Macro-Finance Salon (No. 64) and Fintech Open Classes (No. 5): Fintech's Transformation and Promotion of Finance
2017-05-19 IMI
Dr. Guo thinks that Fintech has covered both the digital and mobile areas of the traditional finance and also the new emerging areas like the Internet finance and is becoming a new financial growth point. China’s inclusive finance has not been covered yet by sufficient financial services due to the constraints of the financial system and difficulties of the credit investigation. Fintech, on the other hand, can solve this problem. Technology has transformed the financial instruments and means, brought about product innovation, and achieved product standardization, flow process operation, mass production, professional staff, centralized management and risk diversification. In this way, Fintech centralizes fragmented micro-financial services for large-scale operation so as to bring an all-round transformation to financial models and Fintech will gradually become an important driver of the core business model of financial institutions. He asserts that relying on the rapid development of the Internet and mobile Internet, the infrastructure of Fintech like China’s basic data and payment channels has been gradually improving. China’s Fintech bears features of the rapid development, multi-disciplinary integration, large scale and close interaction with the Internet.
In the practical case of Fintech, Dr. Guo introduces the Dianrong-Quark Credit Factory jointly initiated by the domestic leading Fintech company Dianrong and Quark Finance. He points out that the credit factory is a complete, strong and all-chain system of risk control integrating the centralized data flow with the workflow. According to the characteristics of people involved in the inclusive finance, the credit factory provides viable solutions with technological innovation. The credit factory also involves the human-computer interaction apart from the process operation. While using the big data for a quantitative analysis at the same time, the credit factory does not ignore the simpler diagram method and the naked-eye observation method, so the modern and traditional methods are well combined. Compared with the traditional credit, the credit factory has obvious advantages in reducing the lending costs, improving the credit assessment reliability and facilitating the post-lending management.
Finally, Dr. Guo talks about the future of Fintech and strategic directions of Quark Finance. He thinks that Fintech can achieve the specialized division of labor and fully cover the subdivision areas. Quark Finance will take accurate risk pricing as a key strategic focus. He stresses that in the development and application of Fintech, we should respect risks, deal with the big data rationally, establish a sound credit system and actively explore and embrace technological innovation.
In the Q&A session, Dr. Guo discusses with the present guests on how to establish a complete credit system, ways and channels of Quark’s in-depth data mining, P2P companies, the development prospects of consumer finance companies and the application of technology in wealth management.
