims to spark an informed conversation about the state of AI and its implications for the future.
One of the most intriguing observations in the report is the race for compute power, with companies building computers bigger than national supercomputers. OpenAI CTO, Greg Brockman, believes that whoever has the biggest computer will reap the most benefits.
Overall, the “State of AI Report 2022” is a must-read for anyone interested in the future of AI and its impact on society.
https://oracleblog.org/wp-content/uploads/2023/02/State-of-AI-Report-2022-ONLINE.pdf
The world is changing rapidly and the traditional methods of predicting outcomes are no longer reliable. Banks need to adapt and develop new metrics that enable them to identify risks and opportunities quickly and efficiently. McKinsey’s guidance on credit risk management highlights the need for forward-looking approaches to navigate economic uncertainty.
LOQUAT Inc., a fintech company, has developed a banking as a service platform that caters to small businesses. The platform is designed by a team of experts in banking, fraud prevention, technology and digital transformation, and business ownership. It provides credit unions and community banks with an end-to-end solution that streamlines digital banking functionality for small and medium-sized businesses. The platform offers new account onboarding, lending options, and fraud prevention without compromising user experience.
To learn more about Loquat and its innovative banking solutions, visit our website at http://www.loquatinc.io
In today’s world, businesses need to keep up with the fast-paced digital landscape to remain competitive. However, transformation is no walk in the park, and there are many factors to consider to ensure success.
One of the most critical factors is innovation from the top. It’s essential for leaders to embrace change and foster a culture of innovation within the organization. Prioritization is also crucial, as businesses need to focus on the most critical areas for transformation. A thriving culture is vital to ensure employees are engaged and committed to the transformation process. Technological flexibility is another critical factor, as it enables businesses to adapt quickly to changing market conditions. Finally, businesses need to balance risk and reward, as transformation involves taking risks, but the rewards can be significant.
At LOQUAT Inc. we understand the challenges of transformation and can help you navigate the process successfully. We offer a range of services, including digital banking, community banks, credit unions, fintech, banks, small business, BaaS, tech, leadership, workforce development, and career coaching. Contact us today to learn more about how we can help you with your transformation journey.
https://www.bcg.com/publications/2023/why-the-prioritization-stage-is-key-to-success
Fun Fact Sunday: How everyday interactions shape your future
As a social psychologist and professor, Mesmin Destin designs experiments illuminating experiences that change how we see ourselves in ways that inspire and support possibilities.
“What if schools and systems that we’re in as we’re growing up supported everyone’s vision and potential?
What if they encourage people to see that there is a path to the goals that they’re working towards and that there are ways that the circumstances of their lives, whatever they may be, are setting them up for success as they see it, building up their identities rather than shrinking them.”
These messages can be backed up by the policies that are necessary to make the financial resources that you need to reach these goals actually available for every kid, without taking on crippling debt.
https://www.ted.com/talks/mesmin_destin_how_everyday_interactions_shape_your_future
At LOQUAT Inc. we are driven by social responsibility, transparency, and an inclusive approach. We stand for humanity and financial inclusion.
Learn more about our story: https://lnkd.in/dgMaytDn
LOQUAT Inc. an innovative financial technology company, developed and operates a proprietary banking as a service platform designed with the small business customer in mind by a world-class team of former banking executives, fraud specialists, technology and digital transformation experts, and business owners.
The end-to-end-platform allows credit unions and community banks to improve or launch a streamlined digital banking functionality aimed at serving small and medium-sized businesses (SMBs) from new account onboarding through delivering lending options, while preventing fraud without sacrificing on the user experience.
Learn more about Loquat platform: https://loquatinc.io/
Psychological tests might help companies hire better — but they cannot be used to predict job performance.. at least yet…
“Only 10-15 per cent of companies on the Fortune 500, FTSE 100 and S&P 500 indices did not use some kind of pre-employment testing, according to Chamorro-Premuzic. Yet there is no guarantee such hiring tools work.”
In March more than 1,800 signatories — including Musk, the scientist Gary Marcus and Apple co-founder Steve Wozniak — called for a six-month pause on the development of systems “more powerful” than GPT-4. Few weeks later Elon Mask set up a new company to compete with Open AI.
What is AI Alignment?
In the field of artificial intelligence (AI), AI alignment research aims to steer AI systems towards their designers’ intended goals and interests.
“Alignment is an unsolved research problem. We don’t yet understand how human brains work, so the challenge of understanding how emergent AI “brains” work will be monumental.” Jan Hogarth
https://www.ft.com/content/03895dc4-a3b7-481e-95cc-336a524f2ac2
At LOQUAT Inc. we are seeing applications of AI far beyond a chatbot. 2022 was pivotal in laying the foundation for what is to come in 2023 and beyond where we have progressed from text-to-image to ChatGPT.
As we explore and try to understand what AI solutions are, it is imperative to understand how it could be implemented in the Financial Institutions to drive performance improvements.
https://www.ft.com/content/03895dc4-a3b7-481e-95cc-336a524f2ac2
“Ignoring technological change in a financial system based upon technology is like a mouse starving to death because someone moved their cheese.” – Chris Skinner
- The augment approach involves adding financial components sourced externally or from other parts of the enterprise to existing or future financial services offerings.
- The productize approach involves distributing financial components as products to other enterprises.
- The contextualize approach involves addressing specific customer issues or problems that may not align with traditional banking products or services.
- The diversify approach involves distributing nonfinancial components to third parties.
