The Changing Financial System and Role of Financial Institutions in Australia

TOPIC 2: The ever- changing monetary System and single-valued function of pecuniary Institutions Objective 1 outline and explain the chief(prenominal) causes (drivers) of change in the financial g everyplacening body.­­­­­­­­­­­­­­­­­­­­­­­­­­­­­ From the first 1980s the financial system has been undergoing continuous and rapid change, that is primarily operate by the triple interlinked forces of changing customer call for, new technologies and changes to regulation. Changing cutomer needs. Changing customer needs are the result of an ageing population, changing workforce patterns (eg. cut job security, early retirement), increasing accruement of financial assets and liabilities by the household sector and increasing awareness of comfort and willingness to take in new technology. As a consequence of these changing needs: Customers are much and to a greater extent moving towards electronic channels of delivery which offer come equal and greater convenience. Products which offer increased convenience and craved features such as the ability to smooth cash flows over the life steering wheel will increasingly be sought by customers. Customers choice of suppliers is increasing and they are more likely to select suppliers offering the best value. 2.1.2 Changes in technology Technology is allowing innovation to slip by in the financial work industry at an accelerating pace, star(p) to significant changes in financial relationships and market structures. In limited: Improvements in communications stem and technology are breaking down strong-arm constraints and hail barriers to the transmission, storage and use of knowledge. Information networks are evolving in aspiration with proprietary systems. Development of electronic channels for payments and financial services delivery. Data mining. Physical location of customers and suppliers is becoming little important. Financial industry cost and p! ricing structures are under challenge. arrange markets and exchanges increasingly using electronic trading and information conference and reporting.. 2.1.3 Changing government regulations Along with changing customer doings and technology, changes to government regulation and government activities ware influenced the financial system. Over... If you indirect request to get a full essay, come out it on our website: OrderCustomPaper.com

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