Why a Traditional Master’s in Business Administration (MBA) in Finance Is Not Enough for the FinTech Industry of the future?

In the world of finance, the word “Fintech” may be unfamiliar to many people. Since most universities around the world offer a Master of Business Administration in Finance (MBA Finance), you may feel a bit strange referring to this degree as a Fintech degree. New ideas, innovative tools, and a bright future await you each year in the ever-developing financial sector. In the wake of the 2008 stock market meltdown and predicted global pandemic of 2020, millions of individuals throughout the globe found themselves deeply in debt. It calls into question the reliability of the conventional banking system, and poorly managed economies that drove the financial industry to make use of the most advanced tools at their disposal to create a more secure and reliable monetary system. 

The phrase “financial technology” originated during the information age, when banks and financial institutions began to widely utilize new technologies. Some of the most brilliant minds in the world have come together to establish Fintech, which combines economics, business, and IT to build a system that can never fail. Some examples of revolutionary Fintech accomplishments include the blockchain and cryptocurrency markets, artificial intelligence (AI) and machine learning (ML) on computers, cloud banking and investing, and virtual currency applications. Since it’s easy to get money for good ideas, the financial sector is eager to hire MBA Fintech, and most of them go on to start and run successful startups. 

The emerging financial technologies will make human intuition and habitual bias obsolete in the realm of personal finance. Apps with “learning” capabilities will not only track users’ behaviors, but also encourage them to play games that improve their financial judgments on the fly. The financial technology industry is also an early adopter of AI-powered chatbots and user interfaces, which help with routine customer care issues while reducing overhead. Fraud is also being stopped with the help of financial technology. This is done by using information about past purchases to find strange financial transactions. There are a few distinct types of users, but most may be categorized as either businesses, consumers, other financial institutions, or any combination of the above. Mobile banking, greater data, better analytics, and decentralized access will create opportunities for all four groups. 

As the Fintech industry grows, there is a greater need for specialized professionals. It’s crucial to choose a degree that gives you the skills you need. This article will discuss five different Fintech occupations that finance graduates would be well-suited for. It will also explain why a standard finance degree is not enough to get a job in the modern financial sector. An MBA in Fintech gives you the skills required for real-world industry projects or job duties, but an MBA in Finance isn’t enough to meet the current demand for financial skills. Customers’ familiarity with and ability to offer a thorough explanation of fintech tends to increase with age, just as it does with other types of technology. Naturally, millennials are the major target of consumer-oriented fintech because of their large numbers and growing earning (and inheritance) potential.

This article lists top five roles for Fintech graduates: 

1. Financial Analyst 

Analyzing financial data is a crucial task for every organization. A financial analyst is the backbone of financial decision-making and may ruin a business if the person doesn’t have the right capabilities. Therefore, it’s no surprise that corporations employ the best people and pay highly attractive compensation to its financial analysts. Financial analysts in any sector manage business funds, keep track of transactions, and make predictions about future investments and expenditures. An MBA in Financial Technology provides you the knowledge and expertise to make prudent financial decisions and valuations in today’s uncertain markets, low transparency, insufficient information, and conflicting investor interests. 

2. Blockchain Architect 

Experts in finance and economics have taken notice of cryptocurrencies like Bitcoin and Ethereum, which are founded on blockchain technology. Tech behemoths like IBM and Intel back open-source blockchain initiatives like Hyperledger Fabric, which is used in enterprise-level rollouts. Companies like IBM have created quantum computers and opened up their cloud AI so that banks might utilize it to make better use of high-tech computing. As a further example of the breadth of this topic, a whole essay might be devoted to the fascinating field of quantum computing. Let’s talk about Fintech and how you can use it to your advantage if you want to get an MBA in finance. 

According to a report conducted by the Times of India, the Global Blockchain Market is anticipated to reach USD 34 billion by 2026, expanding at a pace of 45%. The increasing development rate of the blockchain business necessitates the hiring of qualified personnel. A compound annual growth rate (CAGR) of 67.3% is expected for this industry over the next five years. This makes it the industry with the highest rate of growth in the world. 

