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Tag: certificate course in banking and finance

Simplification Is What Most Banking and Financial Institutions Need to Address Various Challenges, but How?

Posted on by Imarticus

In this modern era, every person is trying to harness the power of financial services. With increasing transactions and financial services, banks are looking for simplification in day-to-day operations. Numerous challenges are threatening the banking industry currently. To address those challenges, financial institutions should have a pre-planned strategy. The new-age banking landscape is complex, and banks are looking to simplify their operations for sustainable development. Simplification helps financial institutions adapt to the evolving demands of the customers. Read on to know how banks and financial institutions can simplify their operations to address several challenges.

Challenges for banks and financial institutions

Various challenges for banks and financial institutions in the current scenario are as follows:

  • The expectations of customers from banks and financial institutions have drastically increased over the years. Customers have become more aware and demanding when it comes to financial services. To enhance customer experience, financial institutions have to cater to their needs.
  • With the introduction of FinTech, customers are looking to access financial services at their fingertips. Financial institutions have to adopt technology on a large scale to provide FinTech services.
  • Earlier, there were fewer banks and financial institutions. At present, there are many banks, loan firms, FinTech firms, and other types of financial institutions. Customers can change their bank anytime they want. Banks have to provide quality services to stay ahead amidst the high competition.
  • Many investment banks are not able to fulfil the expectations of the shareholders/investors. The pressure from investors is also a challenge faced by banks nowadays.
  • The compliance regulations have become stricter and more complex. Financial institutions have to understand the complex regulations and ensure strict compliance.
  • Large amount of data is being produced by banks and financial institutions every day. Financial institutions have to make the best use of data which is also a challenge these days.

How to achieve simplification?

A step-to-step guide for banks and financial institutions to achieve simplification is as follows:

  • Start by identifying the purpose, role and target audience of the financial institution.
  • You have to choose a direction for your financial institutions. The business architecture is decided before you begin operations. For example, a financial institution can follow a sales approach or can go for multi-brand management.
  • Determine the critical business activities for your financial institution. The activities that provide a competitive advantage to the financial institution should be completed in-house. Other activities can be outsourced to boost simplification.
  • Financial institutions need to undergo a digital transformation for capabilities that are not bound by legacy issues. You will have to adapt technology to survive in this new-age banking era.
  • You will have to create a simplification roadmap for your employees. Your employees can go for banking and finance online courses to know more about new-age practices.

Which course is best for new-age banking?

The PGP in New Age Banking offered by Imarticus Learning is the best course for young enthusiasts. You can unlock career options after graduation with this banking course. Imarticus allows you to pay a part of the course fee in starting and the remaining after getting placed. The dual banking course follows two parallel learning paths and an industry-endorsed curriculum. Young aspirants looking to build a career in the BFSI industry can go for this new-age banking course.

Conclusion

Most of the online banking courses do not offer placement support. With extensive placement support from Imarticus, you can build a successful career in the banking/finance industry. For working professionals, the banking course can help in getting a 25% hike in current salary. Start PG diploma in banking and finance now!  

Understanding How Indian Microfinance Institutions (MFIs) Work?

Posted on by Imarticus

When it comes to loans, people who use banking facilities can easily apply for a bank loan. However, loans in India are also provided to people who do not have any banking facilities. Microfinance Institutions (MFIs) in India are those companies that lend small loans to people. The amount of a microloan can differ according to the country. In India, all loans below INR 1 lakh are considered to be microloans. Young enthusiasts that want to build a career in banking should know about the microfinancing scenario in India. Read on to know more about MFIs in India. 

Goals of MFIs

Microfinancing is an important concept in investment banking. You should know about microfinancing to secure a better job deal in the investment banking sector. Before understanding the working of MFIs, you should know about their goals. The objectives of MFIs in India are as follows:  

  • An MFI aims to become a financial institution that assists the growth of sustainable businesses and communities. 
  • MFIs help the weaker sections of society by providing the required resources. MFIs have a huge contribution when it comes to the development of women from weaker backgrounds. MFIs have successfully created income generation opportunities for women in India. 
  • Some of the top MFIs in India have contributed to decreasing poverty in the country. MFIs always work on faster and new ways to eradicate poverty. 
  • An MFI will create self-employment opportunities for people that can’t access the available amenities. 
  • MFIs also teach rural people beneficial skills that can help in creating income opportunities. 

