- Cloud-based business transformation platform optimized for financial services and designed to deliver rapid results
- Obsolescence-proof technical architecture with rapid deployment capabilities to meet changing industry needs
- Leverages insights from 60,000 EY technologists, a deep understanding of the regulatory landscape and decades of cross-industry experience
EY today announced that it has expanded its technology ecosystem with the launch of the business transformation platform, EY Nexus, which is optimized for financial services and designed for the rapid deployment of new products and solutions.
The launch of EY Nexus marks a significant milestone, with the EY organization recently announcing combined global revenues of US$45.4 billion for the fiscal year ending June 2022. This comes as the organization continues to invest in technology, with EY Nexus playing a crucial role in resolving complex client issues quickly.
Demand for systems and applications that adhere to modern architecture and use microservices is driven by stagnant progress due to cumbersome legacy systems, growing regulatory pressure, and changing customer expectations.
This demand causes an operational impasse for many organizations as they juggle competing priorities.
With technologists based around the world in eight regional technology hubs, EY Nexus is part of a mature ecosystem of more than 60 products and 55 industry alliances serving 180 countries. The launch of EY Nexus paves the way for banks, insurers, and wealth and asset managers to build growth and achieve results quickly, by integrating with existing systems technologies using vendor-neutral services.
Fueled by deep knowledge of the financial services industry and extensive technology capabilities across the EY organization, EY Nexus is now present in six countries, already powering more than 40 financial services companies and representing the growing desire of banks , insurers and wealth and asset managers. to self-disrupt in an age where data speaks and sweeping changes are emerging outside of the industry.
A recent report from the EY Tapestry Network highlighted that 70% of data investments over the past decade are not reusable and do not address broader transformation capabilities.
David Connolly, Global Head of Insurance Technology at EY, says:
“Disruption from FinTech and InsurTech challengers is not the main threat to incumbents – while they remain firmly on the radar, the emerging risk is posed by service providers who recognize the power their data wields. thousands of data points at their disposal in real time, they have realized the art of what is possible, giving them a distinct opportunity and competitive advantage.
“The sector is at an inflection point, with integrated finance leading the way. EY Nexus is a solution that can integrate into all areas of industry, with the ability to create a new bank or insurance company outside of an organization’s legacy systems at incredible speed. Additionally, this can be achieved with existing systems, providing frictionless integration without disrupting the operating model.
“These are game-changing feats, and EY teams are beating the drum for customers who recognize that the sheer volume of data collected at every touchpoint in our lives is reshaping the way we do business.”
Prepared for highly regulated industries
In addition to regional technology hubs, EY Nexus is supported by 14 Global Delivery Centers for highly regulated industries and five cloud innovation labs – two essential components in developing modular and scalable solutions for financial services players.
With 1 trillion rows of financial data analyzed each year by EY technology products, this represents the marked evolution of data and how it can be used to iterate and extend products, services and experiences.
While using data sounds appealing, analyzing and activating it presents a significant challenge for organizations with heavy technology stacks, multiple applications, varying needs, and limited access to capital. While incumbent banks still retain their edge in their market, neobanks are gaining ground with cross-generational gains. The EY 2021 Next Wave Global Consumer Banking Survey highlighted that 27% of all global consumers have a relationship with a neobank, with the 25-34 age bracket leading the way.
David Deane, EY Americas Consulting Digital Leader, says:
“Financial services organizations grapple with a variety of strategic priorities: their net zero goals; increased customer expectations, particularly following the global pandemic; how they react to new market entrants; and emerging technology.
“Meeting immediate customer needs is not enough in today’s rapidly changing environment: institutions must be prepared to iterate and experiment, to step into their customer’s shoes and fully understand what is disrupting their sector.
“The risk is real – not addressing the future could be commercially catastrophic; customers – and the next generation of tech-savvy talent yearn for a frictionless experience that fits seamlessly into their lives. It must also be intuitive, anticipating every movement. As the trust gap between consumers and financial institutions widens, banks, insurers, and wealth and asset managers have a vital role to play, and it starts with human technology first.
Data is the future
Wealth and asset managers are also facing big data, with more exploitation of technology to generate advice. According to a recent EY report, 57% of clients say digital tools have improved investment decision-making.
Sandeep Kumar, EY Americas Wealth and Asset Management Technology Leader, said:
“Legacy technology slows everything down – product development, innovation, decision-making, bold new services – the list is endless. Customers expect an exceptional experience in this age of immediacy and instant gratification; they want services end-to-end transparent, and if you can’t provide it, someone else will.
“Financial advisors today spend 60-70% of their time entering data into systems, and most of the time it’s the same data that’s added into multiple systems. Technology needs to change that equation and give advisors more time to focus on their clients and grow their business.”
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This press release has been issued by EYGM Limited, a member of the global EY organization which also does not provide services to clients.
About EY Nexus.