The private banking sector will evolve with fintech as face-to-face sales die down, says Ernst & Young’s Jeroen Buwalda.

Ernst & Young Asia-Pacific wealth and asset management leader, Jeroen Buwald has said that while old fashioned banks prefer physical interaction to digital interaction, fintech applications are making the most significant ripples in the finance industry and can help banks save both time and money.

“Clients now demand access to many services online and they want to save time meeting with their private bankers,” he said.

“Fintech applications will make a big difference and in the next 10 years, I can well imagine that a very large proportion of digital services will be from private banks.”

Bulwalda acknowledged that while most private banks have recognized that fintech is the future, there has been relunctance to adopt in line technology due to concern about the initial investment and the edifice of practical challenges.

“Fintech firms are able to quickly develop solutions to problems that many banks face. They are not burdened by multiple branches, bureaucracy or legacy IT systems,” he said.

While smaller private banks may not be able to budget for a fintech innovation overhaul, Bulwalda is certain that the small operations they have in place will continue pull the traditional sector ever closer to full digitisation.