As per the records of the World Bank, there are around 1.7 billion people around the world that don’t have access to banking services. These people are the target audience of an MFI. MFIs have had a major role in boosting the economy of the nation. It is why financial institutions expect their employees to know about MFIs. 

How do MFIs work?

MFIs form several groups for distributing small loans, resources, and training facilities to people. Several groups formed by MFIs that help them in functioning are as follows: 

  • MFIs form a JLG (Joint Liability Group) for distributing small loans to a group of 5 -10 people. The small loans are distributed against the mutual guarantee of each member. Every member of the group is responsible for the repayment of the loan amount. 
  • MFIs help in forming an SHG (Self Help Group). An SHG is a group of people with similar economic and social backgrounds. A non-profit organisation is formed between the people and money is collected from each individual. The money is then distributed to members according to their needs. 
  • MFIs are also involved in making loans more accessible for people from rural areas. MFIs always search for ways to provide small loans to people without any collateral. 

How to learn more about MFIs in India? 

If you want to learn investment banking then learn about all its aspects. Microfinancing is important for financial institutions that want to be recognised as a people’s bank. You can go for detailed investment banker courses offered by EdTech platforms. Imarticus Learning is a reliable source that can help you know more about MFIs and other investment banking concepts. The Certified Investment Banking Operations Professional course offered by Imarticus comes with a job assurance guarantee. You can gain industry certifications and learn with an industry-endorsed curriculum. 

Conclusion 

Online training from a reliable source like Imarticus can help you kickstart your career as an investment banker. Imarticus will provide tips and training for investment banking interviews. It will also offer investment banking case studies for a better learning curve. Choose an online course to know more about MFIs!

How new banking strategies make managing finances easy for millennials and Gen-Z

Posted on by Imarticus

Millennials and Gen-Z together share a larger segment of world demographics. With this shift, millennials and Gen-Z have become the largest driver to bring in the shift in consumer behavior and hence the technology. The financial service providers with digital setup need to undergo a transformation in order to remain up to date.

To drive the transformation, the financial institutions to come up with innovative approaches with the focus on transforming the traditional banking system. In order to be at par with the startup standards, there is a need for traditional banking systems to take up the new growth opportunities considering the consumer habits and expectations of Gen-Z and millennials. This shift in banking financial needs is going to open up new career dimensions for students.

To build a successful career in banking and finance-related services you can learn how to innovate and adapt the strategies by enrolling yourself to build a successful career in banking and finance-related services you can learn how to innovate and adapt the strategies by enrolling yourself in a postgraduate diploma in banking and finance or various certificate courses in banking and finance. Postgraduate diploma in banking and finance or various certificate courses in banking and finance.

The diploma and certification courses in banking and finance help the students to understand the market needs and learn how to strategize the solutions to the existing problems. This article will help you understand how postgraduate diploma or certificate courses in banking and finance can help you to upskill and grow with the increasing financial needs of Millennials and Gen-Z.

Consider consumer’s emotional needs as the core of transformation

An ever-increasing number of fintech is not only focusing on digitization of the regular services but also aiming to give the real experience to the customers. For this touch screen generation, having mere services is not sufficient, the entire experience is based on what is the need of the hour. With the shift in mindset, Gen-Z demonstrates a deep desire to understand the financial services and tools to manage monetary growth.

Even for high school students, managing finances has become their need and they look for multiple ways to manage their money as compared to their previous generation. The startup culture has very well understood this need and the market is flooded with many such solutions, but the most innovative ones are the most successful ones.

