FinTech and AI in Finance (FinTAF)

Bridging the Gap: The Impact of Open Banking on Traditional Banking and FinTech Collaboration

2025-03-07T08:43:22+00:00

Open banking is revolutionizing the retail banking industry by allowing customers to share their data with third parties. This facilitates the entry of new companies into the market, promoting increased competition, innovation, and improvements in processes such as customer registration and fraud management. The banking sector is shifting from traditional closed models to a more open and innovative framework, emphasizing the collaborative relationship between established banks and FinTech companies. As regulatory frameworks evolve, open banking disrupts traditional banking practices by promoting transparency, data sharing, and customer-centric services. This research paper examines the growing partnerships between traditional banks and FinTech firms, highlighting how collaboration enhances innovation, agility, and customer experience. By analyzing current trends and future implications, this study demonstrates how open banking is reshaping the financial ecosystem, ushering in a new era of collaboration that ultimately benefits consumers and drives industry advancement.

`Analyzing the Impact of AI-Powered Attacks on Financial Stability in the UK

2024-09-30T09:54:00+00:00

Investigated the multi-faceted consequences of AI-facilitated cyber-attacks on the financial stability of the UK banking sector. My research focused on four key areas: quantifying economic losses, evaluating regulatory frameworks, identifying vulnerabilities, and examining ethical considerations surrounding AI use in finance. To conduct this study, I utilized secondary data sources including financial reports, case studies, industry analyses, and academic literature. This approach allowed me to provide a comprehensive analysis of the current landscape and bridge critical knowledge gaps

The EU Anti Money Laundering Authority

2025-02-10T12:02:47+00:00

The EU has conferred legislative powers on a new regulatory body, the Anti Money Laundering Authority (AMLA). Companies in the EU are required by anti-money laundering (AML) law, to report suspicious transactions to Central Banks and law enforcement Financial Intelligence Units (FIU’s) who centralise those reports, and AMLA will have oversight.

The purpose of AMLA is to counteract the gaps noted by the EU relating to suspicious transaction reporting. Information sharing, collaboration, and insights into the outcomes from millions of suspicious transaction reports are lacking. There is a lack of connectivity between FIU’s and regulators.

The research in this report is a mix of methodologies such as literature review, investigation of existing public sector infrastructure and qualitative research by way of interviews of experts. This report discusses the above and makes recommendations on this rare opportunity for a digital transformation of a regulatory body which has just begun to operate.

Artificial intelligence vs traditional methods in auditing: A comparative analysis of efficiency, accuracy, and practical restrictions.

2025-02-10T12:05:56+00:00

The incorporation of artificial intelligence (AI) into the auditing industry is the subject of this research project, which focuses on how AI will impact traditional auditing procedures, potential adoption difficulties, and how AI will eventually improve audit operations. Using a mixed-methods approach, the study investigates how AI is changing the auditing industry using qualitative theme evaluation and quantitative survey analysis. Key findings show that by automating tedious procedures and analyzing big information, AI greatly increases audit efficiency and accuracy. Constraints are also identified by the report, including the requirement for a large financial commitment, the lack of qualified AI specialists, and worries about data confidentiality and safety. Notwithstanding these drawbacks, AI has the potential to revolutionize auditing procedures; several participants acknowledged that AI can improve fraud detection, anomaly identification, and real-time monitoring. The study concludes that, even if artificial intelligence (AI) is expected to dominate auditing in the future, human oversight and involvement are still necessary to guarantee accuracy, ethical concerns, and the overall quality of the audit. Strong data security standards, more funding for auditor AI training, and ongoing investigation into the moral consequences of using AI in auditing are among the recommendations. This study adds to the expanding literature of research on artificial intelligence in the auditing and accounting industries and provides useful information for regulators, auditors, and accounting companies. The results imply that the best strategy for negotiating the changing audit scenario may involve a hybrid paradigm in which AI augments human auditors.