- Developing AI across their enterprises
- Thinking like tech companies
- Improving data practices
- Creating AI factories
- offering services tailored to small business needs
- streamlining digital account opening and onboarding
- providing sophisticated self-service capabilities
- prioritizing payments with a higher level of security and accuracy
- putting financial wellness at the center by providing personalized guidance and messaging.
- AI enables products to personalize the user experience
- AI has a significant potential in enterprise-oriented applications for internal search
- AI can augment or even spark human relationships
- AI can help us connect with people who are no longer around or available
“Digital technology cannot fully replace traditional brick-and-mortar interactions with the customers, but it can enhance and complement them.” – Zarina Tsomaeva, CEO & Founder, LOQUAT Inc.
“Personalization is one of the most sought-after features that SMBs want from financial partners.
– 83% sought convenience from their financial partners– 69% want customer analytics and intelligence
– 65% who are likely to work with a financial advisor to receive the personalized attention they need.”
“A report by the Small Business Association indicated that over 99% of all businesses in the U.S. are small businesses. They create 66% of new jobs and deliver 43% of gross domestic product (GDP). Yet, two-thirds of these business owners feel underserved, misunderstood and unappreciated by their primary bank.” – Credit Union Times.
Happy Easter! Funny Easter from the Loquat team!
- Analytics and Data Integrity
- Data and Information Security
- Researching new technologies
- Going digital and embracing emerging technologies
- Promoting an agile culture
- Evolving alongside the future of work
- Monetizing data and leveraging platforms
- Planning across the entire financial ecosystem
— Executive Alignment and Vision
— Culture and Operational Structure
— Technology and Infrastructure
— Risk-Reward Balance
“Customers highly value proactive service experiences and organizations can provide greater value by shifting to a more predictive service model, which can drive growth for the company and reduce customer effort.” — Minesh Valera, CTO at LOQUAT Inc.
“Within firms, nominal wages are relatively insensitive to local prices. In the absence of national wage setting, wages for national wage setters would vary across establishments by a median of 6.1%, and profits would be 3 to 5% higher.” – Becker Friedman Institute for Economics Finding from University of Chicago Research
This new paper from Becker Friedman Institute for Economics “addresses the issue of minority status and the likelihood of police encounters by reviewing driving data from Lyft records in Florida from August 2017 to August 2020, totaling over 40 billion observations. These data allow the authors to explore whether minority drivers, because they are minorities, are more likely to be stopped and to be issued a citation. To examine this question, the authors focus on citations for speeding.”
Curious Saturday: We ARE our stories..
LOQUAT Inc. is a next-gen BaaS platform, and its modern UI that provides a rich User Experience that exceeds expectations, will help you meet your user demands.
Melissa Fleming: Let’s help refugees thrive, not just survive.
https://www.ted.com/talks/melissa_fleming_let_s_help_refugees_thrive_not_just_survive
- Since most components of sole proprietorship registration are entirely self-reported by an individual, they require more extensive KYC checks.
- We’ll see more proprietaryAnalytics and identifiers. Many leading KYC startups aggregate hundreds of disparate data sources to provide comprehensive coverage, but few have been able to convert this data into a proprietary identifier.
- The identity verification players can vertically integrate by expanding more broadly into areas like onboarding and credit-related workflows.” – Seema-Amble and Marc Andrusko, Partners, Big Ideas in Tech for 2023 | Andreessen Horowitz
Loquat is constantly innovating.
If you have an idea for small business banking – let’s build it together!
“In 2023 31% of the CEOs see an increasing cybersecurity risk.” – EY Survey “CEO Outlook Pulse”
Curious Saturday – What is Gini index?
Regardless of rampant inflation fears, geopolitical tensions, and on-going pandemic fears, banking CEOs are intent on #transforming their organizations to stay ahead of disruption while guarding against these challenges.
🎉 Happy 2023 🎉 from Loquat!
“Banking technology has made it simple and efficient to invest in good causes.” – Mark Skousen (American Economist)
Merry Christmas 🎄 and Happy Holidays 🎈 from team Loquat!
Loquat’s Non-Traditional lending platform can authenticate, verify, underwrite via Proprietary Scoring Models, and disperse funds via a virtual debit card.
Learn how at: https://loquatinc.io/financial-institutions/
Happy Hanukkah from Team Loquat!
We stand for Humanity, Respect for all, Individual Freedom, Financial Inclusion.
Learn more about our story: https://loquatinc.io/about/
As a research by Harvard Business Review suggests, “gratitude has a profound impact on employees.”
https://hbr.org/2022/04/research-more-powerful-people-express-less-gratitude
Happy Thanksgiving from Loquat!
- increase retention
- grow revenue
- attract new members
Thank you!
Happy Diwali!
When we ditch our assumptions and embrace the power of storytelling, we can regain our sense of child-like wonder.
An entertaining Ted Talk for your Saturday morning: https://www.ted.com/talks/zach_king_the_trick _to_regaining_your_childlike_wonder
A new study from Juniper Research found that the value of the BaaS industry sits at $11 billion and the next 5 years of growth will be driven by the BaaS providers who offer a user-friendly banking and payments experience, improving relationships between banks and their customers or members.
In hard economic times, it can be easy to lose sight of what is important: how to best serve our customers in times of need.
We agree with Gartner that it starts with creating a customer-centric culture, deploying listening, empathy, and customer engagement, and measuring the progress as we navigate periods of uncertainty.