Adapt for a human-like approach instead of the traditional bank like approach

To cater to human needs, it’s very important for financial institutions to produce personalized consumer-friendly content. The banking programs should be designed to give a unique experience to the customers. The use of a specific language like, ‘free’, ‘relationship’ etc. in communication adds more to the offerings. Identifying the struggle points of the customers and educating them digitally using guides and tutorials has become the dire need of the fintech

Compliances should facilitate the processes instead of blocking

Gaining the trust of the customers is one of the success metrics of financial institutions. Compliances help in building the trust of the customers. The more regulated you are, the more transparent you will be and that helps in gaining the trust of the customers. For startups, building that trust is not an easy task. If the traditional banking system is merged with the startup culture and technical advancement, the manifold growth is certain.

For many of the startups, coming up with the innovative idea becomes difficult with many compliances and that can be a roadblock. Instead of taking the compliances as a blocker and losing out on the consumer-friendly content, the institutions should take the compliances as friendly and add innovative content above them.

New Age Banking: Sustainable Finance Gathers Momentum!

Posted on by Imarticus

Banking is not the same as it was before 2008. If you are pursuing a banking career, you need to be accustomed to how new age banking works. When we are talking about new-age banking, inevitably the concept of sustainable finance comes into the picture.

post graduate diploma in banking and financeA post-graduate diploma in new-age banking and finance or at least a certificate course in banking and finance from a reputable institution should give you the edge to make you the right candidate in the era of new-age banking.

The infamous 2008 financial crisis along with various setbacks in the banking sector put a major dent in trust. Reliability in the banking industry was completely shaken and an overall change and restructuring became inevitable.

More people were looking for alternate financial solutions. Since then, along with traditional banking, the investment finance sector started investing towards environmental causes like clean energy projects. Moreover, they focused on alternative business models that benefited the local economy.

With the growth of mistrust towards traditional banking, consumers wanted a reform subjected to more ethical and responsible banking. With demand, transparency, diversification, and sustainability have become the heart of new-age banking. Many new banking institutes originated from this demand, with these three core values rooted in their operational framework.

As part of value-driven meaningful investments, new-age investors are looking for comprehensive reporting services with the hope of more transparency. Attitude has shifted from earning money to gaining people and their trust. The current generation believes financial services business has more to offer towards the world’s biggest issues. As a result, causes like climate change, clean energy, education, and community development started to gain capital, unlike the traditional banking era.

Profit, people, and the planet are equally prioritized by new-age banking systems. They channel investors’ money towards creating cultural values and benefiting people and the planet in exchange for a consistent positive return.

Investors are keen to see the evidence of responsible utilization of their funds. With this philanthropic utilization of capital, the term “impact investing” is becoming more relevant. Capital management strategies are based on diversification, transparency, sustainability, and keeping a social conscience for every investment made.

Currently, there are three main drivers of impact investing. And, these include the ability to quantify the social and environmental impact, change in stakeholders’ mindset, and better risk-reward ratio on the invested funds.

The financial return is understandably still the main focal point of the banking industry. All investors prioritize a risk-weighted return and sustainable banking moderates a lot of risks traditionally sneaking from unethical actions and decision making.

Notably, sustainable banking demands and offers transparent quantitative reporting data on every investment. With multiple reporting standards in place, creating and measuring objective data become a priority. Providing evidence of responsible business activities becomes fundamental to establish and maintain fruitful commercial relationships.

Enhanced governance is the driving force to sustainable banking. Previously, when unethical banking made headlines for all wrong reasons, the call for ethical banking became louder than ever. Consequently, ethical financial decision-making becomes institutionalized. Integrated reporting, strict regulatory supervision, and restrictive listing were implemented to increase the bank’s accountability.

New-age banking employed the necessary mechanism of traditional banking and combined new-age reform and approaches. These changes brought in by sustainable finance through new-age banking are slowly recovering the lost confidence in the banking industry and gradually reconstructing trust in financial services. Besides, momentum in sustainable banking has gathered pace since 2013 and is likely to continue.

PG diploma in new age banking and financeAs a banking profession aspirant, you may want to build your career towards new-age banking and wish to opt for a tailor-made post-graduate diploma in new-age banking and finance. Alternatively, you can also go for a certificate course in banking and finance.