Impact of Emerging Technologies on Forensic Accounting Investigations

2025-02-10T12:03:37+00:00

This study investigates the impact of emerging technologies on forensic accounting investigations, focusing on the challenges and opportunities associated with their integration. The rapid advancement of technology has transformed financial crime detection and prevention, necessitating the adoption of advanced data analysis tools in forensic accounting. The research employs a quantitative approach, grounded in pragmatic philosophy, to assess how these technologies influence the effectiveness and efficiency of forensic accounting practices. Data were collected through a survey distributed to forensic accountants and professionals in related fields via Qualtrics, with ReCAPTCHA ensuring the authenticity of responses. The findings highlight the significant role that emerging technologies play in enhancing the accuracy, speed, and depth of forensic investigations. However, challenges such as the complexity of analysing digital evidence and the increased cost and time associated with these tools were also identified. The study concludes that while data analytical tools improve the ability to detect and prevent financial fraud, further research is needed to optimize their implementation and address the evolving techniques used by fraudsters. These findings provide valuable insights for practitioners and policymakers, guiding the development of best practices for integrating technology into forensic accounting investigations.

Blended Finance as a Catalyst for Sustainability and Economic growth in Emerging Economies: The case of Morocco

2025-02-10T12:06:45+00:00

Blended finance has grown significantly over the last decade. It provides a means to de-risk investments in sectors and geographies that are perceived as high-risk by traditional investors and could play a significant role in addressing global challenges especially in less developed economies. By mobilizing private capital for sustainable development, it can contribute to the achievement of the Sustainable Development Goals, which include a wide range of social, economic, and environmental objectives. In the case of Morocco, there is no research that addresses the impact of Blended finance on economic growth and sustainability in the country. In this qualitative exploratory study, the goal was to understand the role of Blended finance in attracting private capital needed to finance the substantial investment to boost economic growth in Morocco. Findings showed that blended finance could play a crucial role in attracting investment, particularly in the agricultural sector, technology, and sustainable development projects, despite the challenges posed by bureaucracy and transparency that hinders the use of blended finance mechanisms.

The Strategic Role of Financial Management in Enhancing Healthcare Services in Sheffield, United Kingdom

2025-02-10T12:04:20+00:00

This research conducts a comprehensive investigation into the impact of financial management practices on healthcare service delivery in Sheffield, United Kingdom, covering the period from 2019 to 2023. The study’s primary objective is to analyze financial statements and operational metrics to identify key trends and performance indicators that influence healthcare outcomes and to offer informed recommendations for improving financial stability and operational efficiency.
The financial performance of Sheffield's healthcare services exhibited notable fluctuations over the period analyzed. The operating deficit, which stood at £6,895 in 2019, was reduced significantly, resulting in a surplus of £18,109 by 2023. This shift marks a substantial improvement in financial performance. In addition, total taxpayers' equity increased from £414,691 in 2019 to £471,271 in 2023, reflecting a steady rise in organizational value. Contributing factors to this increase include growth in non-current assets and current liabilities and favorable changes in revaluation gains and deficits, as outlined in the Statement of Changes in Taxpayers' Equity.
A closer examination of the Statement of Cash Flows reveals that cash and cash equivalents more than doubled, rising from £94,033 in 2019 to £200,774in 2023. This increase occurred despite a negative trend in net cash used in operating activities, suggesting improvements in liquidity management. However, these gains were tempered by ongoing challenges in sustaining operational efficiency and maintaining a positive cash flow from core healthcare activities.
The findings underscore both the progress and ongoing challenges in healthcare financial management. Despite improvements in the fiscal health of Sheffield’s healthcare services, there remain vulnerabilities, particularly in optimizing operational processes and ensuring consistent revenue generation. Based on these insights, the study provides several recommendations for strengthening financial controls, enhancing revenue streams, and improving operational efficiencies. Implementing these measures is crucial for maintaining long-term financial stability and improving service delivery quality.
Furthermore, the study highlights the need for future research to explore the qualitative aspects of financial management in healthcare, such as stakeholder engagement and leadership impact. It also recommends broadening the scope to include regional comparisons, which could provide a more holistic understanding of how financial management practices influence healthcare services across different contexts.
This research contributes to the existing body of knowledge by providing detailed financial analysis that informs decision-making in healthcare management. By linking financial performance to operational outcomes, it underscores the critical role of strategic financial management in enhancing healthcare service delivery.

