Can you please help with disruptive technology Innovation done in finance for last 100 years ? Specially in Investment Banking.

The disruptive innovation in the last decades has been the development of the internet that we are still living today. This fact has revolutionized, among many other sectors as different as: Telecommunications, the sale of some goods and services, the media, education, photography and video games. In fact, many companies that have failed to adapt their products or services after the emergence of the internet in society have ended up disappearing or facing a serious business crisis.

Business history is replete with examples of disruptive innovations. Among many others, we can highlight the railway, which had a great impact on the transport of people and goods; the sewing machine, which completely changed the textile sector; or firearms, which had a great impact on the military industry. Disruptive innovations are a type of innovations that affect a certain industry in such a way that they make it change drastically, and can even make the products and services that were part of it disappear from the market before the irruption of this innovation.

As investors, first of all, we must stay away from companies that may be victims of disruptive innovations or that are not capable of adapting to them, on the other hand, we can take advantage of investing in companies that can benefit from these types of innovations. The sectors most exposed to disruptive innovations are those related to technology. Technology companies are the ones that dedicate the most effort to innovation. Right now, millions of people, including many of the world's brightest minds, spend their time searching for the next innovation that will make them the leaders of the next General Electric, Microsoft or Google. Among the sectors least exposed to disruptive innovations we can highlight some such as food, agriculture, construction or raw materials. These sectors have been characterized by relatively little evolution or have done so gradually throughout history.

Financial Services is driven by its ability to be disruptive. Banks, brokerage houses and all institutions that offer financial services can be disruptive and innovate using technology such as artificial intelligence, algorithms, and the interconnection of everything through these 3 ways: Via one: offer better experiences from existing applications . When basic business features are already enabled, a closer look at these applications can often reveal the opportunity to interconnect your data and capabilities in new ways to create new applications and user experiences that will delight customers (internal and external) and They will differentiate the company from its competitors.

Track Two: Learn Insights and Insights Through Data and Analytics Applications: Financial services companies have long relied on data and analytics technology for insight. Analyzing data in back-office applications to understand what happened in the past led to the first wave of BI innovation and financial services analytics. Typical examples include trading positions and reports, commissions, compliance and more, understanding what is happening now fueled the second wave as access to real-time market data proliferated. Analyzing the data to better predict future results (customer turnover, for example) and prescribing more favorable results (a timely offering that mitigates customer turnover) is driving the current wave of innovation in financial services analysis .

Way three: make smarter applications with artificial intelligence. Adding Artificial Intelligence and Machine Learning (AI / ML) technology to existing applications is a third way that financial services companies can use disruptive technology to drive innovation.