What is Financial Software Development?
Financial software development helps empower banking and facilitates a digital transformation in companies. Through financial software development, companies are now able to enable secured instantaneous transactions across the globe. Innovation and development in this sector help modernise financial architectures in general and modernise banking processes or lending processes. In-house databases are great but a large number of corporations are not shifting to cloud-based solutions and many companies are capitalising on this by providing cloud-based services and SaaS (Software-as-a-Service) products.
With financial systems getting upgraded and adopted, companies dealing with transactions and financial architecture can achieve operational excellence. Most large FinTech companies rely on their own internal development procedures, however, banks and other companies needing financial software get their systems developed by third parties or other MNCs such as Cognizant or Infosys. Once businesses grow, they must also look into better financial software and get them built so that they are scalable and can integrate with popular systems. For example, companies might want to use their financial system with Microsoft Access or other office suites. Legacy devices are now being slowly abandoned and faster, more efficient software that can do the same things and even more are being adopted nowadays. Especially with the huge list of additional features and functions software development firms can offer, even smaller companies are getting custom financial tools built. Custom built or personalised software also allows companies or banks to respond quickly depending on changing customer behaviour or market scenarios.
Services that Financial Software Cater to or Promote
Here are the different types of services for which financial software solutions are available:
- Digital Banking
- Online Banking Platform
- Banking Mobile Apps
- Online Banking Security
- Banking System Integration
- Blockchain platforms and Cryptocurrency
- Smart Contracts
- Digital Ledgers
- Identity Management
- Digital Wallet
- Automated Mailers
- Peer to Peer payments and Digital Money Transfer
- In-app Currency
- AI and ML Systems
- Portfolio Management
- Regulatory Reporting
- Financial Governance
- Automated Account Reviews
- Credit Analytics
- Risk Analytics
- Financial Markets
- Investment Banking
- NLP (Natural Language Processing) Systems
- Data Analytics Software
- Business Intelligence Software
- Securities and Trading
- Digital Brokerage
- RPA or Robotic Process Automation
- Account Reconciliation
Important Financial Software
Here are some important financial software always in high demand:
- Custom Banking Software: Banking solutions can be desktop-based, mobile banking applications or even net banking platforms. This software fundamentally provides users with banking abilities regardless of where they are and with great speed as compared to traditional banking systems.
- Payment and Peer-to-Peer Transactions Software: These software or apps help users pay other people across the nation or even the world through accessing their bank accounts from this third-party software. Payment gateways and other payment integrations help users receive payments as well.
- Billing and Invoice Software: This software is used for billing products or services effectively or in an automated fashion. Invoices are also created and sent to the intended recipients.
- Risk Management Software: This management software helps optimise financial resource utilisation and also help in the management of daily business operations. Generally, these systems also come with features that help you identify where you can cut costs and where there are certain risks involved with assets. Even debtors can be analysed using their credit history and the total risk that the financial institution will be taking in lending any particular debtor a certain sum of money can also be determined.
- Portfolio or Investment Management Software: This software helps you manage your assets, portfolios and trading experience. These can even help with market monitoring, transactions and liquidation.
- Blockchain Software: This software is used for decentralised systems and for creating ecosystems involving features such as crypto wallets and distributed applications.
- Fraud Detection: This software helps financial institutions fight cybercrime and other financial crimes. These systems help identify potential threats of fraud and notify the banks or authorities about it, thus, reducing the bank’s losses.
Financial software is also used by investment banks, commercial banks, stock exchanges and all other financial institutions. Thus, the demand for financial software development will only grow higher. This is especially true with the need for innovation and many more new FinTech companies entering the market.