Personality Traits: The link between women on upper echelon and financial performance

2025-02-10T12:02:06+00:00

This paper has explored how the personality traits of women in upper echelon impact the financial performance of FTSE 350 companies in the United Kingdom leveraging new insight from computational social scientist who adopted machine learning to extract personality traits scores from transcript of earnings call of women Chief Executive Officers and Chief Financial Officers with the analysts. The personality traits of these top executives will be automatically recognised from the transcript of their spoken communications during the earnings call. The Open Language Chief Executive Tool will be executed on Phyton to produce output of their personality scores. Subsequently, the impact of these top executives on company’s financial performance will be established using ordinary least square regression analysis to examine the relationship between the personality scores and financial performance using Statistical Package for the Social Science.

A Review of the legal framework in Morocco as a hindrance to artificial intelligence adoption in the financial services industry

2025-03-07T17:09:30+00:00

Artificial intelligence (AI) is the revelation of a new era dominated by data, precision, and gains in terms of time, effectiveness, and relevance. These elements are the best precursors of a revolutionary evolution in all fields. The financial sector, the lifeblood of any society, is the first to be impacted by this disruptive revolution. To ensure a balance between technological development and the protection of fundamental rights and against the bias of technological disruption, international organizations are intervening to issue recommendations and legal guidelines that provide a basis of inspiration for countries around the world.

The evolution of the Moroccan financial system through AI, although timid, is beginning to gain momentum meanly because the opportunities it presents. The aim of this article is to propose an appropriate legal framework for AI for the Moroccan financial sector, based on the various guidelines and legal frameworks approved by international organizations. The results show that, although an initial legal framework already exists in Morocco, it remains insufficient in the face of the challenges posed by the use of AI in the financial sector. This framework can be supplemented by adjustments to hard and soft law

Determinants of the valu of green bonds in the United Kingdom

2025-02-10T12:05:40+00:00

This dissertation investigates the determinants influencing the market value of green bonds in the United Kingdom, focusing on a range of factors including credit ratings, environmental impact scores, regulatory frameworks, market conditions, and liquidity. The research employs quantitative methodologies to analyze data collected from various financial databases and green bond reports, offering a comprehensive examination of the unique dynamics that affect green bond pricing within the UK’s robust financial market.
The study identifies significant relationships between the market value of green bonds and their associated credit ratings, the perceived environmental benefits of funded projects, as well as the extent of regulatory support. Additionally, it explores how broader economic conditions, and the liquidity of green bonds impact their yield spreads compared to conventional bonds. The findings suggest that while credit ratings and regulatory support are critical, the environmental impact scores significantly enhance the appeal and market value of green bonds, aligning financial gains with sustainable investment outcomes.
This dissertation contributes to the existing literature by providing empirical evidence on the nuanced factors that influence green bond values, addressing a significant gap in sustainable finance research. The insights gained from this study are intended to assist investors, policymakers, and financial institutions in optimizing green bond frameworks to better meet environmental targets and investor expectations in the UK and potentially, on a global scale.