3. Product Manager 

As a result of technological advancements in the consumer sector, there will always be a new product that can satisfy the wants of ravenous clients. Because of the influx of new financial products, product management has emerged as an integral aspect of the developing Fintech sector. Since blockchain-based financial goods, such as digital currencies, do not operate like conventional banking products, a highly creative product manager with a sense of creativity and talent may develop concepts and cutting-edge technology that can be relied upon by the sector. 

To successfully navigate the wide range of economic and technological challenges in the financial sector, an MBA in Fintech equips you with the knowledge and skills necessary to understand the financial terms and products used by Fintech companies. You will be happy to help the global economy grow and proud of your skills if you have a good grasp of legal and compliance procedures, a creative, smart way of thinking about money, and an understanding that each year brings new financial tools. 

4. Cybersecurity Specialist 

The Internet is an extremely hazardous place due to cyber attacks. In addition, financial institutions are regularly targeted by cybercriminals since they follow the money. So, there is a huge need for cyber security professionals in the Fintech industry. Companies are putting more money into preventing crime, and they will need even more security professionals in the future. Required capabilities include digital conversation capability, digital data analysis capability, digital incident investigation capability, and digital risk management capability. 

A security analyst’s roles and responsibilities include doing vulnerability testing, monitoring security access, conducting security audits, identifying security breaches, assessing the best testing tools, managing a team, and providing awareness training. Financial technology is one of the fastest-growing and most promising industries in existence today. The great majority of future people will be interested in learning more and exploring the opportunities it brings. The nature of the industry is to have both low-paying and high-paying jobs, but low-paying jobs are more common. 

5. Cloud Computing Financial System Lead 

By 2030, cloud technology will account for over $1 trillion in EBITDA for the world’s top 500 corporations, according to McKinsey. Effective usage of the cloud may boost migrated application development and maintenance efficiency by 38%, raise infrastructure cost efficiency by 29%, and minimize migrated applications’ downtime by 57%, reducing technical violation costs by 26%. Cloud computing can increase platform integrity with automated and integrated security measures. Development, Security, and Operations (DevSecOps) is a cloud-based feature that gets rid of technological risks by using a single technology stack that works in all environments. 

Financial organizations should understand public, hybrid, and private cloud services. The term “public cloud” refers to cloud computing service providers who own the infrastructure and sell cloud computing services to businesses and the general public. A hybrid cloud infrastructure consists of private and public clouds coupled together by proprietary technologies. A private cloud infrastructure is created for a single client and deployed in business data centers or other hosting facilities. 

Is the Banking Industry the Only One Where Fintech Is Used? 

No. Banking basics (checking/savings accounts, wire transfers, credit/debit cards, loans) have been the focus of many fintech applications developed by banks and startups. However, many other fintech areas, such as those concerned with personal finance, investing, and payments, have also seen significant growth. These important technologies and trends are becoming increasingly linked and interconnected, delivering huge fuel to fintech and financial industry innovation. Niche financial sub-sectors are best at using technology to launch applications, generate value, and shape the competitive landscape. Traditional financial institutions will need to use their resources to keep up with industry disruption. 

Fintech innovations have disrupted traditional trade, banking, financial advice, and goods, such as moving financial products and services from branches, salespeople, and PCs to mobile devices or away from huge, entrenched organizations. Goldman Sachs launched Marcus in 2016 and extended to the UK. Many tech-savvy business analysts caution that fintech-inspired innovations require more than increased tech spending. Competing with agile startups requires changes in thinking, processes, decision-making, and corporate structure. 

Get on Board with Financial Technology Right Now! 

The MBA Fintech program at Ajeenkya D Y Patil University,Pune is a great option if you want to accelerate your career and are interested in the dynamic field of Fintech. Get the greatest faculty leaders and assistance available to succeed in the Fintech business now, so you can start making a name for yourself in the ongoing Fintech revolution.