Utilizing A Deep learning approach to examine the consequences of Bank's Web -Based-Social Responsibility Disclosure

2025-02-10T12:03:12+00:00

Abstract

Corporate social responsibility (CSR) is a global research and practice topic that encompasses various values, corporate environment, and philanthropic behavior (Inekwe et al., 2021; Wirba, 2023). It plays a crucial role in businesses and governments' social and financial activities, pushing them towards sustainable development and promoting social welfare (Oware and Mallikarjunappa, 2022; Foroghi et al., 2018; Khatib et al., 2021; Staples, 2004). CSR information is essential for stakeholders like investors and analysts, offering insights into costs and benefits, minimizing information asymmetry, aiding in capital market valuations, and assessing firm performance and risk profile. The banking sector, including both non-Islamic and Islamic banks, significantly contributes to CSR activities by funding community development, supporting SMEs, mitigating inflation, and offering social and charitable services. Stakeholders demand transparency in financial and non-financial information, leading firms to shift disclosure attitudes towards CSR. The internet has become a crucial tool for businesses to disclose financial and non-financial information to stakeholders, offering unlimited space and cost savings. It enables corporations to communicate their objectives, missions, and strategies directly to stakeholders, increasing accountability and enhancing financial market effectiveness. The correlation between CSR disclosure (CSRD) and corporate cash holdings has recently gained interest due to its positive impact on cash holding levels. However, the study addresses the challenges of online CSRD due to its complexity and lack of quality. Businesses often prioritize quantity over quality, making CSR a critical concern in management and bank operations. The credibility of official company websites over social media accounts is also examined, highlighting the difficulty in distinguishing genuine and fake ones. Based on the aforementioned arguments, further research is needed to figure out the consequences (corporate cash holdings) of the quality and quantity of online CSRD. Additionally, the Islamic and non-Islamic banks' contexts lack this type of analysis. Consequently, this study aims to conduct a comprehensive analysis using empirical evidence to address existing gaps and provide valuable insights by answering the following main questions: What are the impacts of the quantity and quality of web-based CSRD on top global Conventional and Islamic banks’ corporate cash holdings? Could ISO 26000 moderate this impact?

Therefore, the current study aims basically to: (1) investigate the impact of the quality and quantity of web-based CSRD on corporate cash holdings in the context of top global Islamic and non-Islamic banks by using theories of stakeholder, legitimacy, and media richness; (2) examine whether ISO 26000, a standard for social responsibility, moderates the correlation between the quantity and quality of web-based CSRD and top global conventional and Islamic banks' cash holdings.

To achieve the main objectives, this study focuses on the largest 100 global Islamic and conventional banks based on their assets value. Data was collected through quantitative research and content analysis of their websites. Two indices were developed to assess the quality and quantity of online CSRD. A deep learning approach and descriptive statistics were used to study the consequences of these findings on corporate cash holdings.

This study explores the practices and consequences of online CSRD through theories of stakeholder, legitimacy, and media richness. Stakeholder theory explains the relationship between CSR and shareholder value, emphasizing the need for firms to disclose more information about CSR on their websites. Legitimacy theory suggests firms have a social contract with society, and managers must engage in CSR practices, maintain legitimacy, and disclose information to assess their impact. Media richness theory emphasizes visual communication, multimedia functions, and personal sources in effective communication.

The study's relevance and motivations are derived from that CSR research is expanding globally, benefiting businesses and governments by promoting sustainable development and aiding stakeholders in capital market valuations. The focus on CSR disclosures is crucial for companies and stakeholders. The importance of banks in the economy, as they fund CSR activities, support SMEs, and mitigate inflation. It emphasizes the need for official company websites to understand CSR reporting quality. The internet offers unlimited space and cost savings, enhancing financial market effectiveness and enabling businesses to communicate their CSR initiatives. The study provides insights for policymakers, investors, regulators, managers, and academics on web-based CSR reporting for global Islamic and conventional banks.

The findings indicate that CSRDs (including ISO 26000) were insignificant in impacting Islamic banks cash holdings, while they were significant in impacting conventional bank’s cash holdings.

This study, a pioneering and unique one, significantly enhances accounting literature, research methodologies, and practice by offering valuable theoretical, methodological, and practical insights to all interested parties. It investigates, for the first time, the correlation between the quantity and quality of web-based CSRD and global Islamic and conventional banks' cash holdings and whether ISO 26000 moderates this relationship. By moving to methodological contribution, this paper presents two comprehensive indices for analyzing corporate social responsibility (CSRD) practices on global Islamic and conventional banks' websites. The quantity index includes 62 items from CSR standards, regulations, and global initiatives, while the quality index has eight categories. The study uses a deep learning approach and descriptive statistics to examine how CSRD affects corporate cash holdings. Practically, this study provides stakeholders with real-time insights into the quality and consequences of web-based Corporate Social Responsibility (CSRD) for global Islamic and conventional banks. It suggests optimizing CSR initiatives, integrating social performance with financial performance, and using websites for comprehensive CSR information. The study also suggests considering a country's systems and policies when determining online CSRD information quality.

The study has some limitations that require careful consideration. It has limitations, including a sample size of 100 Islamic and 100 non-Islamic banks, reliance on databases like Banker and S&P, focus on the banking sector, time frame of CSRD quality and quantity data collection (second half of 2022 and first quarter of 2023), and method used (quantitative analysis of banks' websites). Meanwhile, its main limitation is its focus on corporate cash holdings as a consequence of the web-based CSRD quality and quantity of top Islamic and non-Islamic banks.

Despite the debate on internet CSR disclosure, which has garnered significant academic interest and extensive literature across various countries, regions, and sectors, further research is needed in the future. The paper examines the impact of online CSRD quantity and quality on corporate cash holding, suggesting future research should explore other factors influencing web-based CSRD quality and quantity like ESG scores, integrated reporting quality, corporate credit ratings and SDG disclosures. Investigating the impacts of online CSR disclosure quantity and quality on these variables is also needed.

Enhancing Accountancy Services Through Artificial Intelligence

2025-02-10T12:06:18+00:00

Abstract

This study systematically explores the impact of Artificial Intelligence (AI) on decision-making and client outcomes in business advisory and accountancy. It aims to assess the current implementation of AI, identify the most effective technologies, and pinpoint barriers to successful integration.

Key areas of investigation include how AI can streamline operations to enhance efficiency and accuracy, the potential for personalized services through advanced data analytics, and AI’s role in facilitating strategic decision-making via predictive analytics. Additionally, the study evaluates the economic benefits of AI, such as cost reduction and time savings, which could significantly influence operational practices.

Employing a quantitative approach, this research utilizes statistical analysis of secondary data to provide a comprehensive assessment of AI’s capabilities and its practical implications for the business advisory and accountancy sectors.

Factors Influencing Consumer Adoption of Digital-Only Banks in the UK.

2025-02-10T12:03:58+00:00

This study aims to develop and empirically test a conceptual model based on Unified Technology Adoption and Usage Theory-2 to understand factors influencing the adoption of digital-only banking services in the UK. The proposed model integrates fintech-specific themes such as perceived risk, trust, security, environmental concerns, micro-investing opportunities, financial incentives, and cryptocurrency access with established UTAUT-2 technology adoption theory framework. Hypotheses were formulated to assess relationships between these constructs and behavioural intention to adoption. Structural equation modelling with SMART PLS-4 software was used to test the relationship between independent variables with the dependant variable. Data from 391 respondents, collected via an online survey using convenience and purposive sampling, was analysed. Findings indicate that behavioural intention towards adopting digital-only banks is significantly influenced by environmental concerns, performance expectancy, perceived risk, hedonic motivation, security, trust, social influence, and micro-investing opportunities. The model’s explanatory power R² stood at 31%, suggesting moderate predictive strength. The study provides insights into the adoption drivers for digital-only banks in the UK, offering practical implications for fintech managers, developers, and policymakers aiming to foster growth and innovation in the sector. These findings contribute to filling a research gap in digital-only bank adoption.